What are the advantages to using Ebay's shipping labels opposed to Canada Post?

kcastizo
Community Member

I noticed the prices are quite similar. For my one package, it was $26.24 through Canada Post and $26.61 through Ebay. So, not the biggest difference. However, I'm not too sure what kind of future benefits one could get from shipping more volume with one particular service or another. For example, even deeper discounts, free shipping supplies, or better service. One thing I noticed, it takes a little longer to fill out the shipping information for Canada Post. Not a lot though, but could add up or be more prone to error.

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What are the advantages to using Ebay's shipping labels opposed to Canada Post?

Until mid-September eBay Labels should be giving you a Canada Post Small Business level 3 discount, after that the discount will go to back to SB level 1.

 

Best fit for ebay Labels would be Sellers who spend less than $2500 on shipping over 12 months. Or Sellers who want the label cost to come from their sales under Managed Payments (I find that choice works best when the payout is made weekly).

 

Alternatives for labels:  goShippo.com (which can import sales info from ebay), Canada Post's SnapShip, and paypal.com/shipnow. Labels purchased from those 3 will all count towards your Canada Post SB level. eBay Label purchases do not count.

 

-;-

 

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What are the advantages to using Ebay's shipping labels opposed to Canada Post?

Until mid-September eBay Labels should be giving you a Canada Post Small Business level 3 discount, after that the discount will go to back to SB level 1.

 

Best fit for ebay Labels would be Sellers who spend less than $2500 on shipping over 12 months. Or Sellers who want the label cost to come from their sales under Managed Payments (I find that choice works best when the payout is made weekly).

 

Alternatives for labels:  goShippo.com (which can import sales info from ebay), Canada Post's SnapShip, and paypal.com/shipnow. Labels purchased from those 3 will all count towards your Canada Post SB level. eBay Label purchases do not count.

 

-;-

 

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What are the advantages to using Ebay's shipping labels opposed to Canada Post?

Since you're comparing apples to apples, the biggest difference is easy: convenience. eBay labels pre-populate with your buyers info, the weights and dimentions from your sold listing (it even combines them for multiple listings in a single package), tracking info is automatically updated on the order and everything is kept central. Keeping everything on eBay also gives you more accurate and streamlined financial reporting through seller hub as your shipping fees are included in your eBay financial statements and overview. 

 

eBay labels have the same pricing discount as a tier I Canada Post for Small Business Account, though ebay has a promo going on now until September with the equivalent of tier III discounts so labels are cheaper than CP, especially international packages. 

If you're a casual seller, eBay is the way to go. 

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What are the advantages to using Ebay's shipping labels opposed to Canada Post?

There are only two advantages to eBay's label system. One is that it is more efficient. Both to print a label, and also with record keeping. This is because what you spend on shipping will be available in your eBay records. The other advantage is that you can pay for the label directly out of your eBay funds, instead of having to cover the cost of the label possibly before the funds transfer to your bank account. This won't be an issue for everybody, but if someone is selling on eBay because they are low on money, this might be a big advantage. 

 

Signing up for Canada Post Small Business is free. It doesn't require a business number. Anybody can sign up. I believe you get the same discount automatically with Canada Post as you get with eBay. You also can use your discount in person or online. If you purchase a label online, you can print it in person via a barcode on your phone that you show to the cashier or you can print it at home. There are multiple savings levels, and if you plan to spend more than 2500 a year on shipping (so about 208+ a month) you will be entitled to greater savings than with eBay.

 

The Snap Ship website also gives you more options like 'Card For Pickup' or 'Signature Confirmation'. Card For pickup is great for risky or high priced transactions, because it ensures there is no chance the package is stolen on the porch or delivered to the wrong house. The downside being, some buyers don't like having to pick up their package at the post office. Signature confirmation is usually only available at outlets with Xpress Post. Snap Ship offers it with all shipping services (Regular Parcel, etc).

 

One of the biggest issues with eBay's service is that unless I was mistaken, the time I used it, I did not get an invoice breaking down the GST. Maybe I have to dig deeper to find this, but if you're registered for GST/HST, this is very important. If I ship something to Toronto and it costs me 11.30 total, I get to claim the 1.30 HST as an input tax credit against the HST I collect from customers. Essentially, I get a refund for it, and at the end of the business year that parcel only cost me 10.00 to ship. Without the GST to claim, a business registered to collect HST/GST will spend 5-15 percent more on postage, which is a really bad deal. I could be wrong on this part, but I couldn't find the GST info when I tried the eBay labels service.

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What are the advantages to using Ebay's shipping labels opposed to Canada Post?


@ypdc_dennis wrote:

Until mid-September eBay Labels should be giving you a Canada Post Small Business level 3 discount, after that the discount will go to back to SB level 1.


Well that's quite helpful! I just assumed it was the normal discount. Is this something that they do regularly?

 


@ypdc_dennis wrote:

Alternatives for labels:  goShippo.com (which can import sales info from ebay), Canada Post's SnapShip, and paypal.com/shipnow. Labels purchased from those 3 will all count towards your Canada Post SB level. eBay Label purchases do not count.


Very useful, thank you. I will check out these services later today.

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What are the advantages to using Ebay's shipping labels opposed to Canada Post?

Excellent reply. Thank you. I think you are right in regards to sticking with eBay as a casual seller. I'm not sure when or how Canada Post starts counting the shipping costs for the year, but I don't think I will be able to reach a meaningful level any time soon. I imagine it would be easier to just stick with eBay and then maybe switch to Canada Post if volume starts picking up. 

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What are the advantages to using Ebay's shipping labels opposed to Canada Post?


@ilikehockeyjerseys wrote:

If you purchase a label online, you can print it in person via a barcode on your phone that you show to the cashier or you can print it at home. 


I didn't know this! This would be very very helpful in the beginning. A quality thermal printer is quite an investment and I'm just not the biggest fan of laser printers in regards to price, quality, and technical issues. So, going to the post office with a few shipments and having them print could add a little professionalism and save some money.

 


@ilikehockeyjerseys wrote:

One of the biggest issues with eBay's service is that unless I was mistaken, the time I used it, I did not get an invoice breaking down the GST. Maybe I have to dig deeper to find this, but if you're registered for GST/HST, this is very important. If I ship something to Toronto and it costs me 11.30 total, I get to claim the 1.30 HST as an input tax credit against the HST I collect from customers. Essentially, I get a refund for it, and at the end of the business year that parcel only cost me 10.00 to ship. Without the GST to claim, a business registered to collect HST/GST will spend 5-15 percent more on postage, which is a really bad deal. I could be wrong on this part, but I couldn't find the GST info when I tried the eBay labels service.


This is one of the first things I noticed. I come from an accounting background for the first thing I looked for was the tax breakdown lol

To be honest, it irked me a little. Not the biggest deal though. I mean people can always estimate it or just not worry about it when dealing with minute amounts, but like you said, could make a big difference when dealing with large amounts.

 

Thanks!

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What are the advantages to using Ebay's shipping labels opposed to Canada Post?

None that I can see so far. Netparcel is by far easier to use and more competitive, plus you dont need volume to take advantage of deep discounted rates with UPS/Purolator

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What are the advantages to using Ebay's shipping labels opposed to Canada Post?

Speaking of, there is no reason why Ebay couldn't offer what NetParcel is offering, and aggregate all its customers as one when asking the shippers for discounts. This way, we would all get big business discounts from Canada Post and other shippers instead of relying on our own individual shipping volumes

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What are the advantages to using Ebay's shipping labels opposed to Canada Post?


@kcastizo wrote:

... I'm not sure when or how Canada Post starts counting the shipping costs for the year, but I don't think I will be able to reach a meaningful level any time soon. ....


Canada Post counts shipping for the previous 12 months for SfSB.  The levels are adjusted every 3 months.

https://www.canadapost-postescanada.ca/cpc/en/business/small-business/shipping-discounts.page

 

The occasional bonuses offered to Solutions for Small Business members can be useful. The ship-a-free-package on October Tuesdays the last couple of years has been very popular. And some things in the Canada Post product catalog are only available to members.

 

-;-

 

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What are the advantages to using Ebay's shipping labels opposed to Canada Post?

One disadvantage for eBay lables....

 

At the moment they are not breaking out the GST/HST included, it doesn't seem to appear to be shown as a seperate line item anywhere.

 

It's possible to work backwards but since different Provinces have different rates it's a chore one shouldn't have to do.

 

If you are not able to use ITC's then it doesn't matter.

 

 



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