Online Selling and Shipping Costs

SunnyOne

Recycles dryer sheets
Joined
Jun 8, 2014
Messages
373
Location
Syracuse
I've started selling off old collections of various items. Never seems to amaze me how there's always someone out there who wants what you no longer want to own...recently for me, it's vintage fragrance...discontinued scents rise in value...

It's fairly common practice I'm learning for the quoted prices to include shipping...yikes shipping costs are going nuts.

Is there a general rule of thumb? bigger packages go to USPS? smaller packages go to UPS?

Any guidance from online sellers would be much appreciated. Thanks
 
I've started selling off old collections of various items. Never seems to amaze me how there's always someone out there who wants what you no longer want to own...recently for me, it's vintage fragrance...discontinued scents rise in value...

It's fairly common practice I'm learning for the quoted prices to include shipping...yikes shipping costs are going nuts.

Is there a general rule of thumb? bigger packages go to USPS? smaller packages go to UPS?

Any guidance from online sellers would be much appreciated. Thanks


One thing that's kept me from doing this is I need to know shipping costs for various stuff BEFORE I even try to sell it. Seems impossible or at least too much work. Too many variable.
 
Generally, smaller packages are best by USPS. Larger by FedEx or UPS, or similar.

For my small business I use the USPS flat rate priority boxes. Lowest cost for my metal car parts. Plus easy for me to price since it's the same for all USA. Even international USPS is much easier than other options.

I do agree that shipping costs have increased a lot in past year.
 
I never include shipping. I think it reduces my net proceeds. On smaller items, I will estimate a weight and use the USPS site to get a shipping cost, then pad that a little bit.

For large or heavy items I will quote a shipping cost that is very safe for me but in the offering I will say that it is a high estimate and promise to rebate to the buyer anything over what the shipping actually costs me. This has worked well the few times I have needed to do it.

I usually ship USPS Priority Mail because I can do everything on line, then leave the outbound package for the mail carrier. Anything else, parcel post, book rate, UPS & Fedex services etc. require a trip to the establishment to drop the package if not to also get a price.

One needs a good scale. A remote readout is almost mandatory as setting a shipping box on a small scale will often cover a readout. I have one of these: https://www.amazon.com/gp/product/B00KYA0RC2/ref=ppx_yo_dt_b_search_asin_title?ie=UTF8&psc=1 I checked its accuracy by getting a UPS store to weigh a 5# dumbbell on their certified scale and then checked it on mine. It was right on. For a lighter weight I used 10 bullets of known weight from my reloading bins. Also right on.
 
One thing that's kept me from doing this is I need to know shipping costs for various stuff BEFORE I even try to sell it. Seems impossible or at least too much work. Too many variable.


Ebay has a shipping calculator that I have found helpful. You can put in the item weight and box size, and it will show the shipping costs across UPS/USPS/Fedex if you sold it from their site.
 
I sell a lot online. I always charge for shipping and use the eBay calculator. I don’t mark up shipping. Folks notice that. USPS also gives you free shipping supplies if you ship Priority or Express. I use flat rate packaging as much as possible because weight does not matter if it fits in the package. I never ship UPS or FedEx. I bought a good scale for $20 that measures to the oz. That has saved us a bunch for non flat rate stuff.
 
Long-time ebay seller here. Shipping is actually quite easy. You need two tools - a scale and a tape measure. If you're only selling a handful of items, don't bother with a scale but if you're going to be selling a fair amount, get one. You can get a really nice one for under $25. Here's the one I use: https://www.amazon.com/dp/B00KYA0RC2?psc=1&ref=ppx_yo2ov_dt_b_product_details


Once you know the size and weight of your package, ebay will calculate shipping for you or you can do it yourself at USPS.com, PirateShip.com, or ShipStation through PayPal. If you are selling on ebay, you do not want to just take your package to the post office and have them weigh and label it because you get a substantial discount if you do it online.


You mentioned fragrances. Be aware that perfume is classified as a hazmat item. It can only be shipped USPS Ground, not Priority or any service that goes by airplane.


Offering "free shipping is just a gimmick since there is no such thing. If you want to do that, make sure you price your item accordingly to include the shipping cost. Personally, I don't care if an item is $20 plus $10 shipping or $30 with "free" shipping. Either way I pay the same amount. But some people don't do math well and they'd rather buy the item with "free" shipping. Some even filter their searches to only show items with free shipping which is stupid but it's apparently a thing folks do. I do not offer "free" shipping on my items because I don't believe in playing that game.


Small heavy items are best shipped through PirateShip.com because they do cubic Priority and you can't get that anywhere else. For everything else I use USPS though really big items are usually best through UPS. I just don't sell any of those. USPS also just added a steep surcharge on long items like golf clubs so UPS is best for those now.


Feel free to message me if you have any questions or need help with anything, especially on ebay. There are also great Facebook groups for sellers on the various platforms (ebay, Mercari, Poshmark, etc.).
 
I should have added that I price the item and shipping separately. I also do online shipping labels and makes it easy. No having to wait in line.
 
I always charge for shipping and use the eBay calculator. I don’t mark up shipping.
Keep in mind that ebay charges the final value fee on the shipping price so if you only charge actual shipping, you're losing 13% on every transaction.



I use flat rate packaging as much as possible because weight does not matter if it fits in the package.
That's true, but it really depends what you're selling. I almost never use flat rate packaging because it is almost always the most expensive option by a wide margin. If you're selling small but very heavy items, flat rate is absolutely the way to go.


Funny but just the other day, I saw a post by a scientist who figured out that it is physically impossible to exceed the 70 pound weight limit on a small flat rate box. He calculated the internal volume of the box and said that even if you fill it with osmium, the densest substance known to man, the package would only weigh 61.48 pounds.
 
Keep in mind that ebay charges the final value fee on the shipping price so if you only charge actual shipping, you're losing 13% on every transaction.




That's true, but it really depends what you're selling. I almost never use flat rate packaging because it is almost always the most expensive option by a wide margin. If you're selling small but very heavy items, flat rate is absolutely the way to go.


Funny but just the other day, I saw a post by a scientist who figured out that it is physically impossible to exceed the 70 pound weight limit on a small flat rate box. He calculated the internal volume of the box and said that even if you fill it with osmium, the densest substance known to man, the package would only weigh 61.48 pounds.

eBay discounts the price I pay for shipping. You know that, you said it in your post. So it’s usually a wash.

Before using flat rate I price it a few ways. Choose flat rate if cheaper.
 
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eBay discounts the price I pay for shipping. You know that, you said it in your post. So it’s usually a wash.
I must admit I didn't realize the customer gets charged the full rate. I never use the calculated shipping option so I wasn't aware that's how it works.
 
1. Ship anything that weighs 16 oz. or less USPS first class packaging. The savings are substantial. The problem is you can't buy shipping labels for USPS first class package at the USPS website. You need a third party shipping service to do this online.

2. Don't use the USPS website to buy postage. Ever. Use a third party shipping service as they have discounted rates. I use pirateship.com. Previously I used PayPal's shipping module but they merged with another company, raised rates, so I left them for pirateship.com.

3. Ship via USPS priority mail for most things over 16 oz. but less than 9 or 10 lbs. It depends on the cubic dimensions of the package and the weight. The most efficient USPS priority mail is USPS Priority Mail, as it is cheaper than regular Priority Mail. But guess what? You can't buy USPS Cubic Priority Mail on the USPS website. (See #2, above) You can buy it on Pirate Ship.

4. Stay away from UPS as much as possible. The reason is they charge a residential address surcharge $4.85, and UPS charges a delivery area surcharge (for rural areas) of $4.80. So it's possible a 2 lb. package sent UPS ground cross country to a rural residential address could cost $20.00 or so. Same package sent USPS Cubic Priority Mail is $9.80, or so. However, when you get to that 9 or 10 lb. package UPS starts to be cheaper.

I suppose FedEx has the same types of surcharges but I don't know for sure as all my FedEx shipments are sent collect or billed third party.

5. USPS Priority Mail Flat Rate boxes are good if your product fits inside.

6. If the customer wants 2nd day delivery or next day delivery, check out USPS Express Mail before UPS or FedEx next day air. It's probably cheaper.
 
Know the cost to ship your item to the furthest destination you offer before you list it. Don't bother shipping outside the US, it's far too expensive and slow.

Never buy retail shipping at the USPS/UPS counter, always buy online (shipstation, etc.)

Use USPS priority when the price is right, especially if your item fits in their Flat Rate boxes.

UPS is often cheaper on heavier stuff, but they will surcharge you for refused/undeliverable, overweigh your stuff along the route, etc.

Understand your packaging, boxes are great when they are reusable, but add dimension and weight to items. Padded mailers are great for lots of things, but shop around. Limit "reused" shipping materials to boxes, and even then only if you're sure you have no house-smell on them.

A tape gun is a great investment.

If your items are small and light, and you can add the shipping cost to the item and say "free shipping!" it's what most customers want. Most people decide the item and price is good, and then notice the shipping and pause.

Pack everything like it's going to be used for football practice and be punted down the street. But don't use peanuts, too messy for your customer.

Consider insurance/sig-con for items over, say $150. Check where things are going to - apartments vs. SFH, and adjust accordingly.
 
Most of the stuff I want to sell is big and heavy. After looking into shipping, I've decided to not try to be an online seller. The new 1099-K requirements don't help either.
 
Don't bother shipping outside the US, it's far too expensive and slow.
If selling on ebay, their Global Shipping Program is a great option. You just pay for domestic postage and ship to their facility in Kentucky. Ebay handles everything from there and does the foreign shipping and charges the buyer.


Never buy retail shipping at the USPS/UPS counter, always buy online (shipstation, etc.)
The only exception is Media Mail which is the same price everywhere, online or in person at the post office.
Limit "reused" shipping materials to boxes
I also reuse the sealed air packing cushions and have never had an issue. I made a local connection with a guy who works in a distribution center and can get me all I want. Same for boxes. It's great.
 
The new 1099-K requirements don't help either.
The new 1099 rule really changes nothing except for people who have been cheating on their taxes, which is exactly what the rule is designed to target. It's amazing how many people in my ebay groups have basically admitted that they haven't been reporting their income all these years and now they're upset that they're going to have to start doing it right.
 
You mentioned fragrances. Be aware that perfume is classified as a hazmat item. It can only be shipped USPS Ground, not Priority or any service that goes by airplane.

For USPS services shipping ground typically means USPS First Class Package or USPS Parcel Post. Other options are UPS ground or FedEx ground but the cost to ship will be higher.
 
The new 1099 rule really changes nothing except for people who have been cheating on their taxes, which is exactly what the rule is designed to target. It's amazing how many people in my ebay groups have basically admitted that they haven't been reporting their income all these years and now they're upset that they're going to have to start doing it right.

I don't cheat. It changes something.

I'd be selling old stuff and as I understand it, I'd have to do more leg-work to get an audit-proof basis. Admittedly, before I would do more of a basis estimate instead of the extra legwork of a researched basis. If that makes me a cheater in your books, then so be it.
 
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For odd things, I add something to the product description that says if they find a cheaper shipping method than the ones I'm offering, I'll refund the difference.

I don't want to make money on shipping, but don't want to loose either. I didn't know it was 13%, but knew it was something, so usually put a buck or two handling to cover that.

I also, for heavy or bulky items, I offer free shipping (refunded) if they pick up. I've not had any takers, but will get a signed bill of sale with their DL# for proof of delivery.

And the big/bulky go on Craigslist and FB marketplace and often eBay too. You can legitimately end an auction if the item is sold outside of eBay. Hasn't happened to me, but I'm not shy about it. My stuff isn't flying off the shelves; a good half of it never sells and it becomes curb alert material, which always goes.
 
I don't cheat. It changes something.

I'd be selling old stuff and as I understand it, I'd have to do more leg-work to get an audit-proof basis. Admittedly, before I would do more of a basis estimate instead of the extra legwork of a researched basis. If that makes me a cheater in your books, then so be it.

My point was just that income has always been reportable whether a 1099 was issued or not. Now people are suddenly upset that they’re going to get a 1099. If they had been properly reporting all along, getting a 1099 makes no difference. This will be my first year getting a 1099 from eBay since 1997 but it’s a non-issue to me. I’ve filed a schedule C for 25 years.
 
Yeah, I just want to reiterate that using online shipping sites like Parcelmonkey etc. can save you a LOT of money on shipping.

I recently sent a ~20lb package across the country (GA to CA). UPS and USPS prices were around $60 for the cheapest and slowest option for either. Through parcelmonkey I got the same service for less than half the "official" cost from each. I ended up shipping it UPS ground for $27 (UPS ground price on UPS.com was $59.xx estimate). I assume these sites get volume discounts on shipping and pass some of the savings on to you, but it's still well worth going to them if you can't get such discounts on your own (which most can't).
 
Long-time ebay seller here. Shipping is actually quite easy. You need two tools - a scale and a tape measure. If you're only selling a handful of items, don't bother with a scale but if you're going to be selling a fair amount, get one. You can get a really nice one for under $25. Here's the one I use: https://www.amazon.com/dp/B00KYA0RC2?psc=1&ref=ppx_yo2ov_dt_b_product_details


Once you know the size and weight of your package, ebay will calculate shipping for you or you can do it yourself at USPS.com, PirateShip.com, or ShipStation through PayPal. If you are selling on ebay, you do not want to just take your package to the post office and have them weigh and label it because you get a substantial discount if you do it online.


You mentioned fragrances. Be aware that perfume is classified as a hazmat item. It can only be shipped USPS Ground, not Priority or any service that goes by airplane.


Offering "free shipping is just a gimmick since there is no such thing. If you want to do that, make sure you price your item accordingly to include the shipping cost. Personally, I don't care if an item is $20 plus $10 shipping or $30 with "free" shipping. Either way I pay the same amount. But some people don't do math well and they'd rather buy the item with "free" shipping. Some even filter their searches to only show items with free shipping which is stupid but it's apparently a thing folks do. I do not offer "free" shipping on my items because I don't believe in playing that game.


Small heavy items are best shipped through PirateShip.com because they do cubic Priority and you can't get that anywhere else. For everything else I use USPS though really big items are usually best through UPS. I just don't sell any of those. USPS also just added a steep surcharge on long items like golf clubs so UPS is best for those now.


Feel free to message me if you have any questions or need help with anything, especially on ebay. There are also great Facebook groups for sellers on the various platforms (ebay, Mercari, Poshmark, etc.).

It's a big difference as a buyer if you prefer to buy from sellers that include 100% satisfaction guarantees.

A $20 item + $10 shipping that doesn't work out costs me $10 to return, as original shipping charges are rarely refunded. A $30 item with free shipping costs me $0.

I don't return items often, as I shop carefully before buying, but I still always filter by "free shipping" and never buy anything final sale. I like having the option to return if quality is poor or item differs from what I expected/read.
 
It's a big difference as a buyer if you prefer to buy from sellers that include 100% satisfaction guarantees.

A $20 item + $10 shipping that doesn't work out costs me $10 to return, as original shipping charges are rarely refunded. A $30 item with free shipping costs me $0.

I don't return items often, as I shop carefully before buying, but I still always filter by "free shipping" and never buy anything final sale. I like having the option to return if quality is poor or item differs from what I expected/read.
That’s a perspective I’ve never heard expressed. Thank you for that. I very rarely return anything so this would never occur to me.

The problem with filtering by free shipping is you often end up overpaying, which is a bigger concern to me. Dealer A charging $20 + $10 shipping. Dealer B charging $35 with “free” shipping. I’ll keep focusing on total cost myself.
 
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