What Are The Factors Affecting the International Shipping Rates?

All shipping services play a vital role in the eCommerce business, as there are no other means to bring the orders to the customers. While you can argue that customers can pick the items up, it risks the confidentiality and safety of both parties. Furthermore, it is not convenient for the customers and, with the current gas price, it will be too expensive to travel around Canada if you deliver the items.

On the other hand, the same situation will also happen to international shipping rates, but what factors can affect them? Check this article out!

Tariffs and Taxes

A tariff is a tax a specific country imposes on an imported good at the border. Tariffs are handy for governments to collect revenues and protect their domestic producers. This circumstance can affect businesses like yours as you expand your brand overseas. 

Besides the accessibility of most domestic goods, tariffs and taxes play a crucial role in why most consumers buy locally-made items. Whenever you do international shipping, you must pay a certain amount before a package arrives at its destination. 

Unlike shipping to the United States, you do not have a free trade agreement (FTA) to avoid tariffs and taxes when shipping to a different destination country. Although you cannot do anything about this matter, you can find a shipping company that offers lower shipping rates to compensate for the international duties.

Package Value

Also known as the Customs value, a package value is the parcel’s content value that significantly affects the amount you are being charged for shipping in eCommerce. Sellers who send high-value products need to ensure their packages, increasing the shipping cost.

Furthermore, the overall monetary value of all items in your shipment determines the import duty the receiver should pay. Thus, you may want to call the postal service or customs office to ensure that you would not ship high-end items.

Some high-value items include, but are not limited to, antiques, art objects, expensive carpets, china, crystals, and records collections. Note that you might encounter a courier service that does not handle high-value items, like Stallion Express, because they are prone to theft, loss, or breakage.

Fuel Costs

Due to numerous reasons, including the conflict between Ukraine and Russia, fuel costs have skyrocketed. As a seller, you are also affected by these circumstances. 

If you wonder how fuel costs affect the shipping rates, depending on the nature of the shipping service, fuel costs can account for up to 60% of the overall shipment expenditures. For international shipping, worldwide fuel prices had already exceeded $100 per barrel, dramatically affecting shipping operations. 

It is necessary for a shipping courier, international or not, to cover these costs to keep the service levels, which means that the amount of the shipment will also increase. If you wonder whether the UPS international shipping rate is also affected or not, it is better to expect the worse to find solutions to mitigate the situation.

Shipping and Delivery Distance

The distance between the seller and buyer also affects the shipping rates. If the destination is nearer the branch, you can expect cheaper shipping, including UPS international shipping rates. On the other hand, if the place is farther, the shipping rate will be higher.

The calculation starts at the package pickup point, mainly the branch location, to the recipient’s address. 

Package Weight and Dimensions

While heavier objects tend to cost more, some companies do not only calculate products by weight but also by the dimensions of the parcel because some of the items are shipped in big boxes, despite being relatively minor in size for the package. Most couriers use this pricing technique to maximize the space inside the shipping container. 

To save on your international shipping cost, you must ensure that the package boxes have just enough space to carry the items, or else you need to pay more. On the other hand, you can also utilize shipping supplies, like courier bags and Kraft mailers, for much smaller items to reduce the cost. 

Shipping Services

The most significant factor affecting international shipping rates is your choice of shipping option. Express shipping, such as priority mail international and priority mail express international, tends to be more expensive since the delivery time is faster than standard or economy shipping. 

Since the chosen shipping service affects the shipping costs of the international shipment, implementing the most suitable shipping strategy will help you find the most appropriate shipping option at the moment. For example, many companies, including Stallion, do not put additional charges during holiday seasons. However, delays are expected due to the large volume of packages shipped around this time. Thus, the customer may still need to choose the expensive shipping option, an international priority, so the items can arrive on time.

A shipping calendar will help you avoid overwhelming situations like this and lift the financial burden on your customers. Since you have precisely scheduled when you will ship the packages, you or your customer do not have to choose the expedited shipping option.

Shipping Protection

Note that shipping issues are uncommon in the shipping and delivery industry. However, the possibility of them happening is still high. That is why you must do all preventive measurements you can apply to ensure that nothing happens to the goods.

One thing you can do, apart from partnering with an international shipping company, is to take advantage of shipping protection to be your fallback when something unexpected happens. It will not give you the money back but will instill trust between you and the customer.

You must establish trust with the customers as it will positively affect your business. Even the most reputable company and well-proven marketing strategy have flaws, so expect that there will be instances when the consumer is disappointed, despite the seller’s best efforts and sincere intentions. However, most customers overlook an error or negativity when you establish trust.

Partner with Stallion Express

If you do not have any option for courier service, how about you consider Stallion as your international shipping service partner?

With thousands of partner sellers all over Canada, you can guarantee to receive top-notch service. Whether you send your items to the United Kingdom or any destination country your customers are in, we offer the cheapest international shipping rates and the fastest delivery time.

However, apart from the abovementioned perks, you do not have to stress yourself with the process because Stallion provides an easy-to-use shipping platform, so even tech-savvies would not have a challenging time understanding how the system works.

Furthermore, Stallion also makes it easier for you to manage all orders because of its integration platforms. So, if you have an online store on Amazon, Shopify, Etsy, and eBay, you can streamline them for an efficient fulfillment process.

All you need to do is to create an account with Stallion. Do not worry because there are no upfront charges you have to pay. You can make your account for FREE! The payment starts when you have to upload credits when paying for the international shipping fees. But aside from that, expect no hidden charges.

Stallion enables you to compete with other Canadian and US sellers, as it offers additional shipping to the United States and domestic shipping, making it a one-stop shop for eCommerce entrepreneurs aiming to expand their business nationwide and across the border.

On the other hand, adding to the proof of being a one-stop shop, you can get shipping protection with Stallion Protection to insure each package you ship internationally. Plus, if you need shipping supplies, like bubble wrap and poly mailers, you can purchase them here cheaply.

Key Takeaway

It may sound overwhelming, with the charges, process, and everything else in between, but implementing the right strategy can help you succeed in international shipping.

Face the challenges of international shipping Stallion Express. Feel free to contact them at +1 877-863-7447. Their hotline is open Mondays to Fridays, from 10 AM to 9 PM ET, and Sundays from 10 AM to 5 PM ET.

Diana Zheng

Diana leads the growth marketing initiatives at Stallion Express. As a personal trainer turned digital marketer, Diana is obsessed with equipping eCommerce entrepreneurs with everything they need to scale their online businesses. You can catch her doing yoga or hitting the tennis courts in her spare time.