Postage Costs including PayPal Fees

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Del
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Postage Costs including PayPal Fees

Post by Del » Tue Dec 19, 2017 6:11 pm

Just packaged the first two orders for the NorthTrek Creations Romulan Vengeance kit, and ran across a recurring problem ---- Postage cost increases. I guess the USPS raised prices for the holiday season and never bothered to mention it. Now the packages that I shipped today where I charged the customer $9.75, actually cost me $9.99. Okay, not a problem per se for just these two orders, but there are also the PayPal fees associated with those shipping charges that I have to consider. And not just me, but anyone who you buy products from online including other kit makers and even Ebay, and others.

So, as an example, if I raise my prices up to an even $10.00 for shipping a product that weighs over a pound, but less than 2 pounds, the PayPal fees that will be charged for that shipping would be about (and I'm rounding) 40 cents. While I don't mind the PayPal fees I incur for selling my products as I see it as a cost of doing business, I get nothing from the shipping costs. So, if I charge $10.00, but the shipping will cost me $9.99 plus $0.40, that's $10.39 and means that I will lose $0.39 on every sale. Add that up over time and it's a lot of money. There's also the mailing label cost and other things that add up when shipping. Realistically, I need to raise the cost for that size package to $10.50 for the customer if I'm going to make it.

I hate raising costs. That's why I choose an initial price for a kit that I'm comfortable sticking with for a number of years, because I want the price to remain the same. It's important to me that customers feel as though they are getting their money's worth and that I'm not trying to scalp them for more money. Frankly, I'm almost thinking about telling folks to wait when placing orders so they can get a few kits at one time to save money on shipping. It's a wonderful thing for those of you who always order as soon as a new kit comes out as I appreciate your loyal support, but sometimes I cringe, because I know that if you wait another month, I might have another kit you want and you could save money.

The purpose of this post I guess is to let everyone know that I'll have to raise shipping charges once again. I'm sure that the International fees will increase soon as well, but I won't make changes there until I see it happen. Another reason for this post is to see how the rest of you feel. I believe it's a relevant discussion point as we all rely more and more on buying things online.
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Producing kits previously sold thru Ravenstar, Novahobbies, Fantastic Plastic, NorthTrek Creations, and more!

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mophius
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Re: Postage Costs including PayPal Fees

Post by mophius » Tue Dec 19, 2017 7:58 pm

If thats what it takes.
If USPS want to put their prices up that is not your fault so why should we reprehend you for it.

You know me by now Del. I never order one kit at a time due to international shipping anyway. You will just get more of an order out of me each time. ;)
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Re: Postage Costs including PayPal Fees

Post by Tesral » Tue Dec 19, 2017 9:27 pm

I hear you Del. The cost of shipping is the cost of shipping and you have no control of that. Boxes packing, and the friggin Post Offral.. It seems designed to sink the small guy, and Zappos gets away with "free shipping". Unless you suddenly become the Amazon of GK model makers. (I know you dream it) you will never get a bulk deal on shipping.
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Re: Postage Costs including PayPal Fees

Post by Griffworks » Tue Dec 19, 2017 10:04 pm

I don’t see it as your fault to have to charge extra for shipping so that you don’t lose anything on it, tho I get your frustration. If most folks are honest, the shipping costs are just a part of the customer doing business. As long as you aren’t jacking your prices by like 20% of actual shipping rates, none of us have any grounds to make a legit complaint.
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el gato
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Re: Postage Costs including PayPal Fees

Post by el gato » Wed Dec 20, 2017 9:51 pm

Postage costs are what they are and I know that MVM charges honestly, so it is what it is. The only times I pay attention to postage costs is when it looks like the seller is attempting to fleece me in a blatant fashion (like charging $35 for a 1-ounce part).

If one is honest with how much it costs to ship these days and the charges look reasonable based on that, I don't bat an eye. Besides, once you get a reputation for being honest about these costs, people won't question you. In fact, it's the opposite: your customers don't want you to lose money on shipping.
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