Understanding Shipping & Handling, in relation to DSR's

This guide it for better understanding of the Feedback DSR's (Detailed Sellers Ratings) and what to consider when using the 1-5 scale for rating sellers performance. This guide is intended to refer only to the Shipping and Handling.

As we have watched this, in even our own case, effect seller's in a negative manner. Detailed Sellers Ratings (Hereby referred to with the acronym of DSR's), are a tool for buyers to use when selecting a seller from whom to purchase from. They provide you information at a glance on the reliability of the seller.

THIS GUIDE IS NOT WRITTEN IN PERSPECTIVE TO HOW WE PERSONALLY CONDUCT BUSINESS, SIMPLY AS THE GENERAL PRACTICES WHICH HAVE BEEN GIVEN BY OTHER SELLERS, PRIMARILY THROUGH THE DISCUSSION BOARDS ON EBAY AND FOR BUYERS TO TAKE INTO CONSIDERATION WHEN RATING THEIR SELLER'S.

Important things to keep in mind when rating your seller on the shipping and handling are:

Actual Cost of Shipping

This is often an area that effects a seller on international shipments, as they have become so expensive. Cost of shipping in many buyers opinion is too expensive, particular for international shipments. Keep in mind that a seller has no control over this and should not be downgraded on DSR's because you feel if the cost is unreasonable. The cost can be known by visiting USPS.com and inserting your country into the calculator, with the weight of the goods.  Your rating should then be based upon that cost, in comparison to your sellers collection amount for shipping and handling.

You should also keep in mind that with international orders, many seller's drive your item to the Post Office. Often times stand in line for 30+ minutes and have additional time spent on preparing those customs forms and labels. For this reason, many do not sell internationally, as it is often an unappreciated effort.

For Domestic shipments, again you can go to carriers sites to attain the cost of shipping the goods, at the actual weight from the seller's zip code to your zip code.

If you have any doubt on actual cost, the recommendation is for you to take the time to research this and then grade your seller accordingly.

INSURANCE

Many view insurance as being something only to the benefit of the seller, since PayPal offers buyers insurance against loss and damage already. This view has been extremely skewed by many buyers in to believing this is true and many sellers now require shipping insurance for items. Other sellers provide insurance through a 3rd party and substantial savings in comparison to USPS rates for insurance. All of these are for the protection of both the buyer and the seller.

Keep in mind, your purchasing an item often times for 25%-50% of the retail. A seller can not afford  many failed claims with buyers through PayPal to stay in business. Many would view this differently if you were paying the full retail price for an item. Considering the savings that are being made for the goods your purchasing, the additional charges that a seller requires in handling to cover their cost for insurance should be a reasonable consideration from a buyer.

The other option for many seller's is to raise the price of goods, for the purpose of covering insurance, among other aspects of handling, and to add this to the price of the goods, also raises their cost in fees that must be paid to eBay. So then it becomes necessary to raise the cost even a bit more. Buyers should take this into consideration and realize that by providing insurance in the cost of shipping and handling is actually saving the buyer in overall cost, as the seller does not pay eBay fees for shipping and handling cost.

HANDLING

There are many items involved with this, these include the cost of supplies, such as bubblewrap, tissue, boxes, tape, all which can add up quickly for properly packaging your goods and should be taken into account upon receipt of your goods. On the basis of these being new supplies, that could be a reasonable handling cost which was added on. In the event that a seller uses recycled materials, or free materials from the Post Office, with no additional packing materials required should also be taken into consideration when gauging if the cost was appropriate or not. Handling time is an aspect which is highly debatable, as some seller's feel that the time going to the post office should be covered. You are at your own descretion on this, considered if someone takes an hour out of their day, spends their gas and stands in line at the post office, even at minimum wage that is $6. I just do not see sellers adding $6 on to the shipping and handling to cover such and those that do could possibly be considered in violation of eBay's policies on excessive shipping and handling cost.

The following information was provided from a respected seller that is often on the discussion boards and  thought their insight was worth mentioning as well.

A handling fee for many packages between $1.00 and $3.00 is not unreasonable. It all depends on the item and how your item is packaged for shipping.

In the examples below of some package handling cost, a large factor in determining the cost of supplies depends if those supplies are purchased in bulk which leads to lower cost. Not all sellers are able to purchase packing supplies in bulk, making the packing supplies more expensive.

Mailing and bubble envelopes cost anywhere from $x.00 to $x.00 on average. The size quite often is the determining factor of the mailing or bubble envelopes cost.

If peanuts are used when preparing a package for shipment is another cost figured into handling. A bag of peanuts can cost as much as $x.00. Packages on average, may take $1.00 worth of peanuts. 

And of course, sound advice often given is check your seller's listings and be aware of what charges are prior to bidding and should you have any questions or doubts, inquire with the seller through the ASQ of the listing. If you feel that a seller is charging an amount that is very unreasonable and is possibly circumventing the fees to eBay, you have two choices. Do not bid on the items and locate something you feel is more reasonable or if your ethics and morals make you believe it is the right thing to do, report the listing to eBay for review for excessive shipping and handling charges.

Sellers use different methods in computing Handling charges on listings. Some which are:

A flat $2 or $3 charge added in, regardless of items packing supplies needed. Some simply overstate weight on the listing by 1 or 2 pounds allowing for this to cover the handling cost. Some allow calculations to process at the items exact weight, knowing that they will save 5%-10% on shipping with their account held with the Ground Carriers, so they use this to cover their supplies cost. There are other ways in which a seller comes up with these cost as well.

Bottom Line

Check listings before placing bids. When items are received and you can view the materials used and actual cost of shipping paid, base your ratings on the shipping and handling for those cost that were over and beyond what a seller could control. Often times they could have more controls on the materials, but they will never have any control over what they must pay a carrier for shipping your item. And a last bit of sound advice, a buyer and seller have 90 days to leave feedback, if you ever consider giving anything less than positive, then you should at least attempt communicating with your seller to resolve any concerns you have.