kudzurunner
4564 posts
Feb 23, 2014
10:15 AM
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On a recent visit to the Post Office, I was shocked to discover that it now costs $7.65 to send one CD from the US to Canada. It's considered "First Class Package International Service." There is no Media Mail rate once you leave the US.
It costs $9.45 to send the same 3 ounce package (cheap bubble-pack mailer, a Blues Docs CD) to the UK.
That is unbelievable! But those are the current rates.
For most of the year I've been pretending that I could get away with the so-called "large envelope" rate, which is much cheaper (roughly half the price), and for some reason, when I send CDs from home, they're letting me do it. But when I went to the post office to mail a CD recently, they nailed me. I tried to argue with the agent about the package category--"it's SORT OF flexible," I whined--but then I suddenly realized that, duh, THIS IS WHAT HE DOES FOR A LIVING.
In any case, before I raise the postpaid prices that I charge for my CDs on this website, I'd like advice. Is there some way of avoiding these sickeningly high postage rates? 95% of what I send out are packages consisting of one or two CDs, occasionally a DVD of the same size. The packages weigh between 2.8 and 5 ounces.
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lumpy wafflesquirt
763 posts
Feb 23, 2014
10:51 AM
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Just a thought, is it cheaper to send a batch of CDs to each country where there is an MBH member who can then send them out for you. [Give them a free copy for doing it?] I guess that would depend on the volumes for each country and if there is someone that you trust.
or take them when you travel as hand luggage and lesve with a trustee.
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"Come on Brackett let's get changed"
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kudzurunner
4565 posts
Feb 23, 2014
10:58 AM
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No, I'm afraid that system you've suggested would be an absolute nightmare, and profit-free. It just wouldn't work.
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tookatooka
3629 posts
Feb 23, 2014
11:39 AM
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I used to send small artworks to the US until last year. The price for a large envelope "Signed For" with minimal insurance is around £10. It's ridiculous and I know how you feel Adam. Cut my market in half.
I lost six watercolours on one occasion posting to the US, the time and cost of claiming through the insurance made it impossible to contemplate but I didn't dare using an un-insured option. We're getting shafted.
Last Edited by tookatooka on Feb 23, 2014 11:46 AM
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mlefree
143 posts
Feb 23, 2014
12:16 PM
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Adam, how do handle the UK VAT?
I was looking into selling my harp-centric leather goods to a potential customer(s) in England, and found out what a problem that is for a small business. Apparently you either have to support your own VAT tax reporting but it costs an initial significant outlay plus $500 per month to maintain that. The only other alternative is to find an import/export company that can handle the duty charges and import fees for you.
I'm hoping you know of a simple and affordable alternative.
Thanks,
Michelle
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SilverWingLeather.com
email: mlefree@silverwingleather.com
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nacoran
7556 posts
Feb 23, 2014
2:16 PM
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It sounds like there is a need in the music industry for independent artists to be able to distribute internationally, which probably means there is a service out there that offers that, or that there is an opening for a service like that. It might be impractical for someone to handle one artists CD's in the mail, but if someone was already handling harp related product and wanted to piggyback some advertising and could get several artists, maybe something could work.
How about Amazon? Is there a way to use their infrastructure? (Or eBay?)
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Nate
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SmokeJS
229 posts
Feb 23, 2014
2:17 PM
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Some Adam Gussow product is availabe on Amazon.ca and there!s always downloading from iTunes if available.
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LSC
598 posts
Feb 23, 2014
2:46 PM
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I've found good ol' CDBaby to be a good alternative to dealing with overseas sales direct. Their cut is far less than postage, you don't have the hassle, and you can set your own price. I don't think there is actually a way to send goods cheaper using USPS. The rate is the rate and I've found even domestic shipping rates through both USPS and FedEx are getting pretty silly.
I am surprised that you were able to send CDs overseas from home as a customs form stuck to the envelope is required and that has to be stamped. I tried just filling out the form, sticking on the envelope with correct postage and it always bounced back due to lack of the form being dealt with correctly.
As to VAT in the UK. If memory serves from my two decades of living there, there is a fairly high threshold below which you are not required to collect VAT. The whole idea of a foreign seller being responsible for VAT collection in the UK seems not quite right to me. When you ship merchandise to the UK the end receiver is responsible for any customs duties. VAT is payable on those duties as well which makes it a tax on a tax.
I used to import and sell guitars and studio equipment, flying back and forth a couple of times a year. When entering the UK I would declare the items backed by receipts. Those are important. I was dealing in vintage stuff bought privately. I'm pretty good at sniffing out bargains and negotiating and never paid market rates. Customs officers would give me this scripted song and dance about how they have "experts" who know the real value but what they don't tell you is that they have to accept the price paid as shown on the receipt regardless of "market value". Once the duties are paid you are free to sell privately as you will with nothing more owing Her Majesties government regardless of profit margin. If you are a brick and mortar business or doing high volume that is a different story.
What you never want to do is falsify a customs form for an end user like declaring a gift or lesser value than you received.
Oddly enough, when I lived in Holland if merchandise was shipped through the post office I was never asked for customs duties but if it was sent via FedEX, UPS or any other carrier there were all kinds of duties, brokerage charges and all sorts. I was once sent a vintage Telecaster from Florida to Holland through USPS with the neck in one box and the body in another, both labeled as parts with the full value of the parts declared on the US customs form. I was not charged an import duty on either package. Teles having bolt on necks it was maybe a 30 minute job to attach the neck and set up the guitar. Sweet.
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LSC
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LSC
Last Edited by LSC on Feb 23, 2014 2:47 PM
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