AW Daily - Tips & Tactics - After the Auction: Avoiding Excessive Shipping Costs

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At some point down the road, you are going to encounter sellers who attempt to increase their profit margins by padding their shipping costs. Here's how to spot these bandits before you get taken advantage of.

First and Foremost
Before you even get to the stage of having to haggle over inflated shipping charges, be sure you know what the seller intends to charge before winning the auction. If you are really serious about bidding and the seller doesn't specify the shipping charges, email him or her beforehand to get an exact weight, rate, and shipping method. For instance, if an item sells for $3, then the seller should offer an alternative to Priority Mail. Also, read listings carefully. Questionable sellers who like to increase their margins might just bury excessive shipping costs on a low-priced item in their listings. Finally, look at what other sellers are charging for shipping on the same or similar items.

Calculator
If you live outside the United States, you may want to include the URL for the U.S. Postal Service's international shipping section in your response to the seller or initial contact, so that both parties are clear about the different shipping rates and services. You can also take an item's specified weight and dimensions, and plug them into UPS's shipping calculator. Then, send the seller the URL with the results.

Paying for Extras
If you feel that shipping costs seem excessive, you may want to ask the seller if he or she is counting the finder's fee, price of the box, padded envelope, bubble wrap, drop off, customs form processing, and insurance. This will help justify the costs for you. Also, a seller might realize that he or she is overcharging you and therefore change the fee because it was an honest mistake. If you still feel the amount is unreasonable, you should suggest that the seller outline the expenses in his or her listings (you might also add that these expenses should be included with the reserve price or opening bid). Sellers should even think about deducting these expenses from their taxes so that they don't have to pass them on to their customers.

Exceptions to the Rule
Look for auctions in which the seller lets you trade Priority Mail for First Class. This can save you about a third of the total shipping cost. You should take advantage of this on inexpensive items, which do not require protective packaging. Also, check if the auction indicates a "heavy" estimate, inferring that the seller is quoting a high estimate, which will likely come down once the final shipping cost is established. You'll see the seller is just being cautious, and not trying to overcharge you. In these cases, a seller will often ask you to accept the heavy estimate with the understanding that he or she will refund you the amount overcharged.

Factor It In
If you tend to bid on expensive, fragile items for which you know the seller will demand higher-than-normal shipping charges, factor that cost into your bid so that it's accounted for. That way, when you add $10 shipping and handling on a $30 piece of china, you won't be surprised. If a bid, along with the factored-in shipping, is going to be too rich for your blood, skip it. Yes, you may let some nice pieces pass you by, but you'll learn to exert some fiscal discipline.

Be Observant
If a seller underestimates the shipping cost in a listing and demands that you cover the cost he or she was required to pay, you are not required to pay that fee. You agreed to pay what was outlined in the seller's policy and listing. Just the same, be reasonable and seriously consider helping a seller recoup his or her expenses; however, be on the lookout for sellers who attempt to pad their shipping and handling charges after the fact. Finally, avoid auctions where the sellers trump up the shipping charges to recoup the cost of listing the item at a below-value price to avoid a more hefty commission. In other words, they'd like to have you pay for the real value in the form of overpriced shipping fees. Don't buy it--literally or figuratively.

The Negative
It's justifiable to leave negative feedback for a user who misrepresents shipping charges or asks for more money without proper justification and then will not complete the sale. While some people advise that you shouldn't send an email to confirm charges, it is a good practice. If you have been diligent about the entire process, and then a seller doesn't respect his or her quote without giving a legitimate reason, negative feedback is warranted. This is especially true if a seller does not offer the value-added benefits a mail-order business would offer and charge for.

Using Escrow
Recognizing Hidden Costs
Researching Sellers