Is Canada Post Cheaper than DHL for Domestic & International Services

  • Snap Desk
  • 29-Jul-2021
Transportation Services

Canada Post and DHL are both e-commerce delivery companies. E-commerce delivery companies are involved in shipping parcels from one location to another. Thus, the price of the shipment plays a vital role in the overall order fulfillment process. In this scenario, both sellers and customers need to have a good idea about the types of shipping. Moreover, they need to know how the shipping rate is managed and multiple other factors. Overall, most companies define the shipping rates by using Flat Rate or Standard Shipping. A flat rate is a regular shipping rate applicable for all types of shipping, irrespective of weight, size, and dimensions.

On the other hand, in Standard Shipping, the shipping rate differs according to the weight, size, and related dimensions of the package. Shipping rate is a very crucial aspect that influence’s a customer’s decision to shop at all. It is a leading cause of abandoned carts. This is because higher shipping rates make buyers think that the shipping cost has made the product more expensive. Therefore, the best way to earn customers is by displaying the shipping rates on the checkout page. This helps customers know the rates provided by different carriers.

Domestic vs. International Services

Canada post is a delivery company that generally operates domestically. At the same time, DHL is a courier company operating worldwide. Thus, the comparison for these services is similar to the comparison between budget airlines and traditional airlines. This means that these two services often interconnect and use each other’s assets. Consequently, they end with the same result, i.e., getting parcels from A to B.

Conversely, when things go wrong, the result becomes different. This is especially the case with inanimate delivery objects. Therefore, lower prices usually occur in domestic packages. This is because Canada Post has infrastructures throughout Canada. Thus, enabling the company to have assets and quickly distribute the packages on scheduled routes.

On the other hand, a delivery company like DHL uses a different system that requires each package to be assigned as an individual. Additionally, it requires more thorough handling procedures than traditional postal services. On top of that, these companies have a smaller service demand. However, this does not mean faster services. Overall, when the delivery becomes international, the prices are often flat and transparent. Since the postal companies are only the available courier services, the prices are generally fixed. Thus, the change in prices is mainly determined by the destination of the package. Canada Post might seem like a cheaper alternative to DHL, but the services being compared are different.

Insurance Policies

Canada Post might also seem cheaper to DHL because of Insurance and guarantee factors. However, delivery companies with the most basic insurance option also cover a base-value compensation. Therefore, if a package is rather valuable, going for the more expensive courier service with improvised insurance policies is better. It might come at a higher cost, but it will ensure the safety of your package.