Why does anyone send tracked items under at least £100?

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Seller_tAdfQBOHe6QCW

Why does anyone send tracked items under at least £100?

If tracking is £1 or more and RM loss rate is 1%, then you’re paying £1 for 1%.
Wouldn’t it be cheaper to lose some?

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Seller_sFEUMUfeW5484
Most helpful replyThis reply was marked most helpful by the original poster.

many reasons why.

For example if you’re a volume seller, posting everything Tracked 48 could get you a better price than standard RM48.

I agree with your point that on the whole, it cheaper to allow a few items to get “lost”, than to send most everything tracked.

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Seller_tAdfQBOHe6QCW

And so if you send an order for £200 and it only costs you £75. It still doesn’t make sense to send tracked.

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Seller_7VbclcPFFRTnc

but just to put it into perspective about royal mail loosing 1% - thats nationwide
If i send 1 order at £200 and they loose it - and i only send 1 order - thats 100% loss rate for me !

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Seller_ExkX6IN03C3IM

We have 1-2 customers/week trying it on claiming non-delivery, this however on fully tracked shipments so easier to fight. If we would not ship tracked I think the rate would be a lot higher.

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Seller_xUKHc5xSYJmI4

My concern the tracked service is never 100% guarantee the order is delivered, the number of a signed for deliveries and special deliveries without a signature is alarming.

Royal Mail sign the handheld terminal upon delivery as XP1 and gives the order to the customer without checking the identity of the person accepting the order. Such as are you Mr or Mrs so and so, its already happened to me. Important documents were sent to the wrong address.

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Seller_Hzp8CMWaCk46F

If it weighs over 2kg you have to send it tracked.
80% of what we sell is over 2kg but worth less than £100. I would happily send untracked but no untracked services at that weight

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Seller_BnVOWgdqcG8XL

We used to send all our orders untracked but made the change about 2 years ago to use the Royal Mail Tracked 24 & 48 services. Whilst it’s not perfect and there are still items that on occasion go missing; life is just so much better and easier that we’d never go back. We incorporate the cost into the price we sell items for and generally all our items are below £100 in value.

Prior to going on tracked we were at the stage that we’d have 5-10 messages every single day from customers wanting to know where their order is, why it’s not been delivered, etc. Now over a busy week we might get 5 in total.

Additionally we’ve been able to start using Seller Fulfilled Prime within the past year with very little hassle at all as we were already signed up and using services required. (I just mean no hassle on the mailing side, SFP is a bit of a nightmare in general with amazon’s iron fist holding increasingly higher hoops to jump through)

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Seller_sFEUMUfeW5484
Most helpful replyThis reply was marked most helpful by the original poster.

many reasons why.

For example if you’re a volume seller, posting everything Tracked 48 could get you a better price than standard RM48.

I agree with your point that on the whole, it cheaper to allow a few items to get “lost”, than to send most everything tracked.

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Seller_n33KwLeg9XOvi

YES… but you may also lose your selling account… Claim rates etc

You have to weigh up the pro’s and cons.

Everything I sell FBM on amazon is sent tracked (factored into the Free Delivery price).

Other sites I am fairly easy on the tracking.

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Seller_y0ARSvlTiA4L8
  1. using just economics, the replacement cost of an item needs to be higher than the. eg replacement cost of a toy is £10, on average 5% go missing if not tracked, so if the tracking cost is more than 50p it is not worth using tracking.
  2. Not worth using tracking if cost of tracking is higher that the margin (in which case you have to stop selling or work at reducing cost / increasing prices)
  3. But this does not take into account many other “soft” factors like customer dissatisfaction, lower productivity.
  4. There are also some very difficult factors to assess like increased chance of customer fraudulently claiming non delivery for higher value items over lower value items.

I send items valued between £2.61 and £535.00, I so I set a gut feel sales value limit over which all is tracked (sales value because replacement cost info is not readily available when packing up).

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Seller_0jWlqgUh2docO

less than 1% of my items go tracked, items i sell are circa £15 and i have done this since i joined amazon probably 7 years ago

if on the occasion i do get a dnr i ask them to clarify the address then send out a replacement, must have saved thousands over the years

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