International shipping can be complex for online sellers, often involving a multitude of factors to consider such as customs duties, taxes, flawed parcel tracking systems, and long delivery times. However, sellers that are aiming to expand into international markets on eBay can use the Global Shipping Programme (GSP) to simplify the process.

What is the eBay Global Shipping Programme?

When participating in GSP, an eBay seller’s listings are shown to buyers all around the world. eBay’s software automatically calculates factors such as international shipping costs, taxes, duties, and provides estimated delivery dates prior to shipping. All this information is then compiled and added to a listing to provide accurate information for each buyer without sellers having to manually calculate and input the data.

When a purchase is completed, sellers will send an item to a shipping centre based in their own country. eBay then uses its service provider to manage the international delivery and customs processes.

The benefits of GSP

The primary benefits of the Global Shipping Programme are to help sellers discover new customers around the world. Reducing the time and complexity of international shipping processes helps even reluctant sellers and small businesses with limited resources to handle cross-border fulfilment just as easily as domestic shipping.

Sellers also have no additional duties or taxes to calculate and pay, no customs forms to fill out, and no requirements to source an international fulfilment provider. Enrolled accounts are also protected by eBay in case of damaged or lost items during transit, guaranteed a five-star rating for shipping time, and protected from negative feedback related to shipping.

Buyers can access GSP for information about their orders including the full cost of shipping, duties, and taxes. Shipping and customs duties are included, so the buyer does not need to provide any further input during the delivery stage.

The limitations of GSP

Although all sellers are able to enrol, currently, the programme is open to sellers who have obtained a performance rating of at least “Above Standard” according to the eBay guidelines. The items to be shipped must already be in the seller’s registered country and listed for sale on eBay.com or eBay.co.uk, in addition to the seller accepting PayPal as a payment method.

There are also restrictions depending on the destination country for a product and item specifications such as size, weight, and value of parcels. For instance, U.S. sellers have a set maximum weight range between 66 and 150 lbs, and a maximum length between 66 and 118 inches. Most countries allow a maximum item value of $2,500, but this can be varied, so it is recommended that sellers verify this before listing in certain territories.

Sellers should also be aware that categories such as smartwatches, gift cards and tickets cannot be included in GSP. More information about restrictions can be found on the official eBay website.

How it works

Once the products are listed via GSP, the items will appear in the applicable countries. The standard eBay and PayPal fees are applied to the sale prices. Once the purchase is completed, the seller will receive the item price in full, plus the standard shipping amount for domestic delivery.

Buyers will see estimated shipping and import charges for each listing, which will then be confirmed before purchase. The charges paid by the buyer include all the shipping, handling, customs, taxes and any other applicable fees.

However, sellers should be aware that returns are one of the essential factors that must be considered as GSP does not include this price within the cost. Due to the costs associated with returning items delivered worldwide, forfeiting the item, and sending a replacement can often be cost-effective, in addition to discouraging any negative feedback or disputes. Sourcing an international carrier is another popular method, as sellers can include pre-paid return labels within each purchase, ensuring that buyers can easily initiate the process.

The Seller Verdict

Currently, the consensus with sellers appears to showcase mixed reactions. Many have shared that GSP is a good service for simplifying global shipping and works as intended. Its easy-to-use process can be ideal for smaller sellers looking to expand without handling the fulfilment independently.

Other users have shared that it can be expensive for buyers, pricing products out of the market, thereby damaging international sales. We recommend that sellers conduct research into competitors, local markets, and consumer sub-segments prior to listing. Additionally, GSP is a partial service so it is unable to translate listings, provide customer service in local languages or handle the returns process.

Conclusions

While the eBay Global Shipping Programme is a great tool, featuring easy-to-use features and a simplified fulfilment process, there are limitations that sellers should consider. Product ranges, specifications, and sales data should be analysed by all sellers before expansion, to minimise the possibility of underperforming products in international markets damaging the reputation with buyers.

For best practices, it is worthwhile researching third-party logistics companies and direct shipping. GSP provides a simple solution for cross-border fulfilment, but more experienced sellers may yield better returns using alternative methods.

For more information about eBay, the Global Shipping Programme, and how to get started, get in touch with one of our dedicated specialists.