USPS Rate Hike: Your Reselling Business Can Still Come Out a Winner

"The sky is falling!!" USPS to raise shipping rates as much as 25%

Unless you are completely new to the selling side of Lego investing, you have probably heard that the United States Postal Service is increasing shipping rates. There are plenty of articles and news stories documenting why they are doing this, and that is not what this blog entry is for. There are even plenty of news articles that will help the eBay sellers navigate the new fee structure for shipping, a decent summary can be found HERE I had been meaning to make a post about this topic earlier in time for the Christmas rush, but I figured that with this news, it would fit in nicely with our new Blog/News series that Brickpicker has been developing.

How to "win" at shipping

The difference in a successful Lego investor/seller and one that is just scraping by with small margins can be as simple as understanding your shipping options, and ways to save money.

• If you use the USPS for your primary shipping option, use their free shipping supplies. Looking at their website, the USPS offers 73 different options of free shipping supplies  It always makes me wonder when fellow brickpickers post their deals on Staples boxes if they are paying for their boxes and then turning them around and using the USPS services. The Game Board shipping box with outside dimensions: 24-1/16" x 11-7/8" x 3-1/8" is one of my stand by for those medium sized sets. Feel free to "make your own" size, just be sure to use the USPS service. These supplies can be delivered straight to your house at no charge and can be rather convenient.
• This goes with the first post, but know your box sizes and know your flat rate costs. Did you know that an entire set of 9 Mixels fit perfectly in a padded flat rate shipping envelope? These you can ship anywhere in the USA for around $6. Will that set you sell fit in a medium flat rate box? (did you know that there are two versions of this? a flat and a square one?) Know your dimensions, know your sets. You can be overpaying for your shipping without even knowing it. For loose Lego or anything in a polybag, the padded flat rate shipping option is amazing. There are probably options out there that you don't know exist. What is a regional rate box? Do a little of your own research and you may find better options than you are currently using.
• Make a shipping plan. This is mostly for the eBay sellers, but it's good to have a plan with any time you will be doing shipping. There is nothing more deflating than paying an extra $20 or more to ship to Hawaii, Alaska or Puerto Rico (all in the US) or some other obscure territory that you didn't know existed and is suddenly hot after your Lego sets. I personally ask buyers living those states to ask for a shipping quote (include that in all your listings!!), I will also make a note that I will add an extra $10 or $20 to cover the extra expenses. I am 100% convinced that there are people living in all these remote places that do a lot of their online shopping to take advantage of those that don't know any better.
• Reuse shipping boxes. This doesn't work if Amazon is your primary selling venue, but if one isn't already doing this, they need to start. Your tumblers just arrive in mint condition? Well, tape that box right back up (after you remove the invoice sheet) and put it into cold storage as is. If you do most of your buying online this should be a no brainer. For the larger sets that I end up building, I break down the large boxes and keep them in the garage. Chances are your local Staples or Walmart doesn't carry a  decent box option in hand for exclusive sized sets, so start building your stash.
• Use cheaper options, but know their unique tricks too. I live in a small town that doesn't have a FedEx or a UPS store. Scheduling a pickup is an option, but I am a little concerned with theft, and it doesn't usually fit into my schedule. There is a Ma and Pop type shipping place in town that charges $3 to drop off a package. I think I probably left 20 packages there before the lady told me one of their little secrets. A lot of FedEx shipments use both the USPS and FedEx trucks. Look at your label. If there is both a USPS and FedEx barcode on the label, you can just drop off at your nearest post office and pocket your $3.
• Become the master bundler. If you don't know the maximum weight of your first class package, you probably don't dabble in the small stuff, or are just new to this. Well, it is 13oz. Did you know that a lot of polybags are so light you can fit 5-10 in one first class package? I have found that as my ebay presence has grown, and I have navigated the shipping challenges, I have been able to use that to make more money. For international buyers that are requesting a quote, I always let them know that I can add any small items for little or no extra charge. I have been pleasantly surprised how many will add a few polybags or loose minifigures. They are already paying shipping so they are saving quite a bit buy just adding on to their existing order. One of the things I like most about eBay is the ability to create your own bundle. You may be the only listing with Star Wars and Friends sets. By sending them to the same buyer you can save by shipping them together.
• Time your auctions accordingly. This is probably most important for the West and East coast sellers, but it is good to know, If I live on the West Coast, time your auctions to end at a decent time for West Coast people, when all the East Coast people and their expensive shipping rates are in bed. This is going to take some trial and error, and will greatly depend on your volume of sales. Once you get into a groove you may be surprised how much you save selling closer to home. This also works with the "or best offer" option. This lets you screen where you send your Lego and give priority to those that live close.

I probably left out plenty of other tricks, but this is a good start I think. What did I leave out? What are your secrets?

*photo credit is from the USPS website, I figure they won't mine if we send them some traffic*