Accurate pricingīy choosing a DDP shipping solution with a reputable freight provider, you’ll have a single, clear price to pay for the shipping of your orders. In short, whilst DDP may be a bit more onerous than other types of shipping arrangement, it conversely will make your international shipping easier. Think of it this way if everyone (that is, freight companies, port authorities, customs officers etc) has set rules that they have to follow, then there’s less chance that something will go wrong with the shipping of your orders. Whilst there are quite a few things that need to be done under a DDP shipping arrangement, the fact that there are actually set rules and responsibilities will make your life as a seller easier. Internationally recognisedīecause DDP is an Incoterm, it sets out very clear rules and responsibilities. When you decide to send your goods using DDP, then the company that is in charge of your freight is responsible for ensuring that your item is sent safely, securely and that all associated customs, VAT and other charges are paid for. It will certainly help you to reassure international customers and provide them with a smooth, stress-free buying experience.īut, what are the other advantages of DDP? Let’s take a look… Lower risk The advantages of delivery duty paidĪs we’ve just seen, there are plenty of good reasons why DDP is used. In other words, DDP makes buying something from an international eCommerce store a much smoother and pleasant experience.
Not only are extra charges a sting, but the fact that a customer has to make a trip to a post office or depot, and also experience a delay in receiving their item makes the whole experience a sour one.ĭDP ensures the types of things we’ve just described don’t happen. What they don’t want is to have to go to the post office and pay an exorbitantly expensive customs fee or import duty.
They want to be able to click ‘add to basket’ and have it arrive at their doorstep sometime later. Say someone wants a coat that they’ve spotted online. It provides a smooth buying experienceįrom a consumer’s perspective, the less they have to do, the better. If the item does turn up damaged, then it’s the sellers responsibility to rectify the situation. It’s up to the seller to ensure that the item they are shipping – be it by air or sea – arrives in perfect condition. If you’re a consumer and you’re thinking about ordering something from another country, you may be a little worried if it will actually reach you in one piece or not. Because DDP is an internationally-recognised form of shipping agreement, your customers will be confident that they’ll actually receive the item(s) they’ve ordered. Using DDP also provides your overseas customers with reassurance. It protects your customersĭDP shipments ensure that the people buying your goods in other countries won’t suddenly find themselves with some nasty surprises (like having to pay a customs charge on top of what they’ve already paid for the item). But, there are many good reasons why it does get used.
Why is DDP used?Īs you’ve just read, there’s quite a lot for a seller to do under the terms of DDP. Take responsibility for VAT charges and any costs associated with delays etc.īecause of the additional work that is associated with DDP shipments compared to other types of shipment, it’s mainly used for higher-value items and goods (typically £25 or higher).
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