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Best Ecommerce Shipping Solutions in Canada

Jul 17, 2024 | Social Media

Best Ecommerce Shipping Solutions

Best Canadian eCommerce Shipping Solutions

As the e-commerce landscape continues to evolve, businesses in Canada are facing increasing pressure to provide efficient and cost-effective shipping solutions to their customers. The best Ecommerce shipping solutions in Canada are essential for ensuring a seamless customer experience, from the moment an order is placed to the final delivery.

In today’s competitive market, finding the right shipping partner can make all the difference in terms of customer satisfaction, brand reputation, and overall business success. This article will explore the key factors to consider when selecting the best ecommerce shipping solutions in Canada, highlighting the top providers and the unique features that set them apart.

Whether you’re a small startup or a large enterprise, understanding the nuances of the Canadian shipping landscape can help you make informed decisions and stay ahead of the curve.

Key Takeaways

  • ShippingCart, Shippo, and ShipStation are top-rated shipping solutions for Canadian ecommerce businesses.
  • When evaluating shipping software, factors like accurate rate quoting, label printing, tracking, insurance, returns management, and integrations should be considered.
  • Understanding the complexities of Canadian shipping, such as distances, rural delivery, and customs processes, is key to optimizing delivery services.
  • Automated systems like batch label printing and customs paperwork help improve fulfillment efficiency.
  • Offering free shipping, setting up Canada Post and Purolator accounts, and integrating carriers are strategies used by top ecommerce companies in Canada.
  • Third-party logistics (3PL) services allow small businesses to scale fulfillment operations quickly in Canada.

A Basic Overview of Shipping

Shipping is often the most challenging part of running an ecommerce business in Canada. The country’s vast geography spread out population, and complex customs requirements make shipping more complicated compared to other countries. Selecting the right solutions for order fulfillment, shipping label printing, rate calculation, and tracking can significantly impact customer satisfaction and costs.

This article will look at the top ecommerce shipping solutions that simplify fulfillment logistics for online sellers in Canada. Whether you sell on Shopify, Magento, WooCommerce, or other platforms, integrating these shipping solutions can help you deliver orders efficiently across Canada while controlling costs.

Top Shipping Solutions for Ecommerce in Canada

  • ShippingCart
  • Shippo
  • ShipStation
  • NetParcel

ShippingCart

ShippingCart is an all-in-one shipping management platform built for ecommerce. It lets Canadian businesses automate their order fulfillment workflows and ship items quickly across the country.

Key Features of ShippingCart

  • Multi-carrier rate shopping to find the most affordable shipping rates
  • Automated label printing for carriers like Canada Post, Purolator, UPS, FedEx
  • Customs documentation like commercial invoices
  • Real-time tracking and delivery notifications
  • Return portal for managing exchanges and refunds
  • Inventory syncing with sales channels like Shopify, Amazon, eBay
  • Pick/pack/ship workflow automation

ShippingCart also provides volume discounts of up to 85% on shipping labels. The platform integrates seamlessly with Shopify, Shopify Plus, and other popular ecommerce platforms through API connections.

Shippo

Shippo is a leading US-based shipping platform built for modern ecommerce. It offers extensive delivery services within Canada and other countries.

Key Features of Shippo

  • Rate quoting and labels for Canada Post, Purolator, FedEx, UPS
  • Print labels in batches for faster fulfillment
  • Auto-generated customs documentation
  • Branded tracking pages and email notifications
  • Returns portal to handle parcel returns
  • Inventory syncing across sales channels
  • API integrations with ecommerce platforms

Shippo offers discounts with major carriers and passes the savings on to merchants. It also optimizes international deliveries by recommending the best carriers per shipment.

ShipStation

ShipStation is a robust shipping solution for high-volume parcel shipping from a single warehouse or 3PL.

Key Features of ShipStation

  • Multi-carrier rate shopping and label printing
  • Automated order importing from shopping carts and marketplaces
  • Customs form generation and compliance
  • Cross-border rate quoting and shipping
  • Returns portal for managing refunds and exchanges
  • Reporting on shipments, products, carriers, and customers
  • Mobile apps for order fulfillment on the go

ShipStation integrates with all major shopping carts and marketplaces. It’s ideal for B2C and B2B merchants with high monthly order volumes.

NetParcel

NetParcel is a homegrown Canadian shipping software built to handle complex fulfillment. It has extensive capabilities for multi-channel retailers and brands.

Key Features of NetParcel

  • Multi-carrier rating and label printing
  • Customs documentation for international orders
  • Warehouse management system integration
  • Inventory management across multiple warehouses
  • EDI integration with retailers like Amazon, Walmart, and BestBuy
  • Route optimization to lower freight costs
  • Reporting on deliveries, product performance, carriers

NetParcel caters to both B2C and B2B merchants. It optimizes LTL freight and pallet shipments as well as parcel deliveries.

What Factors You Should Look For in a Shipping Solution

Here are some key factors to evaluate when choosing a shipping solution for your Canadian ecommerce business:

  • Accurate Shipping Rates: The software should provide precise rate quotes by integrating with major carriers like Canada Post, Purolator, FedEx, UPS, and others. This ensures you charge customers the right rates.
  • Label Printing: It should allow batch printing shipping labels for multiple orders to streamline fulfillment. Automatic label generation boosts productivity.
  • Shipping Insurance: Having the ability to insure valuable parcels protects against loss or damage.
  • Discounted Rates: Leveraging volume discounts from carriers helps lower shipping costs. The software should pass those savings to your business.
  • Tracking and Notifications: Tracking numbers and delivery notifications keep customers informed about their order status. Branded tracking pages provide better visibility.
  • Customs Processing: The platform should assist with customs documentation like commercial invoices, NAFTA forms, and value declarations for international orders.
  • Returns Management: Having a self-service returns portal lets customers conveniently initiate returns and refunds.
  • Reporting: Actionable insights into shipments, carriers, costs, margins, and other KPIs help make data-driven decisions.
  • Inventory Integration: Syncing orders and stock levels across shopping carts, marketplaces, and warehouses ensures accurate fulfillment.
  • Support: Responsive customer support and onboarding will help you get set up and address any issues.
  • E-commerce Integrations: Connecting with various shopping carts and marketplaces via API or app integration maximizes functionality.

Understanding Canadian Ecommerce Shipping

Canada presents unique challenges for ecommerce shipping that require specialized solutions. Some key aspects to consider:

  • Vast Distances: Canada is the second largest country by land, covering 9.98 million square km. Shipping distances between major cities can be large.
  • Rural Deliveries: A significant portion of Canadians live in smaller towns and rural locations far from urban hubs, making delivery more complex.
  • Lower Shipping Margins: Large distances mean higher carrier rates and lower margins if not optimized properly. Accurate quoting is essential.
  • Customs Processing: Every package leaving Canada requires customs documentation. Preparing forms, taxes, and duties for international orders adds overhead.
  • Longer Delivery Times : Due to longer transit routes for many packages, the average delivery time in Canada is 4.9 days vs. 3.9 days in the US. Setting the right expectations with customers is key.
  • Return Logistics: Allowing easy returns reduces friction for customers. Managing exchanges and refunds smoothly minimizes losses.
  • LTL and Freight: Pallets, heavy goods, and business shipments may need LTL, FTL, or freight shipping. Having access to discounted LTL rates helps.
  • Software Integrations: Tying together shopping carts, shipping, accounting, and other platforms streamlines operations for sellers.

How Shipping Solutions Help Optimize Ecommerce Fulfillment

Robust shipping software provides automation, streamlining, and optimization across the fulfillment workflow:

  • Automated Label Printing: Batch printing labels and customs docs for multiple orders eliminates tedious manual work. This allows for faster order fulfillment with fewer errors.
  • Rate Shopping: Automatically fetch rates from multiple carriers to get the best price for each delivery. This reduces shipping costs substantially over time.
  • Customs Processing: Generating customs invoices, NAFTA docs, and value declarations correctly avoids fines and border delays for international shipments.
  • Returns Management: Customers can generate pre-paid return labels and track refunds within a self-service portal, making exchanges easier.
  • Pick/Pack/Ship Workflows: Advanced systems can assign and print pick/pack slips and mark orders as ‘shipped’ automatically, boosting warehouse productivity.
  • Inventory Syncing: Syncing inventory quantities across channels, carts, and warehouses ensures orders aren’t oversold or unfulfilled. Accurate stock data also improves customer experience.
  • Analytics and Reporting: Accessing actionable data on orders, shipping performance, carrier costs, margins, and other metrics allows smarter decisions.

9 Best Strategies Used by Top Ecommerce Companies

Established e-commerce companies with years of experience have optimized their Canadian shipping. Here are some of the common strategies used:

1. Offer Free Shipping

Many top retailers, such as Amazon, Walmart, and BestBuy, offer free shipping on orders above a minimum spend, such as $35. This encourages larger basket sizes and improves conversion rates. The minimum order value covers the shipping cost.

2. Set Up Canada Post Accounts

Direct Canada Post integrations allow businesses to get commercial rates, discounts, and better tracking. Solutions like ShippingEasy, Shippo, and NetParcel facilitate this integration.

3. Provide Pickup Options

Allowing in-store or curbside pickup saves shipping costs and transit time for nearby customers. Companies like Best Buy and Home Depot offer this.

4. Use Fulfillment Centers

Having multiple fulfillment centers spread across Canada allows 2-day ground shipping to a wider coverage area vs shipping from a single warehouse.

5. Offer Premium Delivery

Providing express shipping options (e.g., Purolator Express) allows customers to get items faster for an added fee. Premium delivery improves customer experience.

6. Set Expected Delivery Times

Showing accurate delivery estimates online sets proper expectations with customers regarding carrier and destination, improving customer experience.

7. Offer Weekend/Evening Delivery

More customers are willing to pay extra for weekend or evening delivery, and partnering with on-demand couriers helps meet this demand.

8. Use 3PL Fulfillment

Third-party logistics (3PL) providers can efficiently handle warehousing, inventory, and shipping, allowing brands to scale faster across Canada.

9. Provide Tracking Information

Sending tracking details proactively and making them available on the site provides buyers with visibility and peace of mind.

What are Third-Party Logistics (3PL) for Ecommerce Shipping

3PL (third-party logistics) providers specialize in warehousing, order fulfillment, and shipping. They are an attractive option for e-commerce sellers who want to outsource parts of their order fulfillment workflows.

Benefits of Using a 3PL Provider

  • There is no need to lease, manage, or staff a warehouse facility
  • Leverage vast shipping discounts from integrations with carriers
  • Handle surges in order volumes seamlessly
  • Add or remove warehouse capacity quickly as needed
  • Get zone skipping to reduce transit time between warehouses
  • Integrate directly with your sales channels and shopping cart
  • Provide insight into orders, inventory, shipping KPIs
  • Reduce costs through established shipping rates and automation

Some of the top 3PLs with ecommerce fulfillment services in Canada include Shipmonk, Rakuten Super Logistics, ShipBob, and Whiplash.

3PLs allow smaller merchants to provide a scalable, high-quality logistics experience comparable to large retailers. As your sales grow, they provide the bandwidth to expand storage and shipping capacity easily.

How to Choose the Right Ecommerce Shipping Approach

  • Store Size: Smaller sellers can start with Canada Post and Purolator. Larger omni-channel players need multi-carrier support and 3PL integrations.
  • Order Volume: High order volumes justify direct carrier accounts for the best rates. Using a 3PL also optimizes the shipping process.
  • Delivery Speed: Businesses that prioritize fast shipping need same or next-day delivery via couriers like Purolator and FedEx.
  • Type of Goods: Light packets can ship cheaply. Heavy, oversized items need LTL freight quotes. Perishable goods require temperature-controlled logistics.
  • Delivery Locations: If you sell globally, find carriers with international coverage and customs capabilities. Canada Post and Purolator work well for domestic-only delivery.
  • Budget: Weigh fulfillment costs vs. customer experience. Cheapest shipping options impact delivery time and service quality.
  • Business Size: Larger sellers need software that integrates across shopping carts, stores, and marketplaces. Smaller shops can start simple.

The Bottom Line

Finding the right shipping strategy is key to succeeding with ecommerce in Canada. Using solutions like ShippingCart, Shippo, and NetParcel allows retailers to tap into major carrier discounts, automate processes, and provide excellent delivery experiences. As volumes grow, 3PL services help scale fulfillment seamlessly.

Focus on choosing options that suit your SKU counts, order volumes, delivery speed needs, and business model. With the right solutions, it’s possible to offer affordable, fast, and transparent shipping across this vast country. Delighted customers and optimized operations await merchants who invest in the right shipping approach for their Canadian ecommerce venture.

FAQs around Ecommerce Shipping in Canada

What are the most popular shipping carriers used in Canada?

Canada Post and Purolator handle the majority of parcel deliveries within Canada. For international shipments, DHL and FedEx have strong worldwide networks. UPS and Canpar also serve the Canadian market.

How long does the average ecommerce delivery take in Canada?

According to the latest Shipping in Canada Survey, the average Canadian delivery time is 4.9 business days. Transit times can vary depending on origin, destination, and carrier.

What are the busiest online shopping days in Canada?

The weeks before Christmas are the busiest for ecommerce in Canada. Black Friday, Cyber Monday, and Boxing Day also see major surges in online orders.

Do Canadian customers prefer free shipping?

Research shows that 8 in 10 Canadian shoppers prefer free shipping over fast shipping. Retailers offering free shipping see higher conversion and order values.

What is the best way to handle ecommerce returns?

For convenience, let customers initiate pre-paid return labels online. To boost confidence, offer a 30-day window for returns: Automate refunds upon receiving returned items.

How do I save money on shipping costs for my Canadian ecommerce store?

Using discounted rates from Canada Post and Purolator saves significantly over published rates. Shopping rates between multiple carriers also lower costs. Integrating with a 3PL provides baked-in discounts.

What are the main options for international ecommerce shipping from Canada?

For global deliveries, agreements should be arranged with major couriers, such as DHL Express, FedEx International, and UPS Worldwide, which offer services to more than 200 countries.

How long does customs clearance take in Canada?

If the paperwork is accurate, most packages clear Canada customs within a few hours. Anything needing inspection can take 1-3 days longer. Clearance times vary by port of entry and traffic volumes.

Should I use a single warehouse or multiple fulfillment centers for Canadian shipping?

A single Canadian warehouse works well for limited SKUs. Larger inventories benefit from having 2-3 fulfillment centers strategically placed across different provinces to enable fast ground transportation.