"Handling Charge": why ?

[jjbunn]

"Handling Charge": why ?

Can someone explain why the customer is charged a "handling charge" by some companies? Isn't handling goods just part of being in business ... why would the cost of handling the stock be passed directly onto the customer? Isn't that like charging an "office supplies charge" to cover the cost of the paperwork associated with an order? It seems to me that this is all part of the cost of doing business.

I ask because when I ordered a new heater motor from one of the Big Three I was told it was on backorder, and would ship later, and at that time I would be charged a "small" handling charge. That seems very cheeky to me, but I'm no businessman!

 

[myspitfire]

Re: "Handling Charge": why ?

The middleman is paid the handling charge, thats the guy between the manufacturer & the seller he's called the distributor.The distributor pays for packaging,labor,logistics.,thats where the handlin charges go......SSSooo its always good to buy directly from the Mfg.& bypass the middlemen/distributor.

 

[Brosky]

Re: "Handling Charge": why ?

If you are talking about either Moss or TRF, they do ship items on back order from a previous order with a minimum "shipping" charge. I have never paid a handling fee from either, just shipping fees.

Unless you are Dale in Puerto Rico, of course, but that's a previous thread. He really gets porked on the fees.

 

[TR6oldtimer]

Re: "Handling Charge": why ?

Some on-line retailers cut their profit margins on sales so close, that the cost of handling and packaging has to be added to make a profit. I also believe that some retailers look at their shipping department as a revenue center and set up fees to make them a profit center.

My pet peeve is when you are on a site that does not give you the shipping and handling cost until the very end.

And then there are those who do not even give you the shipping and handling cost until you receive the bill. The places I ran into like this were usually the retailers whose main business was not on-line and the very small operators.

When price shopping you need to look at all costs before submitting the order.

I have not had any gripes or problems with Moss or TRF.

 

[TR4nut]

Re: "Handling Charge": why ?

I don't want to start a flame war and can retract this if needed, but my last experience with TRF showed that they do indeed include a handling fee - for me since it was a very small parts order I was unpleasantly surprised since the relative total shipping was quite high for what I know the parts shipped at.

I took it as a lesson learned and will either wait until I get a bigger order together, or possibly one of those weekend shipping specials. If I were in charge of everything, though, I'd push those costs into the parts prices themselves.

Randy

 

[NutmegCT]

Re: "Handling Charge": why ?

And the fun really begins when you buy on eBay and find the seller charges a $10 handling fee on an item that he/she mails to you for 95 cents.

Tom

 

[Geo Hahn]

Re: "Handling Charge": why ?

...or possibly one of those weekend shipping specials...

Though if you order several items using one of those weekend specials and something is on backorder I believe there will be an additional shipping charge when they do finally get it in and send it to you. The only way I know to avoid this is to specify 'no backorder' which usually works for me since the weekend specials I order tend to be stuff I don't have to have to get the car back on the road.

As for eBay -- my recollection of eBay policy is that if a seller is going to charge you more than actual shipping then that must be disclosed in the listing. Not that there aren't sellers who disregard eBay policy.

 

[jjbunn]

Re: "Handling Charge": why ?

I don't want to start a flame war and can retract this if needed, but my last experience with TRF showed that they do indeed include a handling fee - for me since it was a very small parts order I was unpleasantly surprised since the relative total shipping was quite high for what I know the parts shipped at.

I took it as a lesson learned and will either wait until I get a bigger order together, or possibly one of those weekend shipping specials. If I were in charge of everything, though, I'd push those costs into the parts prices themselves.

Randy

It's TRF I'm talking about. Like you, I would increment the parts prices instead. The other problem I have with TRF is that their shipping takes much longer to here, whereas with Moss I tend to get the part the next day. That's just geography, though.

Having said that, I like TRF because they seem to have parts that the others don't, so I will go on using them for those.

Also, I was quite impressed when I phoned up about the status of my backorder, and found I was speaking to Chuck himself! Very nice.

 

[Tinster]

Re: "Handling Charge": why ?

Or............

The Mrs yielded a little ground on the NO MORE TR PURCHASES
and said she'd buy me a part for Christmas; an assembly
I don't actually need but would like to have.

"Call for shipping fees" their web site said.

I did, told them I wanted to place an order.
Great they replied- "what's your area code?"

Me- "787" I replied.

Vendor- "Never heard of that one. Where you callin' from"

Me- "Puerto Rico"

Vendor- " Oh. Uh... Someone will call you back."

No one calls me back

Later in the day..........Repeated the process
No one ever called me back.

I am an American and I speak English as my primary
language. I guess their profits are so great, they
don't need any more orders!

d /bcforum/images/%%GRAEMLIN_URL%%/mad.gif

 

[TR3driver]

Re: "Handling Charge": why ?

Though if you order several items using one of those weekend specials and something is on backorder I believe there will be an additional shipping charge when they do finally get it in and send it to you.

That didn't match my recollection, so I just went through a pile of old invoices. I cannot find one single instance where S&H was added to a backorder.

In fact, the most obvious example is a $125 order I placed in 2005, for 13 items including a Pertronix module & coil for a Stag. The module & coil were backordered, so S&H on the original order came to only $5. When the module & coil were shipped, there was no S&H charge.

So obviously, the way to save on shipping is to only order things that are out of stock /bcforum/images/%%GRAEMLIN_URL%%/grin.gif

 

[roofman]

Re: "Handling Charge": why ?

Some companies use independent shipping companies to ship thier items and that results in a handling fee. As far as ebay sales go, I state in my selling ads the fee is for "shipping and handling" based on what I am selling. Some items require purchase of an appropriate shipping container/envelope etc. not to mention packing materials. If you sell on ebay, sure something may only "cost" $2 to ship actual postage, but may cost $1 - $3 in proper packing materials. Then I have to drive 6 miles on lunchhour, stand in line for 20 minutes to ship an item. Then some bozo is ticked because I charged $6 "shipping and handling"
($2 postage +$3 packing materials +$3 gas +20 minutes to 40 minutes of my time) for the item. At $6 I made zero extra money. Now some ebayers take it to the extreme and when I sense that is the case I do not bid. Ask for shipping costs and realize potentially what it does actually cost.

 

[Bugeye58]

Re: "Handling Charge": why ?

So obviously, the way to save on shipping is to only order things that are out of stock /bcforum/images/%%GRAEMLIN_URL%%/grin.gif

Which, for some of our suppliers, is incredibly easy to do.
Jeff

 

[TR4nut]

Re: "Handling Charge": why ?

Also, I was quite impressed when I phoned up about the status of my backorder, and found I was speaking to Chuck himself! Very nice.

Yeah, I have to laugh, off topic but I had the same reaction when I called Revington TR and wound up taking to Neal. I think he thought I was a nutter as I stammered out how much I liked his stuff. It is very nice to talk to the actual owners - and why even though I don't like handling fees I'm still a loyal customer of TRF (and BPNW, and others..)

Randy

 

[TR3driver]

Re: "Handling Charge": why ?

Now some ebayers take it to the extreme and when I sense that is the case I do not bid.

There is no doubt in my mind that many ebay sellers build their profit into the handling charge. This in effect beats eBay out of part of their profit (since fees paid to eBay are based on bid amount, not S&H charges). In fact, it's not at all uncommon to find the same seller listing the same exact item for differing minimum bids, with exactly matching handling charges (such that the two amounts always total the same).

Personally, I just look at what the item will cost me, including S&H, and make a decision based on the total. If they want $20 shipping plus $1 bid for an item that would cost me $30 locally ... why not ?

 

[hondo402000]

Re: "Handling Charge": why ?

I too believe handling should be part of the price, shipping,,, no, but most people only buy on price so most every one leaves the handling part out to look competitive, Now I try to purchase things that work, reguardless of price, cause a cheap part is an expensive part, I guess we have to start asking when we buy, what are your handling charges? I would think that is negociable when you are placing an order

just my take on the matter

 

[jjbunn]

Re: "Handling Charge": why ?

The impression I get when I'm charged handling is that I've been slightly misled on the catalogue prices. It doesn't give me a nice warm fuzzy feeling if my order comes to $100 and at the last page before checkout I see a handling charge added, representing a small, but significant, percentage of the $100. Shipping charges are fair enough, and expected, but handling charges smack of profiteering ...

Now the other pet peeve I have is tax /bcforum/images/%%GRAEMLIN_URL%%/smile.gif Why, if I live in CA, am I charged sales tax on stuff I buy in another state, online? Moreover, as the tax is a fixed rate, why not just quote all prices with tax included? Coming from Europe, where the price you see marked is the price you pay, I have always been puzzled by this, since moving to the US.

OK, I'll stop grumbling now /bcforum/images/%%GRAEMLIN_URL%%/nopity.gif

 

[poolboy]

Re: "Handling Charge": why ?

I wholeheartedly agree with the last opinions about handling charges on eBay. In addition to time, fuel and packaging materials, you've got eBay commision and the cost of the ad, like roofman said.
And like TR3driver said, when I sell or buy, I figure it has to be calculated as part of the deal.

 

[Brosky]

Re: "Handling Charge": why ?

I hate to tell you but the "Chuck" that you spoke to was not Charles Runyan. I know all of the guys at TRF VERY well (trust me on that one) and Chuck is one of the phone sales reps. A great and helpful guy, just not Runyan.

Not to be confused with the other Chuck, or rather "Wood-Chuck", who produces all of the dash boards for TRF.

Chucks are Chucks, but there is only ONE Charles and he is definitely Charles.

 

[TR3driver]

Re: "Handling Charge": why ?

Moreover, as the tax is a fixed rate, why not just quote all prices with tax included?

Because it's not a fixed rate.
Sales tax is quite different in different states, and some don't collect tax on interstate sales while others do (illegally, IMO, but they rarely ask my opinions on such things). The rates vary from 0% (eg Oregon) to somewhere in the vicinity of 8% (exact rate depends on which county you are in!) here in CA. Which items are subject to sales tax also varies.<div class="ubbcode-block"><div class="ubbcode-header">Quote:] Coming from Europe, where the price you see marked is the price you pay,[/QUOTE]I'd guess that means you haven't tried to order anything from the UK since arriving here, then /bcforum/images/%%GRAEMLIN_URL%%/grin.gif

In fact, as I understand current EU rules, that no longer applies even to purchases within Europe. For example, if you are in Belgium and mail order from the UK, the UK vendor will undoubtedly include UK VAT of 17.5% in the prices shown. But EU regulations require them to charge you the Belgium VAT of 19%.

Anyway, in general, US companies are much more competitive about price than what I've seen in the UK. Even Triumph parts are, in general, cheaper on this side of the pond (which seems exactly backwards). In some cases, it's actually cheaper to order parts from here, and pay shipping (and handling) to Europe than to source them over there !

The upside of the increased competition is lower prices ... showing prices without tax and S&H is one of the downsides.

BTW, when you mail-order from another state, generally the vendor does NOT charge you sales tax directly. CA law provides that you are supposed to pay the sales tax directly to the state (along with your income tax), but I don't know any private individuals that do so.

 

[jjbunn]

Re: "Handling Charge": why ?

I hate to tell you but the "Chuck" that you spoke to was not Charles Runyan. I know all of the guys at TRF VERY well (trust me on that one) and Chuck is one of the phone sales reps. A great and helpful guy, just not Runyan.

Not to be confused with the other Chuck, or rather "Wood-Chuck", who produces all of the dash boards for TRF.

Chucks are Chucks, but there is only ONE Charles and he is definitely Charles.

Another shattered dream /bcforum/images/%%GRAEMLIN_URL%%/frown.gif