SMEs: Higher fees for parcel deliveries

Small regional merchants have a hard time competing with larger companies for online commerce for holiday shopping. Since the delivery costs of parcels are difficult for SMEs to bear, measures are requested from Canada Post.

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Consumers are increasingly turning to online shopping for holiday shopping. Smaller regional merchants are adapting to compete with online commerce giants.

Delivery costs, especially from Canada Post, are a barrier for SMEs doing business online. These companies do not have the shipping volumes of large retailers.

Hence it is difficult to have preferential rates like multinational corporations.

The Canadian Federation of Independent Business (CFIB) is calling on Canada Post to offer special rates to SMEs for parcel delivery.

“Offer more pricing options that include significant discounts for SMEs[elles] More competitive, essentially [celles] Online business. We know this, our members have told us, it’s especially independent bookstores, who have a hard time competing, and then we have to give them more options,” explained CFIB Senior Policy Analyst Michelle Agar.

The Canadian Federation of Independent Business wants to find solutions with the Crown corporation. Recently, the company has gone on a public outing regarding Amazon’s business practices, which are concerns for small businesses.