One of my favorite shipping services, Sendle sent out an email to customers today outlining changes to their pricing and the release of distance-tiered shipping. Here’s the breakdown of what’s changing.
With the onslaught of yearly rate changes we’ve all likely become numb to at this point, Sendle tries to be a bit different and pad their rate changes with tiering.
Sendle’s New Distance Tiers
Effective February 17th, Sendle is moving to a two-stage pricing calculation. If you’re a Sendle follower or user already, you might already think tiered pricing is a thing. In a way, you’d be right. Previously, Sendle’s pricing structure was strictly based on volume. For those shipping only a handful of packages here and there wouldn’t see the same pricing discounts as a more heavy volume shipper.
In addition to the pricing discount tier, Sendle will start to also consider distance when it comes to calculating the rate.
These two distance categories are broken up into Local (150 miles or less) and National (more than 150 miles). Sendle provides examples of what these distances might look like, using Seattle to Portland, Cleveland to Pittsburgh, and New York to Philadelphia as examples of what “Local” shipping would look like.
The 150-mile cut-off is interesting and is likely heavily influenced by the USPS’ zone-based distance calculations that affect charged rates. USPS Zone 1 and 2 are up to 150 miles and offer the cheapest rates. Sendle utilizes USPS often (while I’m told they have multiple carriers at their disposal, I’ve only ever been granted USPS labels) so this cut off makes a lot of sense in that regard.
With the new Local and National distance-based pricing modifiers, pricing gets better in some cases, and worse in others.
Sendle’s Pricing Changes
For Standard customers, pricing across the board shifts upwards slightly, from $0.14 per piece to $1.26 per piece more per shipment. Premium customers (20 pieces per month) will see a decrease in shipping rates when shipping locally, up to a $7.39 discount per piece, but an increase of up to $2.30 per piece when shipping long distances. Pro customers (200 pieces or more per month) will see the same Local pricing as Premium shippers but will see smaller price hikes for longer-distance shipping, up to $2.12 per piece.
Looking back and most of the shipments I generated with Sendle, I can’t think of a single shipment that traveled less than 150 miles. While this is only my experience specifically, the region in which you operate your business may have an effect on how often you can take advantage of reduced Local rates. More dense areas may stand to receive a greater benefit from this shift.
Overall, Sendle remains one of my favorite shipping services. Their eBay integration is helpful and the UI is super clean. While I don’t use them for 100% of my shipments–anything that fits in standard Priority Mail boxes or Flat Rate packages I funnel through Pirate Ship–they remain a vital part of my logistics network and recommend anyone interested in a shipping service that also strives to offset the carbon footprint it creates should give Sendle a try.
Click here to read the original announcement on the Sendle blog.
Header photo by Claudio Schwarz.