Shipping companies are crucial to facilitating efficient transportation not only domestically but to the U.S. and worldwide. There are a lot of options available and to help you navigate your choices we breakdown the top shipping companies in Canada. Finding the best option for your business is important. To help you make an informed decision you’ll need to understand the landscape of shipping and logisitics. From global shipping companies to smaller couriers there’s a diverse array of shipping companies available to Canadians. Knowing your business profile (types of packages and products you ship) will help you determine the best shipping company to use.
Canada Post
We obviously can’t talk about shipping companies in Canada without mentioning Canada Post. A crown corporation, Canada Post ships to every address in Canada and has a mandate to provide postal service for all Canadians. No matter where you live, you’ll have access to a Canada Post post office or mailbox.
Shipping internationally or to the U.S. can often be expensive with Canada Post, so you may want to look for other options if that’s your target market. There have also been several Canada Post strikes in the past, the most recent in 2018, so sometimes service can be disrupted. This can lead shippers to seek out alternatives. During the COVID pandemic, Canada Post increased its capacity to handle the uptick in shipping volume and online shopping, but did have some struggles keeping up with nearly a 50% increase in demand.
Canada Post’s prices are not as cheap as U.S. rates for several reasons, but they do have less expensive options for tracked and non-tracked parcels. They are also going to be far less expensive compared to courier options.
Reasons to use: Available everywhere in Canada and cheaper than couriers.
Cost: $$
Couriers
There are several courier services available to Canadians. These are distinguished from standard mail (like Canada Post) in that they emphasize speedy delivery, security, and tracked packages. You also can arrange for parcel pickup instead of going to a drop off location. However, this improved service often comes with a price tag.
FedEx
FedEx specializes in getting your parcels where you want them to go quickly and reliably. It caters to corporate clients, or retail customers who want that extra level of service. In essence, FedEx is your gold-plated shipping option. FedEx offers a comprehensive range of shipping and transportation services with options for both domestic and international destinations.
International air freight is FedEx’s main business so this is likely where you’ll see the most savings. They’re also aiming to be carbon neutral by 2040, since all that air travel adds up to a lot of green house gases.
Reasons to use: You need the fastest possible shipping and reliability is paramount.
Cost: $$$
UPS
UPS (United Parcel Service) is a renowned shipping company and often seen as FedEx’s main competitor and vice versa. While FedEx focuses more on quick delivery and international airmail, UPS has better U.S. domestic rates and charges less for larger packages. It also has a service guarantee where if the package is late, you get your money back. However, you do have to identify late packages and apply for the service guarantee refund. With additional ecommerce solutions, UPS offers a comprehensive range of shipping options for both individual and businesses.
Reasons to use: Tracking and speed are important, but you need a more affordable option for shipping inside North America.
Cost: $$$
Purolator
Purolator is a Canadian courier company that is primarily owned by Canada Post. Their main advantage is offering guaranteed delivery by a certain time. So for instance if you ship on Tuesday, they could guarantee delivery by 9am on Wednesday.
Reasons to use: You’re shipping in Canada or the U.S. and delivery time is important.
Cost: $$$
DHL Express
DHL is an international courier service owned by Deutsche Post. It was originally founded in San Franciso by Adrian Dalsey, Larry Hillblom, and Robert Lyn (hence DHL). They partner with postal providers in the U.S. and Canada to achieve final delivery. Similar to Asendia, DHL is a solid choice for international shipping, but you’ll probably want to go with another courier for domestic or U.S. delivery.
Reasons to use: You want to ship to international customers and want a cheaper alternative to FedEx.
Cost: $$$$ (US) $$ (International)
Asendia
Asendia is a service operated jointly by French La Poste and Swiss Post. Founded in 2012, it delivers to over 200 countries. It leverages the two mail networks to provide international shipping at an affordable price.
Asendia provides expertise in international shipping. It takes care of all the customs and duties issues that may arise for you, making shipping easier. It also specializes in working with ecommerce clients, so this can help streamline your business further.
Reasons to use: You want to ship to international customers, or you want to take advantage of their ecommerce services.
Cost: $$ (International)
Price Comparison and Label Printing
There are several companies that allow you to compare the rates from the different courier companies listed above. For a fee, you can use them to print off the discounted postage for your parcels. These are good options for shippers who are willing to do a little more legwork to get cheaper rates. You can then drop off your shipment at the appropriate location or arrange for a pickup from the courier of your choice. To take real advantage of these services, however, you’ll need a postage printer to print off the labels for your shipments.
Two major price comparison services are NetParcel and SecureShip. There isn’t much to differentiate these two, but we found slightly better rates on SecureShip when we tried it out.
Reasons to use: You want lower rates for shipping your products, but also want the speed and reliability of a courier service.
Cost: $$
U.S. Shipping Cost Savers
Several shipping companies such as Chit Chats, DYK Post, and Stallion Express manage to reduce costs for their customers by taking advantage of USPS’s cheaper rates. By consolidating their client’s shipments, and driving them across the border, they’re able to take advantage of USPS’s economics of scale to reduce shipping costs for Canadians.
Chit Chats
Chit Chats started when its founder, Derek Nolan, began driving his books over the border in his station wagon because shipping from Canada was too expensive. The company has grown across the country and offers up to 74% off postage compared to national carriers. As a shipping solution, Chit Chats also offers complementary fulfillment services and shipping supplies. With reliable and affordable shipping options, Chit Chats is a top choice for Canadian businesses.
To get shipping with Chit Chats and receive $5 in account credit, sign up now.
Reasons to use: Keeping shipping costs low is vital for your business.
Cost: $
Which Shipping Company to Choose?
There are several options out there when it comes to shipping companies in Canada. You can go with the easy to access and (more) reasonably priced Canada Post, a courier service to get your tracked package there quickly, or a shipping service like Chit Chats that saves you and your customers money. The one you choose is going to depend on your needs and business requirements.
How to make the best choice in choosing your shipping company? Understanding your business needs should be the top priority. From here it helps to factor in:
- Reliability & Reviews: High ratings and a proven track record
- Service Options: A shipping company that has options that meet your business needs whether it’s the type of shipping or the speed not to mention customer service
- Pricing: Do the math and compare rates as some fees may be hidden (i.e. fuel surcharges or any additional fees that may not be listed)
- Technology & Innovation: Integrations or advanced technology can help save time
Take the time and do your research to find the shipping company that will work best for your business.
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