START 1 2 3 5 6 Customs clearance - PowerPoint Presentation

1. START12356Customs clearanceFulfillmentImport TransportReturn transportParcel Channel-Delivery4Letter channel-Delivery47Returns-managementDrop Off-PointsMailbox PlusInspire customers with a perfect customs clearance solution

2. THEN THIS MIGHT KEEP YOU BUSY:The goods get stuck in customs and arrive later.Customers are surprised to find that they have to pay customs duty, vat and customs clearance fees at the front door.Since the customer is not at home, he must pick up the shipment.Duties already paid will be lost on returns.  Disgruntled swiss customersDo these challenges look familiar to you?Do you already deliver to Switzerland or are you planning to do so?

3. Page 3Then you probably send like this? You send DAPYour Swiss customer orders in your webshopCustoms clearance is carried out by your shipping service provider or the local partner.Customs clearance takes place individually and manually for each individual shipment.Time-consuming and expensiveThe customer pays only the value of the goods incl. transport.Customs, VAT and clearance fees are collected by the delivery service provider with a separate second payment. This can be done by cash payment at the door or via separate payment with an app. DAP is an Incoterm and stands for "Delivery at Place" - this means that you as a retailer only take care of the shipping, but hand over the responsibility for customs, VAT and customs clearance fees to your Swiss customer.Weitere Details in den KommentarenNOTE

4. Page 4The perfect setup looks as simple as thisYou send DDPYour Swiss customer orders in your webshopCustoms clearance is performed by your service provider.Customs clearance is consolidated and automated.Since there is usually no need for physical customs checkes, there are no delays whatsoever.Lower transaction costs since automatedThe customer pays the value of goods incl. shipping, customs, VAT, customs clearance feesDDP is an Incoterm and stands for "Delivery Duty Paid" - this means that you as a merchant take care of the transport AND the customs clearance - your Swiss customers receive the goods as if they had ordered in Switzerland - they will thank you for it.More details in the commentsNOTE

5. DDP is not only more customer-friendly, but also has a positive effect on your costs.

6. DAP customs clearance vs. DDP customs clearance with MB+Customs case studyWith a commercial customs clearance you avoid not only unpleasant surprises for your customers, but also many costs. In this example 11.54 CHF or 15%. This should be considered a huge gap in transaction costs and is therefore highly relevant for your KPIs!ShopperShopperCheckout/PaymentDDP customs clearanceDAP Customs clearance1. payment:Value of goods incl. transport costs: 68.00 CHF1. payment:Value of goods & transportation costs: 68.00 CHFFee for commercial customs clearance: 2.00 CHF4 Customs duties: 2.00 CHF7.7% VAT: 5.39 CHFValue of goods incl. all costs: 80.39 CHFAlmost all online stores charge customers a price including all costs (duties and VAT) plus an optional postage fee. Therefore, this list is for demonstration purposes only.2. payment:Fee for customs clearance: 11.50 CHF1 3% Expense allowance: 2.04 CHF27.7% VAT: 5.39 CHF3Total cost:77.39 CHFTotal cost:88.93 CHF Page 6Shopper

7. These customs charges may apply for traders in SwitzerlandMore information can be found in the attached table.To the tableCustoms costsCustoms dutiesVATCustoms clearance feesMiscellaneousIncentive taxesSpecial taxesCustoms dutiesAdditional customs duties

8. Customs duties SwitzerlandHow are customs duties generally calculated in CH?Customs dutiesNet weight of the shirt with direct outer packaging (net weight)0.6 kgPackaging weight0.4 kgGross weight1 kgCustoms tariff: cotton shirt 200 CHF/ 100 kgCustoms duty2 CHFGross weight(Product + Packaging)= 1 kgIn Switzerland:Customs duties are calculated on the gross weight!Fee exemption limit in Switzerland = 5 CHFThere is no need to pay customs duty for this package*.Tariffs can be eliminated if the goods are of preferential origin*Does not apply to VAT!= 0.4 kg Page 8More details in the commentsNOTE= 0.6 kg

9. Collective customs clearance All packages are consolidated and customs clearedWith this common method, the unit cost of customs clearance is often the lowest Page 9Only one of two customs clearance routes is optimal!Which one? Consultation appointmentIndividual customs clearance Each package is customs cleared separatelyThis method can be used to save customs duties on special items (e.g. clothing) or to enable importation in the first place (e.g. food). To minimize costs, we process customs clearance data exclusively automatically Particularly suitable for portfolios with high customs clearance approaches NOTEIn order to find the optimal solution, various data from the retailer is needed. More in the appendix.To the appendixMore details in the commentsNOTE

10. Individual customs clearance vs. collective customs clearanceCollective customs clearanceIndividual customs clearancee.g. 100 shipments (each 1.5 kg with a value of 90 CHF) for 100 recipients are considered as 1 import.e.g. 100 shipments (each 1.5 kg with a value of 90 CHF) for 100 recipients are considered as 100 individual imports.Costs incurred**Costs incurred**Import customs clearance: e.g. 1 x 45 CHFCustoms duties: 150 kg x 3.00 CHFTotal: 495.00 CHFImport customs clearance: e.g. 100 x 2.50 CHFCustoms duties: 0 CHF (1.5 kg x 3 CHF < 5 CHF) Total: 250.00 CHFIn this example you save:245 CHF for delivery and customs duties by using Mailbox Plus with individual customs clearance.Swiss customs regulations: Customs duties are usually charged by weight. The rate per kg varies depending on the item*. Within the wide range of e-commerce you can apply 3 CHF/kg as a rule of thumb. Provided that the resulting duties are below 5 CHF, no duties will be charged! In our example of individual customs clearance below, the duty per item would be 1.5 x 3.00 CHF < 5.00 CHF and therefore 0 CHF! Page 10

11. And this is how it works

12. Mailbox Plus - The retailer does what he always doesWe do what is best for you!When you send your shipment to CH, you send us a manifest (via API/CSV) with all relevant customs data.we offer standard interfaces for various store systems as well as APIs for individual connections RetailersThe driver is provided with all the necessary documentsYou or Asendia will take care of the export customs clearanceCH HubWe process your data automatically and send it to Swiss customs You send us a pre-registration (email) with all required information. Asendia will take care of the import customs clearanceAsendia receives feedback from Swiss customs as to whether customs clearance has taken place or whether individual shipments are subject to revision. Each shipment is scanned shortly after crossing the border so that we can process the information at shipment level and, if necessary, make individual shipments available to customs for revision. Only shipments that are released are diverted to the end customer, so that he receives the package as if he had ordered it in Switzerland.NOTEIn the attachment you will learn more about the required documents as well as details about the pre-registration process

13. Page 13Everything out of one Hand Data is king - Good for you - Good for the customerEverything out of one handCustoms clearanceHandlingCustoms clearance & recoveryReturn ManagementDelivery(Swiss Post)Return dispatchImport TransportReturn transportMore details in the commentsNOTE

14. More on our website: asendia.chBook a dateIf you are not already in a consultation, you should book one here ;-)You want the best customer journey with minimal customs costs?

15. Appendix

16. These customs charges may apply for traders in SwitzerlandCost itemeCommerce relevant variantsDetailsExamplesCustoms feesPostal customs duties (DAP)These are simply the fees charged by the respective service providers to carry out the customs clearance.Commercial customs dutiesCustoms additional chargesPrecious metal controlPrecious metal control is relevant for all retailers who sell goods with precious metal content. However, the precious metal control is also relevant for retailers who sell costume jewelry or accessories which, due to their product description, indicate potential precious metal content. Precious metal content - here a color indication such as: "golden bracelet" is sufficient.the costs per shipment, for a correspondingly separate customs clearance process, are sometimes enormous and amount to 50.00 CHF per shipmenthttps://mydhl.express.dhl/ch/en/help-and-support/customs-clearance-advice/duties-and-taxes.html Border veterinary inspection (GTU)This ensures that no food or food supplements classified as critical are imported. In this context, the origin also plays a decisive role. This investigation also leads to significant extra costs for many carriers -see DHL (50.00 CHF) https://www.dhl.ch/de/express/zollabwicklung/zoelle_steuern/duties_taxes_receivers/customs_information_private_customers.htmlSpecies protection control (Cites)This ensures that no goods with materials classified as critical in terms of species protection are imported. This includes, for example, skins or leather of exotic animals under species protection. Customs dutiesCorrectly stands for those duties that are levied as taxes by the Swiss customs authority in the sense of the tax code.Customs rates are expressed in CHF/100kg and vary from product to productIncentive taxesVOCVolatile organic compounds (VOCs) are used as solvents in numerous industries and are contained in various products, such as paints, varnishes and various cleaning agents. The cost here is CHF 3.00 per kg. The decisive factor here is the actual weight of the pure VOC content in the product. In some cases, this can be only a few grams per article. However, if this pure VOC weight cannot be communicated to customs, customs will take the gross weight of the article as the basis for calculation. This can lead to massive additional costs.Special taxesTobaccoFor private goods in shipments of no more than 1000 Swiss francs and 10 kg gross It will be charged 29.00 CHF per Alcohol29.00 CHF per liter of pure alcohol is deducted. For a 1L bottle of a spirit with 40% vol., 0.4l * 29.00CHF =11.16 CHF will be taxed.https://www.ezv.admin.ch/ezv/en/home/topics/alcohol/steuersaetze.html

17. Information from the retailer needed to determine the optimal method of customs clearance Average number of deliveries per monthAverage number of your shipments per deliveryAverage weight Average tariff / kgNumber of shipments under the critical weightPreferential goods Yes/NoHow is the optimal customs clearance method finally calculated?To the calculation example

18. Customs documents (invoice)Excel templateDownload