I just signed up for a UPS account (through UPS, of course). Then, I added that account to Shopify's shipping settings. In order to do this, you must enter an XML Access Code, which I did, and Shopify correctly identified my UPS user name without me entering it. This verifies Shopify is now connected to my UPS account.
Next, I ran a shipping test through Shopify to make sure the UPS shipping option works. Based on a one-pound package shipped locally, Shopify returns a shipping cost of $12.23 for UPS Ground. When I request a rate from UPS, it returns a rate of $8.43 based on my having a UPS account, and $11.69 without using an account.
I realize Shopify only displays the shipping price in order to bill my customer, and that whatever I pay UPS is my business. But I'm justifiably worried that a customer purchasing from my store will balk at the obviously inflated shipping and decide against going through with the purchase.
Support said I should enter a negative dollar amount in the shipping override option to make it closer to correct. But aside from the fact that this is a sloppy workaround, should I really have to do this? Isn't the point of having this feature to give our customers accurate shipping rates?
Hello Micheal, Ben here - your Shopify Guru!
The reason for this could be a couple things. First make sure the currency set in your Shopify store matches what is set up woth your UPS account in their systems.
The next thing that can affect this is your default box size. If your box is larger then the package demensions you use to run your test through UPS then it makes sense the rates would come through higher in Shopify. Also take note you can set the packaging weight meaning the weight of the box when empty. If you have this set it can also inflate the price compaired to what you used when running your test on UPS's system.
I hope this helps! Feel free to reach out if you have any further questions :)
Ben C - Shopify Guru
Thank you for replying, Ben.
Based on your message, I now see where the problem occurred. The "sample" package had a weight of its own. UPS's rate for one pound is lower than its rate for two pounds, and even if the package is 1.1 pounds, it rounds up to the next pound. When I retested this on the UPS site using 1.1 pounds as the overall shipping weight, I got $12.23 (without my account). This means Shopify is correctly reporting the non-account rates for shipping.
While UPS is a costly option, fortunately, our stores offer USPS rates as well!
Yes, most of the time incorrect shipping rates are due to the incorrect dimension and weight of the package. Another case as you mentioned is due to the negotiated rates. I would recommend you to go with UPS default account provided by the Shopify. However if you have better negotiated rates and would like to use your own account , I recommend you to use Multi Carrier Shipping Label. This Shopify Shipping App provides your negotiated rates at check out also provide different packaging algorithm to get accurate weight and dimensions for your shipment.