How Much A Faulty Address Will Cost You

What online merchant hasn't dealt with bad address problems?

It happens. And it’s out of your control. After all, you can’t sit and watch your customer every time she makes an order. How would you even know whether or not the address is correct?

When a bad address is entered on one or two orders, the penalties don’t seem to add up to much. But customers enter bad addresses more often than that. For a large retail organization, these penalties can become substantial losses. For a smaller organization, they can be crippling to your bottom line.

How much does a bad address cost you? Here’s a quick look at how FedEx structures address correction fees.

  • FedEx for Packages: For smaller packages through FedEx, you’ll incur an $11 charge for address correction.
  • FedEx for Freight: For larger freight items, you’re looking at $65 fee.
  • FedEx for Multiweight (Express): Dealing with address correction for multiple packages weighing more than 200 pounds will cost $84.
  • FedEx for Multiweight (Ground): This one runs up a $38.15 tab.

None of these are negligible for an ecommerce business of any size. UPS and other shipping companies charge similar rates.

At 3dcart, we heard from customers who had these issues, and we resolved to do something about it. That’s where the idea for our new Address Verification add-on came from.

 

Address Verification for 3dcart Merchants

Address Verification is a brand new service that we’re proud to offer our merchants. It’s a simple system that works on without your intervention, adding to 3dcart’s suite of automation tools targeting more efficient online business.

Most importantly, it helps merchants recoup the losses from faulty addresses by preventing them.

We’ve put together two scenarios to show how Address Verification works. Here’s an automatic address replacement scenario.

  • The shopper inputs his address information on the checkout page. He accidentally switches two numbers in his zip code.
  • The Address Verification module scours the USPS database for a matching address. With the faulty information, it won’t find one. It does, however, find a closely related match with the correct address information.
  • It updates the address information on the next page of the checkout, prompting the shopper to review the address. The error is fixed before the shipment goes out, saving you the cost and hassle of correcting the error.

Here’s another scenario. In this case, Address Verification finds multiple matches.

  • The shopper inputs her address information on the checkout page. This time, she forgets to add the suffix after the street name, Briar.
  • The Address Verification module hits the database again, but it finds two possible matches. One is for “Briar St.” and the other is for “Briar Court.”
  • On the next page, the shopper is prompted to choose the correct option, ensuring the package is delivered to the correct address.

 

Ready to start saving money with more accurate shipping? Visit the 3dcart App Store, where you can find the Address Verification add-on.