In regards to the way we calculate shipping/handling here at Layson's, this is flawed thinking...........
I ALWAYS ship out of country via the post office...as long as the package being sent falls within the dimension/weight limits for the country it's being sent to.
Larger packages have no other option other than UPS, FedEx, DHL, etc., unless you want to drive here and pick them up in person, or as already mentioned, shipped to a border address where they can be picked up then taken across the border.
I have no control over any GST, HST, or brokerage fees that may be charged.
And I cannot just blindly mark packages as "GIFT" or zero dollar value at the request of customers...and here's why....Let's say I do mark a package as gift, then mail it out. Three weeks later the customer calls back and says they never received the package. We file a loss claim with the post office, who upon review asks us why we as a company are sending out free gifts to random individuals in Canada...claim denied. So we end up crediting the customer his money and eating the loss on the merchandise....lose-lose for us.
Packages are insured for stated value, that way if something does happen, there's nothing to throw a monkey wrench if a claim has to be filed.
Also, part of the S/H fee is the merchant card processing fee, which applies for both domestic and international orders. International credit card processing fees can be as much as 5% of the billed amount. PayPal transactions are almost as much.....again, costs of which I have absolutely no control over.
For every single order that we ship out-of-country, I personally do a shipping quote before any billing is done to ensure that we do all we can to keep international shipping costs as low as we can.
I am the shipping department.
Rick