Tweet
Our company prefers to use local resellers for international sales. It's easier for us because we have a person who speaks the local language who can help with tech support and training (resellers earn a hefty commission, so they are well-compensated for taking on that duty).
It's also easier on the end-consumer because they don't have to worry about import duties, proper wording of invoices and customs forms. The reseller, who is experienced in such matters, takes care of that.
The reseller makes money, so it's good for him as well.
Generally, when we sell overseas, we take our cue from the reseller on how to word everything to make sure it goes through customs smoothly and they don't pay more duties and taxes than they have to. The only thing we won't do is lie.
Our Mexico City reseller never gets this. He'll demand that the invoice say that the retail value of the software is $1 and we'll refuse because it's not even close to the truth. We'll suggest alternative wording such as "Educational materials. No duties." or "Software for charity. Cash value of physical media and documentation: $1 (US)."
This will go back and forth repeatedly. Then he'll dispute the shipping charge we've quoted him because his cousin told him so-and-so could do it cheaper.
Once we've settled on that, he will haggle about having to pre-pay.
While all this is going on he'll keep badgering us about how long the order is taking to fill.
It goes on and on and ON with this guy. He is such an ass that I really wish Mark would get the cajones to tell him his business was no longer necessary. At the very least we should charge him $10 every time he makes us change the wording on the invoice.
But last time he ordered really took the cake. He put us through the usual song and dance and we finally got everything to his satisfaction, took his payment and sent the order.
Two days later we got a phone call from the shipping company. It seems that $5 in duty was due and the reseller was refusing to pay it so he could pick up the order. Mind you, the reseller was going to make about $1300 commission on selling them. Yup, he sure was in a big hurry.
Our choices were to pay the $5 ourselves or have the stuff shipping back for $15 and give the reseller a refund. We were sorely tempted to take the second option, but chose the first because it was more pragmatic.
The plan is that we add a new "special handling charge" (it's really a pain-in-the-ass tax, but we can't call it that) to this reseller's next order. I don't know what the amount is going to be, but we're going to tack an extra $5 on after we arrive at a fair figure.
It's also easier on the end-consumer because they don't have to worry about import duties, proper wording of invoices and customs forms. The reseller, who is experienced in such matters, takes care of that.
The reseller makes money, so it's good for him as well.
Generally, when we sell overseas, we take our cue from the reseller on how to word everything to make sure it goes through customs smoothly and they don't pay more duties and taxes than they have to. The only thing we won't do is lie.
Our Mexico City reseller never gets this. He'll demand that the invoice say that the retail value of the software is $1 and we'll refuse because it's not even close to the truth. We'll suggest alternative wording such as "Educational materials. No duties." or "Software for charity. Cash value of physical media and documentation: $1 (US)."
This will go back and forth repeatedly. Then he'll dispute the shipping charge we've quoted him because his cousin told him so-and-so could do it cheaper.
Once we've settled on that, he will haggle about having to pre-pay.
While all this is going on he'll keep badgering us about how long the order is taking to fill.
It goes on and on and ON with this guy. He is such an ass that I really wish Mark would get the cajones to tell him his business was no longer necessary. At the very least we should charge him $10 every time he makes us change the wording on the invoice.
But last time he ordered really took the cake. He put us through the usual song and dance and we finally got everything to his satisfaction, took his payment and sent the order.
Two days later we got a phone call from the shipping company. It seems that $5 in duty was due and the reseller was refusing to pay it so he could pick up the order. Mind you, the reseller was going to make about $1300 commission on selling them. Yup, he sure was in a big hurry.
Our choices were to pay the $5 ourselves or have the stuff shipping back for $15 and give the reseller a refund. We were sorely tempted to take the second option, but chose the first because it was more pragmatic.
The plan is that we add a new "special handling charge" (it's really a pain-in-the-ass tax, but we can't call it that) to this reseller's next order. I don't know what the amount is going to be, but we're going to tack an extra $5 on after we arrive at a fair figure.
Comment