In the Escape to the Tropics I talk about the choice between using a delivery address in the US of a freight forwarder vs. using some local company to deliver your package(s). Picking the right option depends on an assortment of things.
Let me start with an example. I’m in Guatemala. I have a freight forwarder in Miami and there is a local company called Guatemala Digital who offers many things from Amazon. I pick between the two delivery methods all the time. Here are some considerations.
- Amazon tends to divide up your order into multiple packages. The freight forwarder charges for each shipment and associated customs processing.
- Amazon (and many other US-based sellers) will not guarantee delivery if they are delivering to a freight forwarder. Yes, I have had items lost between what Amazon claims and the freight forwarder says they have received.
- The local company may take longer to get an item to you.
- If you use a freight forwarder you will have to document each item so they have what they need to clear customs.
At first it seems like the local company option is more expensive but you are comparing their advertised price — just a single number — with a whole set of additional steps and costs for you to involve a freight forwarder. Also, don’t underestimate Amazon’s ability to maximize your costs. For example, I had ordered two food storage boxes which could easily be shipped inside of each other. Amazon managed to ship each one separately significantly increasing my costs.
A friend of mine used a local company in Panama to deal with buying products from the US. It was far less formal than Guatemala Digital. You just found the products you wanted, printed out the information and took it to their office. They would buy it for you and deal with all the shipping and customs issues. They charged a surcharge but, overall, they saved you money because they could control all the shipping.
Finally, returns are another issue. If you buy locally, dealing with a return is local as well. On the other hand, if a freight forwarder was involved you have a third party involved in handling a return.