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Understanding the difference between DDU & DDP

DDU vs DDP

International shipping can be complex. When shipping internationally there are often unexpected costs and taxes that you or your buyer can incur. These charges can hurt the customer’s experience and cause you friction along the shipping process. DDU and DDP are simple but are often times overlooked. Understanding these terms is key to a successful shipping experience.

DDU

DDU stands for “Delivery Duty Unpaid.” Once there is a purchase made, the buyer then assumes all responsibility to pay duties and taxes for the product incurred along the way. The seller does not need to pay any of these expenses.  

If any of these are unpaid when entering a country, the product will be held there until all duties and taxes are paid for. This can hurt the customers experience because of delays, confusion, and possible loss of good.

Is DAP the same thing as DDU?

Yes, as of 2010 the International Chamber of Commerce replaced the term DDU with DAP Delivered at Place (DAP). Although in the industry DDU is still a very common term.

DDP

DDP stands for “Delivery Duty Paid.” This implies that after the buyer makes a purchase, the seller of the good then assumes the responsibility of paying all duties and taxes.

DDU GraphicDDP Graphic

DDP ensures that your package will arrive to your buyer without being held up. With this option you take away any friction that your buyer can potentially experience as well as eliminate any unwanted and unseen costs.

IntelliRate eliminates DDP worries

IntelliRate Logo

BUKU understands the problems and intricacies of domestic and international shipping.

With BUKU’s own IntelliRate software you are easily able to calculate the taxes and duties ahead of time.

BUKU also provides in cart options for both DDU and DDP for the customer. Displaying the pricing for each option to ensure maximum transparency. This empowers the customer with the ability to choose which method they prefer for their shipping needs.

With this software they will automatically be added to the final cost of shipping letting you know exactly how much you expect to pay.  

Everything that IntelliRate does is to elevate the customer experience to the next level by providing options and simplicity to every order.

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