ZIP Codes vs. Postcodes in Canada: What You Should Know?
What is the one important address element that you must not forget when writing an address on the package? It is the postal code. Depending on where you live, you might call it differently. For example, in the USA it is called a ZIP code, but in Canada, it is called a postcode. These are numbers or combinations of numbers and letters. They help the postal service department sort the mail and create a routing plan for efficient and accurate delivery. In this blog, we will cover ZIP codes and postcodes in Canada. We will also learn if the postal code is the same as the ZIP code and understand the significance of the accuracy of these codes.
Key Takeaways
- ZIP codes and postcodes are vital address elements that help in efficient mail sorting and accurate delivery.
- ZIP code is the term for postal codes in the US, while postcodes are used in Canada. Aside from the name, there are also other differences, like the format and meaning of each character in the code.
- While the ZIP code indicates regions and cities, postcodes in Canada provide granular details like the street name, building number, or business name.
- Writing the correct ZIP code and postcode is essential to ensure operational efficiency, conduct market analysis, adhere to legal protocols, and enhance the customer experience.
What is a ZIP Code?
ZIP code is a postal coding system introduced by the United States Postal Service Department in 1963. It is a five-digit number that indicates the various post offices scattered around the country. It groups the region into geographic sets, which helps in the easy sorting of the mail. These groups can include multiple addresses, landmarks, companies, and so on. When you are writing an address, write the ZIP code in the same line as the state and the city.
Did the aforementioned ZIP codes come under the postal coding system, giving you the impression that postal codes and ZIP codes are the same? Our section on postal vs. ZIP code will help you give clarity on this.
Breakdown
Let us understand what each digit in a US ZIP code means by taking the example of 00501.
- First digits: The USPS has divided the country into ten zones, starting from 0, indicating the northeastern side, to 9, representing the west.
- Second and third digits: The set represents a specific region within the larger area. In this case, 05 refers to an area within New York.
- Fourth and fifth digits: The last two digits represent a post office or a delivery region within that area. In this case, 01 denotes a specific facility in Hotsville, New York.
ZIP+4 Codes
To make mail sorting effective and enhance the accuracy of delivery, USPS introduced ZIP+4 codes in 1983. These are an additional four digits appended to the standard ZIP codes in the format 00000-0000. They indicate a location within the ZIP code and narrow down the delivery address to a handful of addresses. This speeds up delivery and minimizes the possibility of misdelivery or failed deliveries.
What are Postcodes in Canada?
The postal codes are called postcodes in Canada and were implemented between 1972 and 1974 throughout the country by Canada Post. It was introduced to speed up mail sorting and delivery within the country. When writing an address for mail to a client or customer in Canada, you should write the postcode in the same line as the province and the city. These elements come before the country name.
| JOHN MATTHEWS
22 MAIN STREET TORONTO ON A3D 4F3 CANADA |
Breakdown
Canadian postcodes comprise six alphanumeric characters, written as A0A 0A0, and each set of three characters is divided into two segments: Forward Sortation Area and Local Delivery Unit.
- Forward Sortation Area: A0A is the FSA, where the digit denotes whether the region is urban or rural. The first character of the FSA represents one of the 18 geographical areas, provinces, and states. A represents Newfoundland and Labrador, B represents Nova Scotia, and so on. Next comes the digit, which can be anything between zero and nine. A zero represents a wide region of a rural area, while any other digits signify an urban area. The second letter in the FSA tells whether the area is a rural region, a medium-sized city, or a part of a major metropolitan area. Some individual buildings in Vancouver, Toronto, and Montreal have their own FSA code.
- Local Delivery Unit: 0A0 in the postcodes are LDU, and they can indicate a specific city, block, a large volume receiver building, or a single building. LDU that ends with a zero denotes the postal facilities, from post offices and small retail postal outlets to the sortation plants. In urban areas, LDU might signify specific postal carrier routes. In rural areas, they might denote a set of PO boxes or rural routes.
For mail designated to military post offices, each office has its postcode. The postcode for Fleet Mail Offices (FMO) in Victoria is V9A 7N2, for FMO in Halifax is B3K 5X5, and the Canadian Forces Post Office (CFPO) in Belleville is K8N 5W6. Take, for instance, you want to send mail to military personnel stationed in CFPO. You will write the address as the following:
| Rank and name
Military Unit Number PO Box Number Belleville, ON, K8N 5W6 |
The Canada Post will deliver the mail to CFPO in Belleville, and from there on, the Canada Forces Postal System will be responsible for sending it to the right person. Catering to the massive number of mail sent to Santa every year around the Christmas holiday, Canada Post also created a special address for Santa along with its postcode.
| SANTA CLAUS
NORTH POLE H0H 0H0 CANADA |
ZIP Codes vs Postcodes in Canada
| Factors | ZIP Codes | Postcodes in Canada |
| Year of introduction | They were introduced in 1963. | They were introduced in 1971. |
| Structure | They are five-digit numbers with an extension of four digits called ZIP+ codes. | They are a combination of alphabets and numbers. They are two sets of 3 characters, each divided by a space between the third and fourth characters. |
| Coverage | State, territory, and military addresses within the US. | Provinces and territories within Canada. |
| Scope | It identifies regions, cities, and routes. | It provides a granular description of a specific street, building, or business. |
| Regional identifier | The first digit identifies a vast region. Take, for instance, 9 in 90210 represents the Western region of the United States. | The first letter denotes a province or a territory. For example, M in M2G 2G4 represents Toronto. |
| Managed by | United States Postal Service | Canada Post |
| Purpose | Groups mails into regional sections | Aside from mail sorting into smaller locations and accurate delivery, it is also used for business intelligence and to gather census information. |
What is a Postal Code?
A postal code is a coding system that postal services across countries use to sort mail and ensure efficient delivery. Depending on the location, it can be called a ZIP code or postcode. If you are wondering if a zip code is the same as a postal code, then the answer is no. A ZIP code is a type of postal code that consists of only numbers. Postal codes, on the other hand, can be numbers, letters, or a combination of both. Another major zip vs. postal code aspect is the applicability. Postal codes are used by countries across the world, although they are referred to by different terms in different countries. ZIP codes, on the other hand, are only used in the USA.
What makes understanding postal codes vs. ZIP codes important is that ZIP codes are only used for mail sorting and delivery. Postal codes, on the other hand, can prove instrumental in understanding demographics, market trends, and more. Since they pinpoint the exact delivery location instead of a large area like the ZIP code, postal codes help in offering tailored services and help businesses enhance their engagement.
Why Does the Accuracy of ZIP Codes and Postcodes Matter?
So far we have understood ZIP codes, postcodes, and ZIP codes vs. postal codes. Let us now learn why it is important to write the correct ZIP codes and postcodes when you want to send mail to a client or customer.
Reduce Operational Costs
Incorrect ZIP codes and postcodes can lead to misdelivery, failed deliveries, and returned mail. You will have to do all the processes again—labeling, packaging, and posting. You will have to spend money on buying new mailing supplies. Moreover, certain courier service providers charge an additional fee to correct the address. Aside from wasting money, you will also be investing significant manual hours, which, had the ZIP code been correct, could have been invested towards achieving core business objectives.
Enhance Customer Experience
The wrong ZIP code and postcode will send the mail to the wrong address. By the time you have noticed your mistakes, there will be a significant delay. Customers who are waiting for their package will be disappointed, leading to a negative customer experience. In case you are a financial institution, a bank, or an insurance company, sending sensitive and confidential information to the wrong address might land you in a legal dispute. This will tarnish the reputation of your business.
Ensures Compliance
Certain regulatory bodies, such as those in healthcare and finance, demand the usage of correct ZIP codes and postcodes. This ensures that the privacy and security of sensitive customer information are protected. You might be subjected to a penalty in case the information goes into the wrong hands.
Spatial Analysis
Correct ZIP codes and postcodes ensure that you have location-intelligence information such as consumer behavior and market trends. You can use this information to devise targeted marketing strategies and offer personalized services. If the ZIP code and postcode are incorrect, you will get the wrong information, and your strategies to attract customers will not cater to what the customers in that particular region want.
Smooth International Shipping
If you operate the business on an international level, it is important that you know the correct postcode and add it to the envelope in the right format. In case the ZIP code or postcode is incorrect, your package will get held at the customs office, resulting in additional fees. In case the package cannot be cleared through customs, it might get confiscated or destroyed.
Verify ZIP codes and Postcodes of Canada Using PostGrid
If you want to send mail to clients and customers within Canada and in the USA, you need to first verify the address elements, including the ZIP code and the postcode. PostGrid’s address verification solution comes with a ZIP code look-up API, which you can use to check whether or not the ZIP code and postcode are correct. You can verify other elements of the address as well through our comprehensive solution.
We are USPS CASS and SERP certified. We have access to the official postal records of people living in the US and Canada. Our solution parses every address component, converting them to a standardized format. It also cross-checks every address through these records and returns you a verified, standardized, and accurate address.
We also offer an autocomplete API, which provides verified address suggestions in real-time. This speeds up data entry and minimizes the possibility of mistakes. If you want to know how our address verification solution works, request a demo now.
