Address Verification

Canada Post Address Validation

By 16 April 2025No Comments
Proof of Address

Canada Post Address Validation: Features, Limitations and Alternative

Ecommerce fraud is becoming a rampant issue worldwide, especially in Canada. As per Statista, the country experienced a 70% increase in these frauds in 2022. One of the most common types of ecommerce fraud is stealing the address or adding an undeliverable or nonexistent address and scamming the business to deliver it there. This happens when a company does not implement an address validation solution in its check-out process. Moreover, a lack of verification also increases the possibility of misdelivery, negatively impacting customers’ feelings about the brand. 

Canada Post designed an address validation system to safeguard businesses from fraud while enabling them to enhance the customer experience. While the system is valid, it has limitations. This blog will examine the system, its features, and its shortcomings. We will also explore what makes PostGrid’s address verification solution the right alternative. 

Proof of Address

Key Takeaways

  • AddressComplete is the web service that serves as the official Canada Post address validation system. You can directly use it from the website or integrate the API.
  • You can use it to prevent misdelivery, improve customer experience, enhance data quality, and make your business operation efficient.
  • It checks the address elements and offers autocomplete suggestions to help businesses ensure accurate delivery and enrich customers’ experiences. 
  • You can also use it to find postal codes, verify incomplete address details, and identify and fix data entry errors, such as typos and missed characters.
  • AddressComplete international verification is expensive and limited. Additionally, it does not provide geographical coordinates or indicate whether the property is commercial or residential.
  • PostGrid is the most suitable and cost-effective alternative. It offers features beyond those offered in AddressComplete and provides premise-level data, RDI, rooftop geocoding, and more.

What is Canada Post Address Validation?

AddressComplete is the address capture and validation web service launched by Canada Post that validates addresses of over 245 countries. It works in collaboration with Postcode Anywhere. It is an address validation web service that enhances the customer address capture experience and reduces the cost associated with incorrect addresses. AddressComplete is a pay-per-subscription service that can help retailers, e-retailers, and government organizations ensure they have the most accurate address information. It can be seamlessly integrated into any system, whether a point-of-sale solution, a call center system, or proprietary programs. 

How Does It Work?

You can try it for free on the website. Start by adding the address. The solution will display relevant results depending on how many components you add.

You can also integrate the form within your system and customize it. The solution will look like this: it will be positioned before customers manually enter the address.

You can also leverage the API key. You will get an API key after creating an account with Canada Post. You can proceed by setting up the specific URL for which you want the service.

Features of Canada Post Address Validation

Find a Postal Code

Write the rural, civic, or post office box address in the format laid down by Canada Post, and this tool will provide you with the current and accurate postal code of that location. You can use it to verify the postal codes before shipping the package to minimize the possibility of failed deliveries and return-to-sender costs. However, it does not work in real-time. So, if your customers live in a city with a new name, you must enter the previous name. Moreover, the tool will not reflect any information if the address is a new establishment. 

Address Fragments

The solution does not require customers to enter a complete address. Instead, it can process and validate partial address components and provide complete information. This is useful when customers enter misspelled, incomplete, or unstructured addresses. Since customers don’t have to enter their full addresses manually, the mistakes made during the checkout form will be reduced, enhancing the customer experience. The solution will prevent shipping delays, ensure delivery accuracy, and prevent return-to-sender issues by converting pieces of information into a complete address.

Address Autocomplete

The solution provides autocomplete as customers type in the address. This reduces the number of keystrokes and prevents errors associated with manually entering the address. Additionally, it speeds up data entry and reduces friction, which can cause customers to abandon the cart. 

Transliteration

It is the process wherein a system converts the address in a foreign language to a phonetically matching alphabet in the standard language. AddressComplete offers transliteration, allowing you to convert the entered address into the language of your choice for verification. This service will help you prevent misdelivery due to any unrecognized characters. Additionally, by giving your customers the freedom to enter addresses in their language, you can improve the customer experience.

Fuzzy Address Matching

It is common for customers to enter a typo when adding an address mistakenly. However, it can have costly consequences like misdelivery if not identified and fixed at the right time. AddressComplete checks the address as the customer adds them, and in case of spelling mistakes, it will notify them. It will also present suggestions with corrected spelling. Take, for instance, a customer who writes Boulvard instead of Boulevard; the solution will provide corrected suggestions. It also checks for and fixes spacing, transposed characters, missing letters, and abbreviations. 

Benefits of Canada Post Address Validation Tool

Reduce Cart Abandonment

When customers go through multiple steps to place an order, the possibility of cart abandonment increases. One factor that affects it is how much time and effort customers have to put in when adding addresses. If a customer struggles to add the information, they might give up and leave your website or application. By providing users with suggestions while typing, AddressComplete reduces manual efforts and speeds up data entry. A smooth process will keep the customer engaged and lead to higher conversions. 

Avoid the Cost of Misdeliveries

If the package is sent to the wrong address, the business will be responsible for the cost of reshipping. Many shipping carriers charge an additional fee for address correction. Additionally, if the customer doesn’t receive the right product, they might demand refunds or dispute the charges, leading to chargebacks. Frequent chargebacks might result in penalties from the payment processor. Canada Post’s AddressComplete validates the address and provides verified and complete information, thus saving significant money. 

Eliminate Invalid or Incomplete Address

If the customer enters invalid or incomplete address information, the AddressComplete tool will remove it. This will prevent bad data from entering the records and raise the need for data cleanup. With an accurate and complete address, you can ensure correct delivery the first time, thus enhancing the customer experience. Additionally, having a database of correct addresses will prevent any monetary waste related to postage and shipping. 

Improved Data Quality

Correct addresses are the backbone of a business. With AddressComplete, only valid and complete addresses will be stored in your system. In addition to accurate package delivery, you can use this information for location-based analysis and customer segmentation. This can prove instrumental in creating hyper-targeted marketing strategies that will have the desired effect on your target audience.

Enhanced Customer Experience

Incorrect addresses can result in misdelivery. Upon realization, you might have to reship the package, which will delay the delivery. When customers get the product or service later than expected, it frustrates them. If these instances repeat frequently, customers might stop availing of your service. With AddressComplete, you can ensure accurate delivery the first time, thus enhancing the customer experience. 

Increased Operational Efficiency

Inaccurate addresses will lead to misdelivery. The business must dedicate human resources to fixing the address and reshipping the package, which will demand time and impact productivity. AddressComplete’s address verification will eliminate manual intervention and allow employees to focus on core business objectives. Additionally, with verified addresses, businesses can optimize delivery routes, thus saving fuel costs and ensuring quicker delivery.

Limitations of Canada Post Address Validation Tool

Restricted International Address Verification

While it claims that it offers global address verification and references official databases like USPS, Canada Post, and so on, there is a catch. The level of address information provided for each country is different. In some countries, like Afghanistan and Angola, it only validates up to the city details. However, it will verify details up to the building in countries like Albania and Argentina. This inconsistency will impact the delivery accuracy, sometimes leading to misdelivery. Additionally, while it leverages SERP to verify Canadian addresses, whether it is certified to other address-matching software like USPS, AMAS, etc., remains unknown. Hence, trusting this solution to verify global addresses can be risky.

False Decline

The solution might declare an address invalid even if it exists and is deliverable. This could be because AddressComplete does not accept the format the user entered. When your customers use this in their checkout form, the constant decline will frustrate them. They might abandon their cart, resulting in a loss of revenue. Additionally, when they frequently face this issue, they might leave negative reviews and complain, thus resulting in a loss of business credibility.

Lack of Address Standardization

Standardization is essential in ensuring accurate package delivery to a particular country. AddressComplete verifies addresses and provides autocomplete suggestions. However, it does not check or restructure the information according to the postal standard of the respective country. When you send a package to a client’s address in another country without arranging the components according to their standards, you risk misdelivery or loss of shipment. 

No Residential Delivery Indicator

AddressComplete does not help you identify whether the address is commercial or residential. Without this, you might assume the property is commercial, and the customer’s shipping fee is undercharged. Then, you will have to bear the unexpected cost since delivering to a residential address costs more. Additionally, some carriers do not deliver to residential addresses on certain days. Not knowing the type of address can cause delays, failed deliveries, and frustrated customers.

No Geocodes

Having geographical coordinates can help a business pinpoint the delivery address and ensure the package lands at the right doorstep. Additionally, this helps in customer segmentation and location-based analysis. You can use the insights to deploy personalized marketing strategies for maximized impact. However, AddressComplete only provides details about the building (not for all countries), cities, streets, and postal codes.

Expensive

AddressComplete is not designed for small businesses as it has very high costs. For instance, if you have to verify 300 addresses, you must pay $35. Don’t you think the price is a bit high, considering how limited the information you will get through the tool is?

PostGrid's Address Validation: The Suitable Alternative

PostGrid offers a feature-rich address verification solution that provides benefits beyond AddressComplete. Let’s examine what makes it the right alternative to Canada Post’s solution.

Factors PostGrid AddressComplete
Address Parsing and Standardization Customers can enter their addresses in any format. The solution breaks down the address components and arranges them according to the respective country’s postal standard.  It only accepts address structures as per the Canada Post guidelines. 

It checks whether the address exists in a particular country without parsing the elements or normalizing the format.
International Address Verification It verifies addresses of over 250 countries and territories.  It allows address verification for 245 countries.
Address Validation Certification  It is SERP, CASS, and AMAS certified. Depending on the country, it verifies the entered address by cross-checking it with authoritative postal records, such as USPS, Canada Post, and Australia Post.  It is SERP-certified because it is a product of Canada Post. However, it does not confirm whether it uses official postal records when verifying addresses for other countries.
Level of Address Verification  It verifies address information down to apartment, floor, and suite numbers for every country it covers. The level of address detail that it verifies varies with every country. For some, it might only validate the city name; for others, it might even confirm the building number. 
Autocomplete Suggestions It provides real-time and geolocation-based autocomplete suggestions.   It offers generic autocomplete suggestions in real-time, which can be irrelevant when places share the same name.
Address Update It checks the provided address against the country’s National Change of Address (NCOA) database and updates it accordingly. It only updates Canadian addresses as per the nation’s NCOA.
Single or Bulk Address Verification You can verify one address at a time or 200k addresses in one go.   It does not offer bulk address verification.
Residential Delivery Indicator It will identify and notify whether the address is commercial or residential. You can use this insight to set the correct shipping charge and optimize the delivery route. It does not differentiate between an office or a home. Depending on how shipping carriers classify the properties, you might undercharge or overcharge your customers.
Geocoding Data It provides the most accurate type of geocode—rooftop. It pinpoints the roof of the building where the customer lives. It does not provide details of the address’s latitudes and longitudes.
Cost You can choose from four plans based on your requirements and get a custom plan. The starter pack starts at $18 for 2000 address lookups per month. With every plan, you get 500 free credits. It offers 12 pricing plans and a custom package. The lowest plan, which allows 300 address lookups for $35, is relatively expensive, and you don’t get free credits.  
Match Score It provides a numerical value after cross-checking the entered address with authoritative databases such as USPS, Canada Post, Australia Post, etc. This value signifies how closely the input address matches the postal records.  It does not offer a match score. 

Use PostGrid Address Verification to Get Verified and Complete Details

An address verification solution should help you cut costs and enhance the customer experience by reducing misdelivery. It should also provide you with insights to assist in marketing. Our solution can verify international addresses in batches in real-time to help you make the correct delivery. It checks all the address elements with premise-level validation. Moreover, you can create hyper-targeted marketing strategies with highly detailed information that yields desirable results. If you want to see our solution in action, request a demo now.