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The article below is from The Sydney Morning Herald. Based on the information in the article and what you have learnt from MARK270 Services Marketing,

The article below is from The Sydney Morning Herald. Based on the information in the article and what you have learnt from MARK270 Services Marketing, (1) identify and explain three (03) key services marketing concepts/topics that are related to the case, and (2) illustrate how these concepts/topics could be used by online retailers to improve customer experiences.

Retailers bear brunt of shipping complaints as postal backlog bites

Retailers are bearing the brunt of customer complaints over Australia Posts delivery delays as the countrys parcel services come to grips with the pressure put on them by the COVID-19 lockdowns.

With both of the countrys largest states in hard lockdowns, an influx of online shopping has put unprecedented strain on Australias delivery network, leading to lengthy delays in receiving parcels.

Australia Post stopped collecting parcels from online retailers last weekend in an effort to catch up on the shipment backlog, a move which has seen shipping time improve, according to some retailers, though delays are still expected.

However, some retailers are concerned they continue to be on the receiving end of consumer discontent. Mosaic Brands, the ASX-listed business behind retailers such as Rivers and Noni B, said while it appreciated the strain Australia Post was under, the clogs in the network meant some unhappy customers were beginning to unload on retailers.

Our online sales alone in recent weeks are up 22 per cent, so we appreciate that the sheer volume of packages and various health orders is making delivery challenging from a logistical perspective, a company spokesperson said.

But there are delays, they are often significant and the reality is that its the retailer who has to manage the fallout from unhappy customers.

Another national retailer, who spoke anonymously so as not to tarnish their relationship with the postal service, said nearly half of their customer complaints were currently related to delays with Australia Post.

The retailer said the postal service was probably around seven days behind on their delivery schedules but was showing signs of improvement, with the temporary halt on parcel pickups helping clear a lot of the backlog.

Guy Nappa, the chief operating officer of online beauty retailer Oz Hair & Beauty, said the increased delivery times had obviously resulted in disappointed customers and the companys customer service tickets increase more than threefold.

While the situation is frustrating, it is beyond our control and Australia Post has been very helpful in communicating this message nationwide, so the majority of customers are aware of the situation, he said.

Wesfarmers-owned online retailer Catch has also noted an increase in customer enquiries and a spokesperson said the business was continuing to monitor the situation closely and had increased its proactive communication to provide transparency and manage expectations.

However, not all retailers have been as affected by the postal backlog, with a number of merchants telling The Age and The Sydney Morning Herald they had seen minimal disruption to their networks. Others said they had switched to using alternative shipping partners in an effort to relieve strain on the national postal service.

A spokesperson for Australia Post said the decision to pause parcel collections for three days was not made lightly and had achieved its intended purpose of easing the companys parcel backlog.

The spokesperson also asked customers to be patient as the company worked to get items delivered.

We know that delays are frustrating, but we kindly ask our customers for their patience while our dedicated people work hard to get parcels to our customers as quickly and safely as possible, they said.

Last month, Australia Posts reported volumes were its highest-ever, coming in higher than last the services already record-breaking Christmas volumes. More than 50 per cent of Australian households bought something online during the month.

On any given day we have 500 team members isolating due to COVID-19 and this pause was critical in enabling us to manage these record volumes, keep our people safe and continue delivering for our customers around the country, they said.

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