Covirus 19 coronavirus: Level 3 mayhem as retailers struggle to keep up with online sales

Some of the country’s largest retailers struggle to keep up with demand as the number of online orders increases amid physical stores that remain closed under closure.

While some retailers have reportedly been muted and changed From their phones to customers, others warn shoppers that they face wait times of up to 14 days for orders to be processed and shipped.

Some retailers, including The Warehouse, Farmers, Rebel Sports, Kathmandu and Whitcoulls, have been forced to post notices on their websites warning of “unprecedented demand” and delays in standard delivery times.

The Warehouse website says “Be patient, be nice. We ship orders as fast as I can,” while Farmers says, “Due to unprecedented demand through our website and courier network, it will take time to deliver. more than normal to get to you. “

READ MORE:
• ‘Carnage’ for retailers below alert level 3: sales fell 80%
• Warning for online shoppers before moving to level 3 lock
• Up to 160 employees at Farmers, Whitcoulls, Pascoes face chop

The Herald has heard timeout complaints for orders running more than six weeks at retailers like Cotton On, and there are frustrations about why click-and-collect orders take up to 14 days to process at The Warehouse, the same number of delivery time.

New Zealand closed its stores and locked it before Australia, and now Australia has already opened and loosened its restrictions to allow for physical trade amid the Covid-19 pandemic.

Online sales volumes at Briscoes and Rebel Sport retail chains are eight to 10 times higher than usual volumes at the Level 3 blockade, Briscoe Group Managing Director Rod Duke told the Herald, while Online sales at outdoor clothing and equipment retailer Kathmandu are 2.5 to 3 times higher than this time last year.

Retailers were unprepared for the “massive boom” in online spending and many were working to their capacity to fulfill orders, said Retail NZ Chief Executive Greg Harford.

“Retailers are doing their best to meet what is unprecedented customer demand and the reality is that they were not allowed to prepare for that,” said Harford.

The sector had received an increase in online orders, particularly earlier last week, when the country went to alert level 3 and online shopping opened to include all items outside of essential items, Harford said.

Duke describes the surge in online ordering as “just like Christmas”: “You just can’t prepare enough to accommodate these kinds of volumes in the run-up to opening.”

The sale of only essential items under alert level 4 blocking accounted for approximately 2 percent of the group’s regular online sales of 10 percent.

E-commerce sales volumes were “better now than ever,” he said.

“There are a lot of people who order online not because it’s their preferred way to shop, they do it because it’s the only way to shop.”

Duke said he thought the New Zealand shutdown “had lasted a bit” and that now was the right time for stores to reopen to take pressure off e-commerce.

Warehouse Group, which will release its third-quarter sales update to the stock market later this week, was unable to comment on the increase in online orders it had received at its retail chains since the country went on to the level lock. 3, but said order processing times were being delayed due to “unprecedented demand”.

A spokeswoman for the company, which operates The Warehouse, Stationery Warehouse, Noel Leeming and Torpedo7, said that its online orders shipped in 10-14 days and that the estimated wait times for click and pickup orders ranged from 5-10 days for standard items and 7-10 days for larger items.

In emails sent to customers, it is advised to wait up to 14 days to click and collect items.

“It is a longer term than usual due to unprecedented demand,” the spokeswoman said. “Demand and product availability can also affect the time it takes to prepare some orders.”

Cotton On Group, which operates the Cotton On, Cotton On Kids, Cotton On Body, Typo, Rubi and Factorie stores, said it is currently processing online order volumes six times its normal daily amount.

“Like many retailers, we have seen a significant increase in online orders as a result of Covid-19 and in some regions,” said a spokeswoman for the Australian retail company.

“At our New Zealand distribution center, everything is practical for picking up and packing our customers’ orders … With New Zealand moving from tier 4 to tier 3 restrictions, our domestic transportation system is under considerable pressure to deliver higher service than usual volume of goods, and we are working closely with our transportation partners to deliver orders to customers as quickly as possible.

“Our customers are incredibly important to us and we have been proactively communicating with them every step of the way, as well as providing support through our 24/7 customer service team. Week At the moment, we are experiencing a higher level than usual query volume and have encouraged customers to contact via email or live chat for faster response.

“These are unprecedented times and everyone faces similar challenges, yet we are confident in our plan and are focused on continuing to provide customers with a great shopping experience.”

James Pascoe Group, the owner and operator of Farmers and Whitcoulls, did not respond to the Herald’s request for comment.

Retail NZ said the increase in online orders experienced during the level 3 blockade would encourage retailers to invest in their e-commerce capabilities.

“What we are seeing is a systemic jump in online sales and it is not going to drop to pre-Covid levels; we are going to see a sustained level of online spending and retailers need to prepare for that and look closely at their processes to make sure they can handle a huge jump in demand. “

• Covid19.govt.nz – The official government Covid-19 advisory website