NTUC FairPrice increases online capacity, resets S $ 3.99 service fee as online orders increase



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SINGAPORE: NTUC FairPrice will increase its online capacity by 30% in the coming weeks and will reinstate a service fee for all online orders.

In a press release on Thursday (April 16), FairPrice announced that a service fee of S $ 3.99 will be applied to all online orders beginning at 8pm on Thursday.

Online orders have increased during the “circuit breaker” period, and people are urged to stay home as much as possible to help curb the spread of COVID-19.

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The service fee was first introduced in early March, FairPrice said, but was later waived.

“We adopt a transparent pricing approach: there are no hidden margins on the products themselves, as our online platform maintains uniform prices with our physical stores,” said Seah Kian Peng, CEO of FairPrice Group.

According to Mr. Seah, the service fee only partially covers the total costs of processing, selecting and packing online grocery orders.

“This $ 3.99 fixed token fee is a subsidized fee considering the costs involved in the processing of grocery products involving cold chain management, the transportation of bulk goods, labor, and strict security measures and food quality, “FairPrice said.

A multi-tiered delivery rate structure will also be introduced “to provide more flexibility for shoppers to vary the size of their baskets and optimize savings for their online purchases, making online groceries accessible to more households.” added.

FairPrice multi-tier delivery fee structure

FairPrice said that in the past two months, it has “invested a lot” to improve its online grocery infrastructure, and recruited and trained about 150 staff members to become qualified pickers and packers.

This resulted in an increase in the number of delivery slots available to online customers by 25 percent.

READ: FairPrice stores will remain open ‘come what may’, no need to rush in and buy supplies – CEO

READ: COVID-19: FairPrice expands purchase limits to include cooking oil, canned goods; new limits on sales of toilet paper, poultry

In the coming weeks, FairPrice said it will continue to hire more people and further increase its online capacity by another 30 percent, turning a brick and mortar FairPrice store into another dedicated online order fulfillment center, among several others. activities.

The availability of delivery slots for orders will also change due to the almost triple increase in visits to the FairPrice website in the last two months.

Previously, slot machines were busy quickly when launched, leaving many customers with no opportunity to order their daily essentials, FairPrice said.

“To help mitigate this, delivery spaces are freed throughout the day to offer more opportunities for online customers to place their orders,” he said.

COMMITMENT TO DONATE S $ 500,000

FairPrice announced a pledge to donate to five needy organizations: Lee Ah Mooi Old Age Home, Metta Welfare Association, Assisi Hospice, Touch Community Services, and Food from the Heart.

FairPrice Foundation will match the S $ 3.99 service fee for all online orders and donate up to S $ 500,000 to all five organizations.

“FairPrice continues to invest in our online grocery service to ensure that more families in our community can access their daily staples,” said Mr. Seah.

“As the COVID-19 situation impacts our lives, it is also important to take care of each other, especially those who may be most affected. We encourage the community to share our efforts to do good and play a role. for the community”. “

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