Tag: Australia

  • Beaurepaires identifies nine years of payment issues

    Beaurepaires identifies nine years of payment issues

    Beaurepaires Australia revealed this week that around 3700 current and former employees were underpaid or overpaid due to a payroll error stretching back to 2010.

    Back payments to the affected staff are expected to cost the business approximately $1.8 million.

    Beaurepaires identified the payroll error during a review of its system conducted with the assistance of independent experts to ensure it was consistent with the Vehicle, Manufacturing, Repair, Services and Retail Award 2010.

    The error specifically relates to overtime and annual loading for shift workers, and was caused by a failure to update the payment system following changes to the award.

    “Paying our associates accurately is one of the most fundamental responsibilities of our business,” Scott Bennett, Beaurepaires director of retail operations, said.

    “We know it is of critical importance to our people, and also to the integrity and trust that Beaurepaires stands for. We want to be very clear in stating that this failure is completely unacceptable, and we take full responsibility for addressing the issue as quickly and transparently as possible.”

    Bennett added that as soon as the team realised what had happened, its priority became understanding how the mistake occurred and what was owed, and ensuring that affected associates are correctly compensated.

    The service network is working with external experts so that staff can have confidence in the outcome, and to ensure the analysis is completed as quickly and accurately as possible.

    Beaurepaires is the latest in a string of retailers to identify payment issues in the last year, with Lush and Super Retail Group having set aside $2 million and $7.9 million respectively to repay employees.

    The onus of these issues has largely been put on the complicated nature of the Modern Awards.

    “The industrial relations system in Australia is incredibly complicated, and small-medium size and large size businesses actively deal with it every day,” Dominique Lamb, CEO of the National Retail Association, said.

    “It’s absolutely likely if a business has grown quite rapidly over a period of time and has not maintained and continued to review those systems and look at how they’re paying and how they’re processing pay, this could absolutely happen to them.

    “If you aren’t checking your payroll systems, this is definitely the time to make sure you’re definitely getting it right.”

  • Online sales not sufficient to save Oxfam

    Online sales not sufficient to save Oxfam

    Oxfam Australia will start the process of shutting down its retail, wholesale and e-commerce operations in June due to commercial pressures and the difficult retail environment in Australia.

    The decision affects nearly 100 staff, made up of approximately 40 permanent and 60 casual positions.

    “We know this will be very difficult news for our staff and volunteers – and our customers,” Tony McKimmie, Oxfam Australia chief operating officer, said in a statement.

    “We sincerely thank them all for their dedication and significant contribution to our core mission of tackling poverty.”

    The closure will see eight physical stores around Australia shuttered, as well as Oxfam’s online store and wholesale division, which supplies coffee, tea and chocolate products to supermarkets.

    “The business shifted last year to placing a stronger emphasis on its online trading business and reduced emphasis on its shops, with an assessment of each store’s financial viability as shop leases became due for renewal,” McKimmie explained.

    “This resulted in the closure of five stores, howeverdeclining revenue and profitability – including flat online sales growth – meant the financially responsible decision was to close all of Oxfam Australia Trading oper ations.”

    Goods sold through these stores are sourced from a global community of ethical artisans and farmers, which helps “communities to learn and living and lift themselves out of poverty”.

    “Oxfam Australia will continue its work empowering communities to tackle poverty through long-term development programs, emergency response and advocacy,” McKimmie said.

  • March delivers biggest month in Winning’s 113-year history

    March delivers biggest month in Winning’s 113-year history

    Winning Group chief executive John Winning credits “good old-fashioned customer service” with delivering what he says was the biggest month in Winning Appliance’s 113-year history.

    According to the CEO, March sales were up 42 per cent on last year’s written sales, and same-store sales were up 32 per cent on the same period last year.

    While the company has acquired Melbourne appliances business Michael’s Appliance Centre and opened a new showroom in Western Australia over the last year, Winning said the sales increase was the result of its customer-centric approach to business, rather than a bigger footprint.

    “At Winning Appliances we focus on providing an exceptional customer experience from the minute someone steps foot in our store or goes onto our website, until well after they have received their appliance,” he told.

    “We provide good old fashioned customer service in a modern context.”

    Customer-centric approach

    The family business operates 15 showrooms across the country, including seven in NSW, two in Queensland, four in WA, one in the ACT and two in Victoria. It is set to open a new flagship in Richmond, Victoria, this year, and also operates an e-commerce business, Appliances Online.

    The retailer recorded $478.26 million in revenue for the financial year ended June 30, 2018, according to documents lodged with Australian Securities & Investments Commission.

    Winning Appliances says it is focused on providing the best customer experience possible. Its parent company Winning Group last year changed the corporate motto to, “we say ‘yes’ in a ‘no’ world”.

    This mentality extends across the in-store experience, where all showrooms have working kitchens and customers can get one-on-one demonstrations of product features, to the delivery of customer service, where the support team is available 24/7 to speak to the manufacturer and arrange service calls on behalf of customers.

    “We don’t work on commissions, so customers know that when they come to Winning Appliances, they receive unbiased advice that is based on their needs and how they like to live in their homes,” Winning said.

    “We have the world’s best appliances available at every budget and our showrooms are designed with a distinct focus on customer interaction, which provides customers with an experience beyond browsing and buying.

    “We have also recently introduced 30-minute training sessions each morning, which allows each of our product experts to learn about the new technologies within the appliances and other features and benefits that can help customers get the best use out of their appliances.”

    While 2019 may be proving challenging for other retailers, Winning said the family business’s old-fashioned approach is delivering results. Sales have been on an upwards trajectory since the beginning of the year, he said, despite some analysts predicting a slowdown in the home furnishing sector due to the property slump.

  • AirAsia becomes Brisbane Broncos Official Airline

    AirAsia becomes Brisbane Broncos Official Airline

    AirAsia has formalised a deal to become the Brisbane Broncos’ official airline, along with promotions held at every Broncos home game and special discounts for fans.

    The deal is centred around the launch of the new ‘The Buck Stops Here’ campaign, to celebrate AirAsia the airline’s new services from Brisbane to Bangkok, which are set to commence on 26 June.

    AirAsia Group Head of Branding, Rudy Khaw, said AirAsia is excited to partner with the Brisbane Broncos.

    “We are thrilled to partner with Queensland’s number one sports team, and National Rugby League favourites, the Brisbane Broncos.

    “Queensland is an integral part of our Australian network, and since commencing flights to the Gold Coast in November 2007, we’ve flown more than 2 million passengers through the sunshine state,” Mr Khaw said.

    “Our new services from Brisbane will soon become the most affordable and convenient way to travel to Thailand’s capital, and with the help of the Brisbane Broncos, we hope to see demand for these new flights grow even more.”

    As part of the partnership, AirAsia will run events and giveaways at Brisbane Broncos home games over the 2019 NRL season, as well as provide fans advanced notice on AirAsia promotional offers.

    Brisbane Broncos CEO, Paul White, said the partnership reflects a shared culture for both organisations.

    “Our partnership with AirAsia reflects a shared culture of delivering a fantastic experience at exceptional value for fans, whether it’s a night at the footy or choosing your next holiday.

    “The Broncos look forward to seeing how the beloved Buck is made part of this exciting plan to further enhance the fan experience and showcase AirAsia and their exciting destinations,” Mr White said.

    The deal, which was announced during the Broncos home game against the West Tigers at Suncorp Stadium last night, has already seen one fan receive return flights for two to Bangkok, Thailand.

  • Mountain Designs relaunches witch New E-commerce Platform

    Mountain Designs relaunches witch New E-commerce Platform

    Australian adventure brand Mountain Designs has officially relaunched, with a new e-commerce website sporting the brand’s full range.

    Spotlight Group chief executive of leisure brands Chris Lude said the business was committed to maintaining its 45 year heritage.

    “We are dedicated to ensuring the iconic Mountain Designs brand remains Australian owned, operated and designed,” Lude said.

    The relaunched brand also offers a renewed range, with the business having redeveloped 14 of its best sellers, as well as newly designed apparel and gear.

    “Adventure is in the Mountain Designs DNA, and the new range will continue to provide quality, technical, multi-functional gear that people know and love,” Lude said.

    Acquired in early 2018 by Spotlight Retail Group for an undisclosed sum, Mountain Designs confirmed it would offer a selection of goods, including thermals, apparel and equipment, within the Spotlight-owned Anaconda chain.

    Prior to being acquired by Spotlight Retail Group, Mountain Designs had been shuttering its bricks-and-mortar locations to focus on a purely online model to create a more sustainable platform for the business moving forward.

    During this period, the brand’s website was also closed to facilitate this shift, remaining offline until earlier this week.

    Spotlight Retail Group has recently indicated a larger push into the New Zealand market amid a larger revamp of its brands, with craft retail chain Spotlight to open a Christchurch flagship later in the year.

    It remains to be seen if this initiative extends to Anaconda or Mountain Designs – both of which operate solely in Australia.

  • Google delivery drones cleared for Australian Airspace

    Google delivery drones cleared for Australian Airspace

    A sister company of Google has been given the green light to launch drone delivery in Australia after years of test flights.

    The drone company Wing, owned by Google’s parent company Alphabet, was given permission this week to deliver takeaway food and drinks and over-the-counter medicines by drone to about 100 homes in Canberra.

    Wing, which has been trialing deliveries for the last 18 months, began testing its drones in Australia in 2014, but faced initial opposition from residents who complained about the noise.

    Although the drones were below legal noise limits, Wing developed a new, quieter model and said the feedback obtained during its trials had been “valuable” and it hoped to “continue the dialogue”.

    “We will continue to engage with the local community and stakeholders as we expand our service and are hosting community information stalls and delivery demonstrations in the serviceable areas over the next few weeks,” the company said in a statement.

    According to Wing, the delivery service will initially be available to a limited set of eligible homes in the suburbs of Crace, Palmerston and Franklin.

    “We expect to gradually expand to more customers in Harrison and Gungahlin in the coming weeks and months.”

    Australia’s Civil Aviation Safety Authority gave Wing permission to launch a commercial service after examining its safety record and operational plans.

    The drones will only be allowed to fly 11-12 hours a day and must be piloted, rather than fully automated.

    Wing’s initial launch partners include Kickstart Espresso, Capital Chemist, Pure Gelato, Jasper + Myrtle, Bakers Delight, Guzman Y Gomez and Drummond Golf.

    “We’re excited to connect with more local businesses in the Gungahlin area about how we can help them reach more customers faster, safer and more sustainably and encourage any local merchants who are interested in learning more to get in touch with us.”

    Wing had said that drone deliveries reduce traffic and pollution and can deliver goods in six to 10 minutes.

  • Kiwis less likely to be brand “fans” than Aussies

    Kiwis less likely to be brand “fans” than Aussies

    Customers in New Zealand are less likely to be “fans” of brands, and are more likely to be “disappointed” by their shopping experience than customers in Australia.

    This is the finding of a recent comparison of New Zealand and Australian customer insights by TruRating, a customer feedback provider that launched in New Zealand this week.

    The company found that 64 per cent of Australian customers were “fans” of a brand after shopping with them. This means they gave the brand a rating of 8 or 9, which is correlated with loyalty and higher spending.

    But based on data from its nine-month soft launch in New Zealand with several local retailers, including Kathmandu and Bendon, only 54 per cent of Kiwis were “fans”.

    When it came to bad experiences, 18 per cent of Australian customers said they were “disappointed” and gave a business a rating of 0-3. This could impact average transaction value, TruRating said.

    In comparison, 24 per cent of customers in New Zealand gave a brand such a poor rating.

    The feedback company also noted a key difference in what drives customers to spend in New Zealand compared to Australia. While “overall in-store experience” was the most important factor in both countries, “product range” was the second-most important factor in New Zealand, while “service” was second-most important in Australia.

    “In Australia, customers are happiest on weekday mornings, and in New Zealand, Wednesday is the happiest day for shoppers,” TruRating said.

    “In general, New Zealand customers are least happy with their experience on Sundays, which is unfortunate as they are likely to spend more on this day.”

  • Australian Dollar Slips

    Australian Dollar Slips

    The Australian dollar has fallen Wednesday, buying 71.23 US cents from 71.44 US cents on Tuesday.

    The local currency rose on Tuesday morning, buying 71.24 US cents from 70.99 US cents on Monday. It was at 71.07 US cents Monday morning, dropping from 71.25 US cents on Friday.

  • Nearly half of Aussie workers have experience with harassment

    Nearly half of Aussie workers have experience with harassment

    Australian workplaces have a long way to go in promoting diversity and inclusion, as a recent survey by recruitment company Hays revealed that nearly a half (45 per cent) of Australian professionals have experienced bullying or harassment at work due to gender, age, ethnicity, sexual orientation or disability.

    That’s just the tip of the iceberg, with the figure rising to 64 per cent of people living with a disclosed disability, 58 per cent of people who identify as LGBTIQ+, 50 per cent of women and 50 per cent of mature-age people.

    While less men reported this behaviour than women, the figure is still high at 37 per cent.

    The survey of over 1,000 people across Australia and New Zealand found that 41 per cent of respondents took no action in relation to the bullying or harassment. A further 15 per cent of those who experienced this behaviour chose to leave the organisation rather than report it.

    While some respondents raised the issue to HR, a team leader, supervisor or manager and it was resolved promptly to their satisfaction, this often involved mediation or the appointment of an investigator.

    “Measures range from the formal letter of the law, sanctions and workplace guides to day-to-day awareness of leaders and managers and the behaviours of all employees,” Nick Deligiannis, managing director of Hays Australia & New Zealand said.

    “However, given our findings, it seems that despite a growing awareness of the problem, more needs to be done to stop harassment and bullying at work – for all demographic groups.”

    The recruitment company suggests employers familiarise themselves with anti-bullying laws and follow the correct procedures.

    Free resources are available from Australia’s Fair Work Commission and Safe Work Australia.

  • International luxury brands down in Brisbane

    International luxury brands down in Brisbane

    Luxury brands are descending on Brisbane, with fashion house Saint Laurent opening its first store in Queensland at QueensPlaza on March 28, ahead of arrivals from Fendi and Dior slated for later this year.

    The new store, Saint Laurent’s sixth Australian store, has an architectural design that features three types of marble and refined detailing accented with anodised gold, mirrored stainless steel and leather joinery.

    “The arrival of Saint Laurent, another first to Brisbane, further cements QueensPlaza’s position as the city’s leading luxury retail and lifestyle destination,” said Pamela Wakeford, centre manager.

    Saint Laurent joins a slew of luxury retailers already located at the centre, including Chanel, Burberry, Tiffany and Co, Zimmermann, Scanlan Theodore and Camilla.

    Italian fashion house Fendi is poised to unveil its new boutique mid-year and Stanton café and bar will also open in the coming months. The new café will have a dining and bar experience including an outdoor terrace overlooking the Queen Street Mall.

    Queensland has also recently welcomed fashion jewellery brand APM Monaco, which opened a new store in Brisbane’s high street, joining a suite of luxury fashion retailers along MacArthur Central.

    The new store features the retailer’s traditional handcrafted jewellery pieces along with some most recent collections like open chokers with sky silver and zarconia meteorites, and asymmetric underlobe earrings and jackets.

    “Precision Group is proud to welcome APM Monaco to MacArthur Central where it will sit alongside some of the best international and national retailers fronting Edward Street Brisbane, where Brisbane City Council have invested $11.8 million into a beautification project of the precinct,” said Colleen Middlemass, centre and state asset manager.

    Middlemass said the new store will complement the area’s “luxe offering with a fashion focus on new trends from across the globe”.

  • Amazon Products Now Available in Australia

    Amazon Products Now Available in Australia

    Amazon has launched another key part of its business in the Australian market – it’s advertising products.

    Amazon Advertising, the part of the company that offers display and video ads and an online tool to programmatically buy ads, launched in Australia on Friday, according to a company blog post.

    This gives businesses a way to reach the millions of unique visitors who land on Amazon’s local website each month, according to figures the company cited from SimilarWeb.

    “With Amazon Advertising, agencies and advertisers – regardless of whether or not they sell on Amazon – can deliver relevant messages to customers on and off Amazon, throughout their customer journey,” the blog post reads.

    The launch comes amid a recent revamp of the US e-commerce giant’s advertising business. In 2017, the company added a new office and 2000 jobs, mostly in advertising, in New York City. It has also introduced self-service buying tools, among other new products, and started providing deeper insights into its enormous customer database.

    These efforts seem to be paying off. Advertising was part of Amazon’s fastest growing business segment last year. Revenue from the company’s “other” category, which includes advertising, grew 115 per cent in 2018, to US$10.1 billion. Research firm Magna estimated that advertising accounted for US$6 billion of that figure.

    Most of this growth has come at the expense of rival digital advertising giant, Google, according to a report last week. 

    The report stated that WPP PLC, the world’s largest ad buyer, spent about US$300 million on Amazon search ads in 2018, and about 75 per cent of that money came from Google search. This was up from the US$100 million to US$150 million it spent on Amazon search ads in 2017, according to sources familiar with the matter.

    Advertising at the point of purchase

    One reason Amazon may be attracting more advertising dollars is that it enables businesses to reach customers much closer to the point of purchase than Google or Facebook, although both tech giants – particularly Facebook, which owns Instagram – have been working to close the gap between the discovery and purchase stages of the customer journey for some time.

    But before retailers completely upend their advertising budgets, they may want to consider the metrics they’re using to allocate budget to begin with. New research from Monash University has revealed that ‘last touchpoint attribution’, a key metric most advertisers use to measure ad effectiveness and allocate budget, is not accurate.

    “At the moment, if a consumer buys a new toy online, Google can look at the search patterns that person has had over the past few days, or whether they’ve received any emails from a department store such as Kmart,” Peter Danaher, head of the department of marketing at Monash Business School, said.

    “They use a method called ‘last touchpoint attribution’. So, if the consumer last opened an email about toys, the email gets the credit. It they last did a Google search on toys before making the purchase, Google gets the credit.

    “The advertising industry has used this method for the past five years because it’s simple and effective. The problem is, this method ignores how long consumers remember an advertisement.”

    According to Danaher, last touchpoint attribution doesn’t take into account the cumulative effect of seeing ads in different places, and allocating budget based on this metric is less effective than allocating budget to maximise profit.

  • Secrets Improving on its Online Ecommerce Offering

    Secrets Improving on its Online Ecommerce Offering

    Australian jewellery retailer Secrets is gearing up for international expansion online, with New Zealand slated to be its next major market.

    Customers in New Zealand can currently order from the Australian Secrets website, and while details are scarce, the retailer said in a statement that it will be launching a New Zealand website mid-year to better cater to the market.

    The business currently has 16 stores across Australia, as well as an online portal.

    It sells man-made diamond alternatives known as a diamond simulant, which are made in laboratories from natural mineral base zirconium oxide. According to Secrets, they possess all the optical qualities of fine quality diamonds – being visibly whiter and brighter than most middle-market stones.

    “Our stones exhibit all the fire, brilliance and scintillation of the rarest diamonds unearthed, which is why women worldwide love the Secrets brand,” Secrets chief executive Mike Parsell said.

    “We believe we offer the world a better beautiful.”

    This also means the products are more environmentally-friendly than mining for natural diamonds, Parsell points out.

    “We do not displace tonnes and tonnes of earth to find a single one-carat diamond. Our stones are conflict-free.”

  • AirAsia takes partnership with World Surf League to new heights

    AirAsia takes partnership with World Surf League to new heights

    AirAsia and the World Surf League (WSL) Australia / Oceania are excited to announce the extension of their partnership to support the three Australian Championship Tour events in 2019.

    As the Official Airline Partner of the WSL, the world’s best low-cost airline has unveiled an AirAsia Beach Club and the AirAsia Flight Cam at each event, beginning with the Quiksilver Pro and Boost Mobile Pro Gold Coast this week, and continuing through to the Rip Curl Pro Bells Beach and Margaret River Pro.

    AirAsia will also extend its ‘Surfboards Fly Free’ initiative in 2019, meaning surfers from Australia will be able to travel with their surfboard with no excess luggage cost, to any of the surfing hotspots found in AirAsia’s network of more than 140 destinations.

    “We are really excited to be continuing our partnership with a company that keeps the dream of the perfect surfing holiday a reality for Australians from all walks of life. We’re really excited about the continuation of these programs but especially the engagement of our fans through this partnership,” said Andrew Stark, General Manager, WSL Australia and Oceania.

    “Partnering with the WSL is a natural fit for AirAsia. Since announcing the deal last year, we’ve been able to showcase the breadth and depth of our fast-growing network. Take Padang in Indonesia, for example – the gateway to the Mentawais – where we now see thousands of surfers each year travel with us. This is what makes the partnership so unique,” said AirAsia Group Head of Branding Rudy Khaw.

    To celebrate the renewed partnership, AirAsia and WSL are offering two lucky winners with the chance to see pro-surfing at its best, including access to corporate hospitality and multi-day passes for each event. To enter, simply follow @AirAsiaAustralia on Facebook and look out for the competition details.

    The AirAsia Beach Club is now open at the Quiksilver Pro and Boost Mobile Pro Gold Coast on at Snapper Rocks in Queensland, Australia

  • Ikea to open first small-format store in Sydney

    Ikea to open first small-format store in Sydney

    Ikea Australia’s first small-format store is set to open in Sydney’s Westfield Warringah Mall at the beginning of May.

    The Ikea Planning Studio will provide shoppers on the Northern Beaches with a place to plan and build their dream kitchens and bedrooms. Staff on-site will be equipped with tablets and provide one-on-one consultations to help customers select the right products from Ikea’s range of furniture, appliances, storage solutions and more.

    This stands in sharp contrast to the massive, showroom-cum-warehouse stores that Ikea traditionally has been famous for. But the shifting retail landscape has seen the Swedish furniture giant globally adapt its offer by launching e-commerce sites, providing more do-it-for-me services and, increasingly, experimenting with smaller stores in urban centres.

    “At Ikea, we know Australians are looking for new and more convenient ways to shop their favourite products. We’re excited to be bringing bespoke Ikea shopping experiences to Aussies around the country in locations that suit them,” Ikea Australia country manager Jan Gardberg said.

    “We’ve chosen Warringah Mall as our first location in order to reach even more Australians that live within urban areas, outside of the city centre.”

    The Planning Studio seemingly aims to provide a more immersive shopping experience, with a “luxe bedroom environment” that will transport shoppers to a “hub of femininity through floral scents and classic detailing” and a “soothing wellness sanctuary” that will feature a variety of kitchen solutions.

    In a separate initiative, the retailer currently is hosting a series of “sleepovers” at stores across the country, where select customers can experience how Ikea’s range of sleep solutions – that is, mattresses, bedding and other items – provide a better night’s sleep. This suggests Ikea is looking for ways to interact with customers on a more personalised and experiential level.

    “We want to inspire people to get creative and explore the possibilities of our range. The launch of our small format stores is just another way we’re helping Australians to create personalised and functional spaces within the home,” Gardberg said.

    The Planning Studio’s design was inspired by Scandinavian modern style and Ikea’s design values of sustainability, quality, form, function and affordability, the retailer said, and created with the eco-friendly shopper in mind.

  • Telstra launches tiered loyalty program

    Telstra launches tiered loyalty program

    Australia’s Telstra has announced a new tier-based loyalty program designed to allow customers to earn points for every dollar they spend with the operator.

    The Telstra Plus program will be available to both prepaid and postpaid customers. Members will accumulate points they will be able to exchange for discounts on new devices and accessories.

    Through partnerships, Telstra will also offer access to benefits such as discounted sport and movie tickets and complementary extras.

    Membership to the tiered system will be calculated based on spend over the previous 12 months. The higher tier services include benefits such as priority call handling and 24×7 tech support, as well as yet to be announced entertainment bonuses.

    Telstra CEO Andy Penn said Telstra plans to extend the new offering to its roughly 8 million customers from May.

    “Every service, subscription or hardware repayment will see customers earn points towards new technology, and we think that’s a pretty powerful offer,” he said.

    “The first 5G devices will be available with Telstra soon, opening up even more opportunities for Australians to get more out of life through technology and helping our customers take advantage of all our network has to offer… In addition to the better value we provide our customers through our larger network coverage and data speeds, we’re upping the ante through rewarding our customers for their loyalty over time.”