Myer inks e-commerce fulfillment deal with Australia Post

Myer is hoping Australia Post can help it speed up the delivery of e-commerce orders and thereby improve its online customer experience, a key pillar in CEO John King’s turnaround plan for the department store chain.

The Melbourne-based retailer on Monday announced a three-year 3PL (third-party logistics) arrangement with Australia Post that will see the postal service provide warehousing for more than 96,000 Myer products at a 26,000 square-metre facility in Tullamarine, Victoria, near Melbourne’s main airport.

The partnership is in addition to Myer’s existing online operations based out of its stores and distribution centres, which include click-and-collect and home delivery. It commences from September 2020.

Australia Post will also provide extra capacity for Myer during peak trading periods.

“This partnership with Australia Post as our e-commerce fulfilment partner represents an important next step in our Customer First plan to deliver products to customers in the quickest and most effective way, as we continue scaling our online business during the next few years,” King said in a statement.

“Australia Post is one of the most trusted organisations in the country, and they share our customer first approach, which will ensure we continue to provide a leading online experience for our customers.”

Christine Holgate, Australia Post’s group CEO and managing director, framed the partnership as two historic Australian organisations coming together in a challenging time.

Australia Post and other courier providers have been a lifeline for retailers during COVID-19, when many customers stopped shopping in-store, but they have also struggled to cope with an avalanche of online orders, and some customers have complained of delivery delays.

“We are confident through this partnership, that our supply chain and logistics and warehousing solutions provided through Australia Post’s Fulfilio service, as well as our trusted Australia Post retail network, will further support Myer’s online shopping boom and assist to get customer orders out as quickly and conveniently as possible,” Holgate said in a statement.

Myer is due to release its full-year results in September.

This article was first published by Inside Retail.

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