20th February 2018
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Report slams ‘shocking’ online delivery charges

7 comments, , by , in News

Consumers in Shetland have to pay a “shocking” extra £18.60 when buying online because of their postcode, according to new research published by the Scottish Citizens’ Advice Bureau.

CAB has collected thousands of stories, including many from islanders, detailing tales of overcharging, late deliveries and poor customer service from many online companies. The traders most often mentioned include household names such as Tesco, Argos, Toys-R-Us and eBay, as well as many smaller firms.

Many politicians are backing the finding’s of CAB’s Postcode Penalty report and are calling for companies to change their ways and offer a fair deal to all Scottish consumers.

The average mark-up fee of £18.60 equates to 508 per cent more than the standard delivery price. In addition, around 13 per cent of retailers refuse to deliver to a ZE postcode, putting Shetland third in a top 10 table of “usual suspects”.

CAB said many of the extra charges, delays and refusals experienced by customers were “down to ignorance of geography, and a refusal to use the cheapest delivery option available”.

Local bureau manager Sylvia Jamieson said: “Everyone in Shetland has had personal experience of being overcharged by online companies. Sadly, it is the norm. But that doesn’t mean we should put up with it.”

Sylvia Jamieson

She said there had been an “extraordinary” level of support for the campaign from members of the public.

“The reason for that is simple,” she said. “These charges are just shockingly unfair, and unjustifiable. Delivery charges should be based on the actual cost of delivering the item – with a reasonable profit margin for the seller. 508 per cent is not a reasonable profit margin by any fair calculation. We need to put a stop to this, and demand a fair deal.”

One islander said they had been refused delivery on “several occasions” and had refused to use a number of companies which had tried to levy surcharges of anything from £10 to £50.

Another Shetland consumer bought CDs separately from companies in London and California, both of which used UPS as its courier. The delivery cost was £5 from the USA and £25 from London. The CD from California took five days to arrive, whereas the CD from London took a fortnight.

They said: “So far as the California office was concerned we’re all UK; the London office splits us into ‘the far north’, and hence inaccessible, and ‘the rest’. 

“The thing that really annoys me is when you query why it is so expensive for a small item weighing a few ounces, and why they don’t just send it in the post, to be told that their contract with the courier does not allow [them] to use the Royal Mail.”

The Postcode Penalty report proposes several measures to tackle the problem, including:

• Where one courier does not deliver to certain areas, retailers should shop around for an alternative courier which does;

• Wherever possible, retailers should offer delivery by Royal Mail;

• Delivery prices “should not be based on arbitrary post codes” and should be explained simply and displayed clearly on retail websites;

•  Retailers should not advertise “free next day delivery” on sites if that offer is not available to certain UK consumers;

•  The universal service obligation ensuring that delivery of packages of up to 20kg costs the same across the UK must be protected.

Ms Jamieson said the research demonstrated that it does not cost companies a huge amount extra to deliver items and “nor does it need to take a long time”. CAB is calling on companies to “adopt a bit of fairness and common sense”.

She said: “Some of them have already done that, as a result of this campaign. For example, eBay have changed their delivery policies when confronted with this evidence. But we need to keep up the pressure now and make sure all online companies give us a fair deal.

“Such excessive charges are bad at any time. But particularly at the moment, with so many people still suffering the effects of the recession.

“Here at CAB we see people every day who are struggling to pay their bills and put food on the table. For them, finding an extra £18.60 when buying something is a really big deal.

“And it’s not just domestic consumers and families. Many businesses too are hit hard by this – particularly those who need to buy in materials or goods regularly. Some are having to pay these excess fees several times a day.”

• Anyone who believes they have been fleeced by an online delivery firm is being asked to keep all the details and send the information to SIC trading standards on (01595) 744887 or email trading.standards@shetland.gov.uk

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7 comments

  1. Colin Hunter

    I once ordered a Video Camera from a Company in Manchester. They wanted £39.99 to deliver it to Shetland so I got them to send it to my brother in Law, David, in Rotherham. Even that cost £10.50 by “carrier” from Manchester. I told him just to bring it up when they visited as I was in no hurry for it. I received a parcel a few days later and it was the camera. David had gone to the post office and sent it on. The cost? £6, which is exactly the same as it would have cost from Manchester if the seller had been able or willing to use the Post Office!
    Another beauty was when I tried to order a part for my son’s car. It was free delivery UK mainland, so I asked them to put it to Northwards in Aberdeen for onward shipment. They refused, saying that their carrier had to take it “all the way”. Bearing in mind that such a package would have been £10 maximum from Aberdeen I asked how much it would cost. I was told it would be £50! So Zero plus £10 now equals £50! To include my answer to them would not add constructively to this letter!! Needless to say I did not continue with the purchase! Their loss!

    Reply
  2. Andrew Gibson

    There are many companies that charge very little or nothing at all. You just have to search.

    Reply
  3. Michael Groat

    I’m waiting on some thing which is being delivered by “Yodel” and cost £25.00 “next day delivery! who are these people, I even enlisted the help of “Tootsie Wiseman” the best yodeller I know and even he can’t get a reply.

    Reply
  4. ian Sinclair

    I live in Orkney, we recently ordered a flat pack wardrobe from Tesco on line. Upon looking at the charge for delivery, it was to be over £50 My wife phoned the company, & one of the managers thought that this was ridiculous. he said leave it wae me. He phoned back, and the goods were delivered tae the hoose for a little over £5 , so sometimes a phone call can do the trick. since then we have ordered goods through Tesco with similar results. Tesco is not all that bad.

    Reply
  5. Eleanor Black

    When I lived in Clydebank & later in Dalry, Ayrshire, Shetland friends staying with me & I myself used a Shetland carrier to transport goods to Shetland, at a very reasonable cost. Carriers even came to Clydebank or twice to Hillington filling station, Glasgow, to pick up goods en route to Lerwick. Worth checking out, folks.

    Reply
  6. Colin Hunter

    Last Christmas I ordered some stuff from Amazon. There were two High value items that I paid extra for “Express Delivery” and the other low value items I allowed to be delivered “Free”. Needless to say, the “free” items arrived by post in a couple of days, but the other two items, despite the tracking number indicating that they had arrived at the Aberdeen depot within 24 Hours of dispatch, took a further 5 days to make it here, despite every Shetland “carrier” I asked about them denying all knowledge of the tracking number. These people really need to get their act together! The post office is obliged to deliver to every address that they have mail for, on the day it arrives at the office. If the so called “Carriers” had to do the same there maybe wouldn’t be so many fly by night cowboys creaming off Royal Mails potential profits!

    Reply
  7. johnmcphail

    Don’t think Shetland is alone Paisley came even higher up the list! Thinks will only get worse when privatisation of Royal Mail occurs and the universal postal service is finally killed off. Companies will contract delivery firms all of which want to chery puck so price difficult areas out so they don’t need to bother. Except when Royal Mail isn’t there as it’s been privatised, then no alternative will exist. Ask Tavish and Carmichaeln, it’s their lot that are pushing for this.

    Reply

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