Most of the business houses in the manufacturing business or goods transfer business choose to ship their products with big shipping companies like FedEx or UPS. These companies have made such a reputation because of their on-time delivery and safe keep of the product during shipping. However, on some rare occasions, even these big companies could lose a package in transit. Now, who is to blame for this? The shipper or the seller?
Most of the time, it is the retailer who must bite the bullet and pay for the lost shipment of goods. This happens because the customer considers the business who has accepted payment for the package to be responsible for its safe handling and delivery. Now, what are the options for companies when their customer comes and starts blaming them for the lost shipment?
Effects of Lost Shipment for Retailers
Customers tend to blame the retailers for lost shipment and with the rise of social media, any mishandling could lead to negative publicity. The brand reputation of the retailers takes a major hit as the trust of customers hit the bottom. The customer churn rate hits the roof, and outlasting the competitors becomes hard for multiple failures of shipment. Thus, a retailer must ensure that even after handling the product to the retailer, the responsibility of it reaching the customer safely falls on their shoulders.
If the package en route to a customer isn’t delivered even after 4 to 5 days of the delivery time, then it can be considered lost. If a retailer suspects that their package is lost, they should ideally wait for a period of 7 days from expected delivery. This is because the package may turn up a bit late due to rerouting in the supply chain. It could also happen that the package is incorrectly sorted or scanned.
Most of the time, the issue with the package being late is bad weather or the wrong address. In case a package is being shown as delivered but the customer reports that it has not been delivered to him, then the package should be treated as ‘stolen’ and appropriate measure for retrieving a stolen package should be taken.
Every package is generally shipped with a tracker stuck over it to ensure that it doesn’t get lost in the process. But if due to some reason if the tracking label comes off, or the package gets torn and items in it gets missing, then a lost package claim can be filed to the carrier. Here is the procedure to file a claim for the lost package of FedEx.
For Other Carriers, the process is somewhat similar.
Retailers or manufacturers have a hectic business to run every day and they can’t go for filing the lost shipment claims to the carriers due to time constraints. The process is a bit tiresome for more reasons like,
Retailers are advised to ensure their valuable products while shipping. This will minimize their loss in case the package gets lost or damaged. Also, for lost shipments, the carriers must pay the penalty chargers for failing to deliver the package on scheduled time to the driver. Even for late delivery, a full refund of the shipping fee is directed to the Retailer’s account.
Pickup records of the package, Pictures of the damaged package or tore package, documented proof of value for the content of the package, and Tracking numbers of the packages.
7 days from the expected date of delivery.
Yes, for shipping valuable items, it is wise to get shipping products insurance to minimize the loss in case the package gets lost.