The online retail industry is obviously in a booming stage at the moment due to the high number of online stores starting to grab a hold of the market. Now it seems that the boom might slow a bit as Australia Post has announced that it will be increasing postage costs by up to 30%. This is a big blow to online retailers who often charge very minimal amounts for postage or even give free postage.
One of the major reasons consumers buy online is the price difference between buying online and buying in a retail store. If this benefit is taken away then people will have less reason to buy online.
Most of Australia Post’s income comes from online retail and any rise in charges will benefit the company immensely. Australia posts has increased signing for a document from $1 to $2.95.
Online stores such as Beginning Boutique will see a hit in costs and many will expect them to raise prices and they may only offer free shipping with a Beginning Boutique Discount Code.