The Warehouse has announced it will stop sending online orders to Great Barrier Island and the Chatham Islands from October 15, blaming soaring freight costs.
In a notice sent to a resident today, the retailer said customers will now need to have items sent to a freight forwarder in Auckland and then pay the carrier directly to forward them to the islands.
The company said it “will continue to help where we can” but confirmed its direct shipping service is over. The decision effectively removes one of the last affordable direct retail options for residents of Great Barrier and the Chathams.
The change has caused outrage across the island, with dozens of comments posted on the Great Barrier Island community Facebook page. Some described the move as “gutting,” “not right,” and “another blow for the cost to have food and supplies.” One resident said freight charges for everyday items would now reach nearly 70 percent of the value of what they were buying. “NZ Post has recently hiked all freight prices to the island astronomically. This is terrible news,” another wrote.
Many accused The Warehouse of abandoning remote customers. “I strongly urge everybody to make a complaint to The Warehouse about how devastating this is,” said one islander who received the notification. Others warned the decision would push residents to shop elsewhere or simply go without.
Barrier Air said it had already contacted The Warehouse and NZ Post in an effort to find a solution. “We are in touch with The Warehouse and NZ Post to see if there’s something we can do to help,” the airline said.
Great Barrier Local Board member-elect Izzy Fordham said the move would have a major impact on island residents. “It’s really tricky to give a board perspective before we’re officially sworn in, but I’d expect members to be equally peeved with this announcement,” she said.
“This will have a huge impact on our community as many people shop at The Warehouse. I understand Barrier Air is already in contact with The Warehouse and NZ Post to explore options. Both companies have faced operating deficits — they’re clearly looking to save costs where they can.”
She said the decision also raised questions of fairness. “We sit within the Auckland region, so we should be getting the same benefits as other Auckland areas.”
The Warehouse’s decision comes at a time of sharply rising transport costs for Great Barrier Island. Some airfares have tripled in the past five years, and car ferry fares have roughly doubled. Several candidates in the recent local elections pledged to tackle the cost of living and transport, describing them as major threats to the island’s future.
The Warehouse Group itself is struggling. The company reported a 1.6 percent drop in sales in the first half of this year and warned it could post a full-year loss of up to $5 million. Last year its operating profit plunged 75 percent to $17.7 million, driven by higher costs and aggressive discounting.
For Great Barrier and the Chathams, the timing could hardly be worse. The change will add yet another layer of expense and complication for residents already paying the highest transport and freight costs in the country.
