Service Level Agreement

Enhancing the customer experience via an agreed service level between BEX and Sellers

 

BikeExchange (BEX) is committed to providing a leading customer experience to boost both online and in-store sales and strengthen the brand of our sellers and BEX within the bike industry.

The BEX Service Level Agreement (SLA) details the standard operational and customer care performance expected from both BEX & all Marketplace sellers required to achieve this. The objective of the SLA is to ensure sellers are successful and optimise the purchase experience of the modern customer.

 

1.  Service Level Standards: BEX commitment to sellers

 
BEX will use commercially reasonable efforts to ensure that the platform meets the service level and availability required to drive seller success and provide a leading customer experience. BEX undertakes to:
  1. Proactively monitor the platform
  2. Respond to support requests within the service level timeframes
  3. Promptly investigate failures to meet service levels
  4. Attempt to minimise recurrences of service levels not being met
 

 

Part 1: Service Level and Service Availability

BEX will use reasonable endeavours to ensure that the platform is available in accordance with the following Service Availability:

Service LevelMinimum Service Level
Platform availability99.95% Uptime

Where:

  1. Uptime is measured over each calendar month; and
  2. Unavailability for any of the following reasons will not be considered for the purposes of measuring uptime:
    1. Unavailability caused by the failure of any of the seller’s systems or equipment;
    2. Unavailability caused by telecommunications faults or failures or unavailability of the internet, where such fault, failure or unavailability is not under the control of BEX.
    3. Unavailability caused by the failure of any external provider, and
    4. Scheduled Maintenance
 

Scheduled Maintenance

On the provision of reasonable notice, BEX may suspend the operation of the platform from time to time to conduct scheduled maintenance. BEX will use all reasonable endeavours to ensure minimal impact on the seller when conducting such maintenance.

 

Support Requests

All support requests must be sent to the seller’s BEX account manager providing as much detail as possible, including screenshots, descriptions, links and examples.

On receipt, your BEX account manager will review the support request and request any further information, if needed. If the request requires further information, the response time will depend on the time the seller takes to provide further information.

If the support requests require further action, our platform provider will be engaged to resolve the support request.

The seller will be kept informed about the progress of any support requests via email at regular intervals in a timely manner.

 

Service Level Timeframes

When dealing with Support Requests, the “Response Time” will be determined according to the severity levels. BEX will use reasonable endeavours to achieve the response time in a reasonable time.

 

Part 2: Other BEX responsibilities

BEX will in a timely manner;

  1. Display the seller’s name and logo and the seller’s inventory on the BEX platform.
  2. Accept marketplace orders from customers on behalf of the seller
  3. Forward each order to the relevant seller
  4. Inform the consumer when the order has been fulfilled on behalf of the seller
  5. Pay the seller, in accordance with the BEX terms and conditions, and the sale proceeds less the applicable commission rate, subscription fees and other fees and charges as stipulated in this agreement.

 

 

 

2. Service Level Standards: Seller Commitments to BEX and Customers

 

To deliver a constantly high and competitive level of customer experience to customers, BEX has established a series of operational and customer care performance standards expected from all BEX marketplace sellers.

 

Part 1: Service level standard metrics

Customer expectations remain high throughout the customer journey, this includes pre and post-acquisition. The customer’s experience at each step will determine the customer’s likelihood of making a purchase with a seller and returning to the seller for a future purchase.

BEX has established a series of service level metrics that cover key milestones of the customer journey. Understanding that, on occasion, issues along the customer journey are unavoidable, the metrics have been established with the view of fairness and reasonable for all parties.

 

Supporting our sellers: Periodic review of seller performance

BEX will conduct periodic reviews to monitor and provide insights into seller performances.  The reviews are designed to drive continuous improvements across our sellers and the BEX marketplace, ensuring sellers are successful and consumer satisfaction levels remain high.

Sellers will be supported by dedicated account managers to assist in achieving their SLA requirements. BEX account managers will partner with sellers to ensure the best outcome for both the seller and consumer is achieved.

 

Fulfilment performance metrics

SLA MetricSLA MeasureSLA Explanation – WhySLA Assessment and Basis of Measurement
Refund Rate, by number of orders< 3 order/month

BEX aims to maximise the volume and value of orders a seller fulfils. For every order a seller cannot fulfil, the customer’s level of trust in the seller’s and BEX marketplace’s ability to fulfil orders is compromised. Trust is further compromised when high-value items are cancelled.

The greater the number of orders fulfilled, the more likely the customer is to return to the seller or BEX marketplace for a future purchase.

This metric is limited to Seller Instigated Cancellations (SICs).

The SLA will be applied in the following order;

1. Refund Rate, by Number of Orders,

2. Refund Rate by value

Where the Refund Rate by Number of Orders is exceeded, the total value of refunds for the period must not exceed 10% of total sales.

A refund is considered processed based on the date the refund request is submitted in the BEX marketplace platform.

Total no of refunds processed

The total number of refunds processed in the period must not exceed 3 orders

The refund rate, by value:

Total value of refunds processed in a period as a percentage of the total value of orders processed in the same period.

Refund Rate, by value< 10% of the total order value
Shipping rate> 95% of orders within 3 business days

The fulfilment of orders in a timely manner is critical to the customer journey and maximises the customer experience. Where orders are not fulfilled within 3 business days, BEX experiences increased customer inquiries demanding an update on their order, often resulting in negative reviews.

Orders are considered fulfilled when the following occurs;

– Shipping orders: Order is marked as shipped in the BEX Seller Account

– Click & Collect orders: Order is marked as ready to be collected in the BEX Seller Account.

This measure excludes pre-orders.

To meet the SLA, 95% of orders, excluding pre-orders, must be fulfilled within the 3 business days.

The business day count starts the 1st business day after the order was placed.

Shipping rate:

The total number of orders that are dispatched by sellers within 3 business days of the order being placed for the period as a percentage of the total number of orders in the same period.

Ready to collect rate:

The total number of orders that are ready to be collected within 3 business days of the order being placed for the period as a percentage of the total number of orders in the same period.

Ready to collect rate> 95% of orders within 3 business days
Valid Tracking Rate> 95%

Providing valid tracking information allows the customer to monitor the delivery progress of their order. It is important for customers to be able to track their orders and have an accurate estimated time of arrival. This will improve shipping performance and, thus, overall customer satisfaction rates.

Valid tracking information must include:

– The delivery service provider

– Tracking numbers

In cases where the delivery service provider does not provide tracking numbers, the seller must provide the customer with details of the shipping service provider and planned delivery timing.

To meet the SLA, 95% of shipped orders must contain valid tracking information.

Valid tracking rate:

The total number of orders that have a valid tracking number for the period as a percentage of total number of orders shipped during the same period

 

Customer care performance metrics

Performance MetricsSLASLA ExplanationApplication
Response time to ticket< 1 Business Day

A fast response to a customer service ticket makes the customer feel important. Customer satisfaction research shows a positive correlation between faster response times and higher customer satisfaction and improves the likelihood of consumers completing a purchase with the seller and BEX, now and in the future.

Customer service tickets include those raised by a customer or BEX.

The response time refers to the period of time between when the consumer first raises the customer service ticket and the time it takes for the seller to respond.

To meet the Response Time to Ticket SLA, sellers are expected to respond to all customer tickets with 1 business day (24 hours)

To meet the Response Rate SLA, sellers must respond to 95% of customer tickets within the 1 business day response time SLA.

The response rate:

The total number of tickets responded to within the 1 business day SLA for the period as a percentage of the total number of tickets received for the same period.

Response Rate> 95%
 

Underperforming sellers

BEX is committed to partnering with and supporting sellers to outperform the SLA continuously. Where sellers are underperforming, BEX will work with sellers to;

  1. Determine the reason for the underperformance
  2. Devise a plan to improve performance
  3. Review & monitor action plan to track progress

Where sellers fail to meet the SLA despite the support from BEX and demonstrate no sign of or willingness to  improve, BEX will be forced to take action against the underperforming seller to prevent any further damage to other sellers and the BEX brand. These actions may include;

  1. Imposing additional fees & charges
  2. Suspending or terminating sellers on BEX

These actions will be the last resort and will be taken only after all attempts to support the seller have been exhausted.

 

Breach of SLA: Imposing additional fees and charges

Every customer order is a result of BEX investment in technology, marketing and customer service. Each order incurs transactional fees, merchant fees and platform fees. An order that misses SLA standards demands additional customer service handling and costs, ultimately impacting the customer’s experience and the seller’s and BEX marketplace success.

To defend other sellers and maintain a reputation as a reliable platform for potential buyers and future sellers, BEX has established the following fee structure, which will be applied when the SLA is breached. The fees are designed to cover any administrative fees resulting from the continued breach of the SLA and be reinvested in maintaining our sellers and the BEX brand.

BEX reserves the right to apply all additional fees and charges stipulated in this SLA. Fees and charges will be applied only once all attempts to support and work with the seller have been exhausted.

 

Fees and Charges

Fee typeConnected SellerNot Connected Seller
Increase in commission rate

+ 1%

+ 2%

The fees and charges will be implemented as follows:

How will the additional fees and charges work

1

BEX will issue the seller with a “Breach of SLA notice” detailing the reasons for the breach and how the seller will be impacted

2

The additional fees and charges will apply in the 1st day of the month following the breach

3

The period in which the additional fees and charges will be applied is known as the “review period.” Throughout this period, BEX account managers will work with the seller to rectify the breach and bring the seller to the standard expected by all sellers and the BEX marketplace.

4

Only when the seller has demonstrated signs of improvement in respect of the SLA will the fees and charges be reinstated to the seller’s ordinary rates and charges.
 

Breach of SLA: Suspending or terminating a seller’s privileges on BEX

BEX is committed to working with all sellers, including underperforming sellers, to improve their performance in respect to the SLA. Only when sellers demonstrate no improvement or willingness to improve will a seller’s trading privileges on the BEX marketplace be suspended or terminated.

 

Part 2: Refunds – Seller and customer-initiated cancellations


 

Globally, the BEX marketplace generates a large volume of orders each year for our sellers. For reasons both within and outside the seller’s control, occasionally some of these orders are cancelled. BEX categorises order cancellation as follows:

CancelationTimingExamples
Seller Initiated CancellationPre-Fulfillment
  • Out of stock
  • Items incorrectly advertised, sellers are unable to complete orders as advertised. Examples include pricing, EAN or product description errors.
Post-Fulfillment
  • Product damaged when fulfilled
  • Warranty issue
Customer Initiated CancellationPre-Fulfillment
  • Change of mind
Post-Fulfillment
  • Change of mind

 

Cancellation Service Fees

Both seller and customer-initiated cancellations require handling by our customer service team and incur the same transactional fees at the point of sale and refund. An order cancellation service fee will be applied to Seller Initiated Cancellations. The refund cancellation fee is to compensate BEX for all costs associated with completing the original sale and processing the refund for the seller.

BEX is committed to delivering both an exceptional customer purchasing experience and being fair to our valued sellers. Cancellation service fees will not be charged for orders cancelled in a timely period. For orders cancelled outside the SLA, BEX will charge the seller the greater of the full commission or a minimum fee. All cancellations falling between the two periods will be treated fairly with a 50:50 split between BEX and the seller. This ensures a fair outcome for both the Seller and BEX, as costs associated with the cancelled orders are shared by both parties.

If the seller can offer the consumer an alternative product, the seller must do so in the first instance. This order must be completed via the BEX platform, where the seller’s ordinary commission rate will be charged. The seller will not incur any additional fees.

BEX will invoice sellers for Cancellation Service Fees monthly. Payment for the invoice will be processed at the time the invoice is issued using the seller’s payment method from which subscription fees are charged.

The order cancellation fees are detailed below:

 

Pre-fulfillment cancellations

Refund TypeTimeframeConnected SellerNot Connected Seller
Seller initiated cancellationsWithin 1 business day

No fee

No fee

 > 2 business days, < 3 business days

The greater of 50% of total commission or $20

The greater of 50% of total commission or $35

 > 3 business days

The greater of 100% of total commission or $40

The greater of 100% of total commission or $50

Platform, marketing and handling fees in relation to Customer Initiated Cancellations will be borne by BEX.

 

Post fulfilment cancellations

Orders cancelled post fulfilment require additional customer service care and administrative actions and costs. Often sellers have been remitted sale proceeds, and BEX customer service must also organise return of stock to the seller.

In the event of a cancellation post fulfilment order, the following fee structure will apply.

Refund TypeFee TypeConnected SellerNot Connected Seller
Seller initiated cancellationsReturn shipping costs

Paid by seller

Paid by seller

 Cancellation service fees

The greater of 100% of total commission or $50

The greater of 100% of total commission or $70

Customer initiated cancellationsShipping costs

Paid by customer

Paid by customer

 Platform & Marketing & Handling Fees

Paid by BEX

Paid by BEX

 

Application of order cancellation fees

Order cancellation fees will be applied from 1 January 2023.

 

 

 

Part 3: Delivery experience


 

Quality delivery experience

To further ensure a high level of customer satisfaction, all orders, except for pre-orders, must be dispatched within 14 days of receiving the order. Orders cannot be delayed by more than 14 days.

Orders not dispatched within 14 days will be automatically cancelled, resulting in the customer being refunded. The seller will not be paid for these orders, and order cancellation fees will apply.

The 14-day period can be extended to 21 days under certain circumstances (for example, the seller is waiting on parts to complete a bike build before it can be delivered). Where this is the case, the seller must inform the customer via the BEX platform that the fulfilment of the order will be delayed. The seller must communicate in a timely and at regular intervals should the delay continue.

 

Standard of shipping

All delivery orders must meet a minimum standard of delivery. Orders must be shipped via a reputable delivery service provider who is able to deliver the order within a reasonable time and ensure the packaging or product are not damaged.

All bikes delivered must be pre-assembled by a qualified mechanic prior to delivery. This means all parts and components must be assembled and the bike shipped with pedals and the front wheels detached and placed in the box with handlebars turned to the side. Upon delivery of the bike, the customer is to attach the pedals and front wheel for the bike to complete assembly.

It is the seller’s responsibility to ensure all bikes are checked before shipping to ensure they are pre-assembled and in condition as advertised.

Shipping responsibility: ensuring the customer receives their order

The seller is responsible for ensuring the order is shipped and delivered to the customer. If any problems shall arise during the delivery process, the seller must take all reasonable steps to ensure the order is received by the customer in a reasonable timeframe.

All sellers must use a reputable shipping provider to deliver all orders.

 

Application of the SLA


 

The responsibilities outlined in this SLA will apply to BEX and all sellers who have agreed to participate in the BEX marketplace.

The SLA took effect as of 1 January 2023.

For new sellers, this SLA comes into existence upon sellers entering into the BEX Terms and Conditions.
This SLA remains valid until superseded by a revised agreement or until the BEX Terms and Conditions are terminated.

 

3.  Definitions

 
TermDefinition
Business DayAny day except any Saturday, any Sunday, or any day which is a legal holiday as authorised or required by law or other governmental action to close.
Cancelled order

A submitted order to buy a product that gets cancelled either before or after it is fulfilled.

Orders can be cancelled by the seller (Seller Initiated Cancellation, SIC) or customer (Customer Initiated Cancellation, CIC)

Click & CollectA shopping facility whereby a customer can buy or order goods from a seller via the BEX marketplace and collect them from the seller in store.
CommissionFor the purposes of the SLA, the Commission will include the seller’s commission rate plus any merchant fees charged by the marketplace to the seller.
Connected Seller

Seller who has an active integration of a 3rd party Point of Sales(POS)/ Shop system/ eCommerce platform into the BEX marketplace.

The seller’s POS, Shop system or eCommerce platform maintains the seller’s inventory levels and pricing.

To be a satisfactory connection, the connection must;

  • have an automated or semi automated integration
  • Update inventory and pricing feeds every 24 hours as a minimum
CustomerA customer is an individual or business that has made an inquiry to or purchased an item advertised on the BEX marketplace.
Customer Initiated Cancellation (CIC)

An order cancelled by the customer under either of the following scenarios;

  • Change of mind
  • Incorrect sizing
Fulfilment

An order has either been dispatched to the consumer.

In the case of a Shipping order, the order is fulfilled when the order is shipped in full.

In the case of a Click & Collect order, the order is fulfilled when the order is made available for collection in full.

Not Connected SellerSellers who maintain their inventory manually on BEX and do not have an active integration of a 3rd party Point of Sales(POS)/Shop system/eCommerce platform into the BEX marketplace.
Seller

Is a retail store, brand, manufacturer or distributor who has placed an advertisement for an item to be sold or received an inquiry on the BEX marketplace.

Items can be available for sale either as delivery, click and collect or in-store when an inquiry is generated via the BEX marketplace.

Seller Initiated Cancellation (SIC)

An order which is cancelled by the seller and may include the following scenario;

  • Item is out of stock
  • Item was incorrectly advertised on the BEX marketplace resulting in the order having to be cancelled. This may be the result of an error in pricing, EAN or product description

The following scenarios, whilst requested by the consumer, will be considered Seller Initiated Cancellation:

  • Item was damaged when received or collected
  • Due to a warranty issue

An SIC includes cancellation or refund requests by the customer due to the product received not being as advertised. This includes but is not limited to the wrong colour or size.

Shipping ordersA shopping facility whereby a customer can buy or order goods from a seller via the BEX marketplace and the goods are delivered to the customers location.

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