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How to avoid being fined by Network Services

Magazine distributor Network Services operates as victim, prosecutor, judge and jury in the handling of disputes arising from magazine returns.  While they will say that statement is unfair, it is how it is.  It is how newsagents who have experienced a dispute often feel.

While I have seen Network act fairly in some situations, I have also seen them act unfairly in others.  The frustration felt toward their handling of disputes is magnified since they relate to products over which newsagents have very little control thanks to the push model of magazine distribution in Australia.

Here are my suggestions for newsagents to be better able to deal with a magazine returns credit dispute:

  1. Make sure that you understand and carefully follow the current Network process for packaging and shipping returns and returns forms.  Do not ask another newsagent what the current process is, ask only Network. Get it in writing.
  2. Keep a copy of all forms, emails and other documents relating to returns in a separate date-sequenced file for Network.
  3. Create a log of returns shipping activity noting the date you sent returns, the courier used, number of packages and the name or the person who completed the returns at your end.
  4. Photograph each Network returns package – clearly showing the label.
  5. Get a receipt from the courier you use to deliver your returns to Network.
  6. If you deliver the returns yourself, take a photo of your packages before you leave the distribution depot.
  7. Make notes about any phone call relating to returns.  Include the full name of the person you spoke with plus the date and time.

The better you are able to prove what you did and when in the event of a dispute the faster the dispute will be resolved.

The process outlined above will also show some newsagents mistakes which led to credits being denied.

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  1. mary

    Can I also add that if you use a courier make sure they deliver to network when they said they would.I have found that our returns were being “held” until the comapny had more to warrant a delivery to Network.Meaning my stock and others missed the cut off.They are meant to get a reciept signed at network to prove they have dropped them off. Luckily we worked out our problem and that company no longer has our business.

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  2. Chris

    Gee, it sure adds to the overall cost and frustration of handling the magazines. All for the paltry margin of 25%.
    But as you say MArk, if you donot follow the above procedure you may come off second best in any dispute with them.

    Chris
    reservoir

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  3. gus

    we have received messages in the past about lack of documentation in box 1, only to receive an apology some time later “for the inconvenience this may have caused” as the problem was identified at their end. Network has a bloody minded approach to dealing with these matters. Not very professional at all

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  4. Y&G

    The ‘some time later’ bit worries me, too.
    For example, this morning’s returns was a recall of a title we always early return. I couldn’t find any record of it not having been credited, however on the return form, there was no indication of having already returned it, as there usually might be in the form of the little red asterisk.
    What a bloody headache to have to troll through months and months of paperwork/PDFs. And for bloody what?

    Sorely tempted to chuck it in and just go the half marge.

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  5. gus

    I,along with many others would have had the opportunity to witness the method of reception of magazine returns at the loading docks at Followmont.

    A quality assurance investigator would surely shake his/her head in dismay

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  6. Y&G

    Well, if their delivery style is anything to gauge it by, I reckon the QA investigator would be running around like a freshly killed chook.

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  7. Y&G

    Shake. Shake. Shake. Oops. I can’t seeeeee!

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  8. PeterS

    @Y&G, What did you mean “Sorely tempted to chuck it in and just go the half marge” ? I am thinking there is option that Im not aware off.

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  9. Y&G

    Going subby for mags, PeterS.

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  10. Shaun s

    did anyone else receive magazines from faifax today ?? austrailian water ski

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  11. David

    Brilliant information here Mark. Several tips I have not thought of. Now wait for the belting from network for providing this advice.

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  12. D R

    How come coles do not send their returns back at all

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  13. kellie

    yes shaun we did are we going to be getting alot of these different tittle tocome through from them

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  14. shaun s

    who knows aparently anyone can send any amount of mags even if we want them or not . no good will come out ndd closing its doors all it is just another way of shafting us . what other business do you know of that can just send what ever they like to you without any prior arrangements . As far as i am concerned anything that is not in the form of a paper will not be accepted from the delivery guy

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  15. Luke

    A few months ago we started getting bills from a publisher even though we had never heard of them or received any stock, we contacted them a number of times and were told on all occasions by an angry little man YES we had received stock and that I had to pay the bill or debt collectors would be called. After about 3 months of running around they admitted they had bought the customer list of another publisher that had closed years before and just started shipping stock via a newspaper distributor, we explained that we were a subbie for papers so this could not happen as I have no direct delivery for papers.
    We called in our solicitors and they backed off quick but how many newsagents just shrug and put these titles on the shelf.
    Sometimes it pays to be the one that opens the mags in the morning.

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  16. shaun s

    yesterday got another lovely email from our mates at network , no paper work in boxes and also saying they didn’t get the boxes which make no sence at all firstly how on earth can there be no paper work when there are no boxes

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  17. rick

    you dare to question the almighty distributor, no supper for you. anyone else getting new NDC EDI files arriving as backorders?

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  18. db

    shaun if there is no paper work and no boxes how did they know they were yours???

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  19. PETER

    shaun, it makes perfect sense….

    there was no paperwork, and no boxes

    in fact there probably was no email either.

    but there might be a fine $ for something anyways…

    does that make sense?

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  20. shaun s

    DB EXACTLY my piont ,the email makes no sence at all

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  21. GAYE

    I short paid our NDC account recently by $1100.00 for returns that we had returned but they chose not to apply to that account but hold them over. Now I have to pay for them even though I dont have them and then carry NDC for the credit another month. I have just had a telephone call from a NDC smartarse telling me pay right now or be cut off. My account is close to $9k and they are stopping me for a short payment of $1100….pricks….
    I hate NDC so much and hate being at the bottom of the food chain….as long as the CEO is getting his big bonuses and the shareholders are doing fine at our expense then I will just get back in my box and shut my mouth and pay the money so I can get more mags tomorrow to be screwed over once again….and so the cycle continues.

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  22. shauns

    wait untill your next bill ,got to love the 5 week months . it is going to be one bad month coming up . i just did a few calculations on what i think i might get billed and holey dooley i just want to go home and forget about it . Once again mag supplies out does the actual sales by a couple of grand

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  23. Mark

    Gaye, If you are in NSW, consider approaching the CTTT to have the matter mediated professionally. If you are not in NSW, look for a local small business claims forum through which the matter can be independently heard and adjudicated.

    State governments have these forums. Newsagents should use them.

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  24. ERIC

    off topics,
    i deposit $23100 with the NAB deposit bag and you know what they only credit me $231 only without the 2 zeros, and they said they will investigate and takes 1 week , how do i pay my suppliers. urgh!!!!

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  25. Wally

    Has anyne else noted on delivery notes recently that the stock codes are changing and alongside the title “newsagent”. It appears to be on titles that are bagged and require full returns. Does this mean that we are different and therfore returns etc are been treated differently to others that might receive the same mag. What do the service stations and convenience stores do with their returns? I can see them bothered with full copies or even returning them let alone Woolies and Coles.

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  26. Mark

    Wally, some channels which compete with are not required to send back returns.

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  27. DR

    Coles do not send their returns back

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