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Customer Service And Brand Reputation

Decent Essays

M.N’s consultancy has been commissioned by Fit Fast Bikes to prepare a management report on various issues being faced. Through an extensive analysis of the establishment, Fit Fast Bikes has broken various consumer laws and it is suggested that they must implement numerous strategies to improve customer service and brand reputation in order to increase profitability and market share. It is recommended that a marketing plan process as well as a marketing strategy be utilised to rectify the current issues being faced.

Finding & Discussions
Consumer Laws
After an analysis of the situation it has been found that there are incidences of consumer laws being broken. A Consumer law aims to protect the rights of consumers when purchasing goods or services. The laws broken are identified as deceptive and misleading advertising along with inappropriate warranty claims. Under section 18 of the Australian Consumer Law Act deceptive and misleading advertising are identified as advertising that uses exaggerated statements of the product and unethically mislead consumers. This is exemplified through advertising that states that “a customer who uses the bike for 10 minutes per day is guaranteed to lose 20kg in one month”. This is clearly unreasonable to guarantee as every customer would achieve different outcomes.
Furthermore, under the Competition and Consumer Act Fit Fast Bikes are not stating clearly and simply the conditions of their warranty. Warranty laws have been broken as the

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