Delivering what consumers really want from a retailer is a tough task. Check out Metapack's 2015 State of e-Commerce Delivery report to see how delivery options can influence consumer decision to stay loyal or stop shopping.
|Scooped by Jamee Lyn Devlin|
Today’s globalized, digitized consumer is fairly impatient when it comes to receiving online orders, and retaining brand loyalty with so many other options available can take a feat of near mythical proportions. Luckily, some focus areas exist that keep customers coming back. One of those is delivery option.
According to Metapack’s 2015 State of e-Commerce Delivery report, speed as well as selection are key deciding factors when it comes to a customer’s decision to return to – or dump – a retailer. Here are five reasons a customer might decide to look elsewhere:
1) I want more choices – and fast. The race is officially on for delivery speed. With Amazon attempting to establish their own logistics firm and place automated lockers across Europe, and even Uber jumping in on delivery services, rapid delivery and the option to choose when and where a customer has orders delivered has become a vital differentiator when it comes to their oyalty. As 66% choose the retailer that provides more delivery services, and 44% would pay extra for more convenient options, it’s safe to say that those retailers offering a variety of delivery opportunities come out on top for consumers.
2) There's no guaranteed delivery date. Today’s consumers are mobile and generally, they aren’t home, making home delivery options a difficulty for consumers and couriers alike. 30% of consumers feel they should be able to choose a date – or at least a convenient place – of delivery. No one has time to sit at home for days waiting on a package anymore.
3) It costs too much. I can go somewhere else and get it free or pick it up at the store. Customers will go out of their way for free delivery. A study by UPS stated that 92% of online shoppers will take action to qualify for free shipping. According to LoyaltyOne’s research, 69% of US consumers say that avoiding a shipping fee is enough to get them into a retailer’s brick and mortar store for pickup. 2015 was the year of the Click and Collect boom, and it is only expected to gain momentum in the coming years, but retailers need to make the offering worthwhile for consumers. StellaService’s study found many US in-store pickup plans lacking, with customers who bought online and picked up at the retailer’s store spending 58% of their time in the checkout process, while those who simply bought in-store spent only 15%. Retailers across the UK and France have instituted drive-thru pickup locations and self-automated parcel lockers to streamline and speed up the Click and Collect process. Analysts agree that the US will also see a rise in these solutions in the near future.
4) No one is talking to me. Communication is crucial! Instituting a simple and effective notifications system via email and/or mobile for in-store pickup and deliveries makes customers feel secure about a retailer's delivery system. According to Metapack, 81% of consumers say they track their orders 2 or more times before it arrives, so keeping in touch about where their order is in the process and exactly when it can be collected is essential.
5) I can’t cheaply and easily return what I buy. Consumers not only expect fast and convenient delivery, they place almost as much stock in a retailer’s returns policy and how convenient it is for them. 76% of consumers will check a retailer's returns policy before completing an order, and 51% have abandoned carts because they didn’t like the returns policy, but 81% would shop with a retailer that made the returns process easy.
At first glance it may seem a little intimidating, but in reality it's a progressive opportunity for enticing customers to a brand. While poor delivery or click and collect service is likely to lose customers and earn more than a few negative online reviews, a good delivery experience is one of the highest brand loyalty indicators. Although up to 45% of customers said they might never shop with a retailer again if they have had a poor delivery experience, 96% of customers would shop more with retailers that offered a positive one.
The crux is that retailers can keep customers coming back by establishing a delivery program that offers convenience, cost options, and communication. Enriched delivery services can turn one-time shoppers into devoted brand buyers.
Click here for Metapack’s full 2015 State of e-Commerce Delivery report.
To find out more about how we can help launch your simple, effective click and collect, customer notification and efficient returns solution, go to swipbox.com.