Convey’s second annual survey about the impact that last-mile deliveries have on eCommerce is out with the title: Commitment, Communication and Control: the Modern Customer Delivery Imperative. As much as last year’s The Cost of Poor Delivery, it provides some fundamental insights on what Shoppers really want from the online shopping experience vs. what they actually get or, worse, what Retailers think they want.
Here’s a crackdown of the most interesting findings. 1500 Shoppers across the U.S. were interviewed.
Despite the well-known costs of poor delivery, most retailers still fail to impress when it comes down to the final mile. In fact, the majority of shoppers (58.6%) report that retailers are mediocre at best in this regard. 40% of consumers report that delivery is the single most decisive factor of the shopping experience, demand to work with retailers over the carrier, and 94% will not return after one delivery failure. This requires retailers who rely on common carriers to add capabilities that allow them to actively manage deliveries. In order for retailers to garner long-lasting loyalty, shoppers must feel empowered with the knowledge and confidence that their retailers will be on their side if a delivery goes awry.
When asked to choose the most important delivery factor during the holiday season, 29% reported a desire for a specific promise date and another 23% reported a delivery date range.
95% of shoppers reported that they expect retailers to proactively respond if the carrier’s estimated delivery date changes while a shipment is in transit and over 90% expect some form of action or compensation for missed promise-by dates.
93% reported that they want to stay informed and receive proactive updates from retailers about their shipments. It appears detailed tracking and exception notifications should now be added to the list of delivery “table stakes” right up there with free and fast shipping options.
Shoppers aged 18-34 are 35% more likely to prefer self-service options such as pick-up lockers and holding a shipment at a terminal.
As reported by SupplyChainDive: The National Retail Federation is projecting losses exceeding $333 million due to shipping mishaps during the 2017 holiday season. A further $1.5 billion in future revenue could be lost as a result of consumer abandonment of sellers due to delivery issues. So these numbers matter, a lot. They tell us (Carries, Retailers, 3PLs) that rivers have to start flowing backwards: from Customer to Shop, through Delivery, so as to grant maximum freedom and control to the end-user. This is the only way forward.
Don’t miss the full report: here.