Move over next-day delivery, consumers want their goods today!
Businesses are working hard to provide exceptional delivery times by using the best courier services, but are they keeping up with consumers’ lofty expectations? Nowadays, most consumers expect the next-day delivery option with their online purchase for only a slightly higher price than they would pay for standard delivery. However, 15% of retailers now offer same-day delivery, according to statistics provided by Accenture, with many more brands expected to follow suit.
Big players in the American retail market, such as Macy’s and Wal-Mart, have already launched their own same-day delivery option, while Amazon trialled its one-hour delivery offering for Prime customers at the end of last year.
Same-day delivery isn’t exclusive to the US. Here at Parcel2go.com, you’ll find options for same-day delivery for customers across the UK. This could provide a lifeline for sellers who need to send goods around the country urgently.
Who’s turning up the heat?
Are consumers really demanding faster delivery services or could it simply be a way for bigger brands to distinguish themselves against the rest?
Although some retailers, such as ASOS, are offering standard delivery free of charge, it seems that consumers don’t mind paying for convenience. When consumers were asked which delivery options they would be willing to purchase (even when standard delivery was free) the number one answer was still same-day delivery, a study by PricewaterhouseCooper revealed. However, UK shoppers still listed the free delivery option as being a crucial part of the decision-making process, according to Ystats’s 2014 report.
While there is pressure from consumers, it seems that many retailers are using parcel delivery as a key bargaining chip in order to get ahead of the game. It all comes down to flexibility. If customers feel restricted by your delivery times and rates, they’ll go somewhere else where they can have a greater amount of choice.
Connected by mobile
Smartphone technology may be fuelling same-day deliveries.
On-demand smartphone taxi service Uber is the latest company to experiment with same-day deliveries by creating two services, UberRush, which delivers food in Barcelona and the US, and UberEats, which allows customers to track parcels in real time. Uber has also recently been liaising with premium brands such as Tiffany’s and Louis Vuitton to ensure same-day delivery for luxury goods, reassuring customers that their expensive purchases will be delivered to them as quickly as possible.
Uber’s real-time tracking options could be a huge selling point for the business. Could tracking numbers become obsolete now that customers have the opportunity to actually see where their parcel is heading to?
In Brazil, an app called Loggi – featured in the Wall Street Journal – pings nearby delivery drivers whenever there is an order available to pick up. The technology allows the app to assess the driver’s space to ensure that they have enough room to complete the delivery before it alerts them of the job. This service allows the delivery to be more efficient for both the customer and the driver, as it eliminates waiting times at the parcel depot. Loggi also only takes 22% of shipping fees from the courier, compared to 55% taken by traditional dispatchers.
It will be intriguing to see where we stand on same-day deliveries this time next year. Will we be even more expectant of online retailers? It’s safe to assume we will be.