Delivery Digest: July 2016

Delivery Options Essential to Winning eCommerce Battle

In this month’s digest, find out if you’re a victim of delivery disaster. Delivery disasters are rampant with 1/2 of all customers experiencing an issue each year. Additionally, unacceptable delivery options are 1 of the top 2 causes of abandoned carts. We scoured the internet to find 5 real examples of customers being let down by delivery.

Looking to the future, we’re also going to dive into how retailers are fine-tuning their shipping strategies. July’s monthly newsletter includes articles from Multichannel Merchant, Internet Retailer, and our own research. Learn why eCommerce shippers are diversifying their carrier services and what’s driving home goods purchases online.

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Shipping Options and Delivery Partners Essential to Winning the eCommerce Battle, Accenture Study Shows

Accenture recently published a study that does a great job of articulating how critical delivery and the ability to multiple delivery options has become to the consumer. It’s clear the stakes are high. In order to satisfy expectations of shoppers (including expectations around delivery times and free shipping) while still maintaining profitable margins, retailers must work with many different carriers across multiple modes of delivery. No single carrier can satisfy all of these modes cost effectively in every area of the country.

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our Steps to Transforming Customer Delivery

In the previous posts of this series we discussed some ways to transform the customer delivery experience: reduce customer effort, make it personal, and be proactive.  All three of these steps can be accomplished by taking data that is readily available to retailers and acting on it to enhance the post-purchase experience. The last step is the toughest one to address.  In order to fully transform customer delivery, retailers must be able to optimize the delivery experience for each customer and adapt to changes in real time.  This means connecting external carrier networks with disparate technologies and offerings to customer expectations.

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What's Driving Home Goods Purchases Online?

Online sales of housewares and home furnishings grew to $18.67 billion in 2015, and now account for 18% of the overall market. That’s up by 220 basis points from a 15.8% market share a year earlier as e-commerce ate into store sales, according to Internet Retailer’s new report on the home goods market, titled “At Home on the Web.” Consumers are increasingly buying lamps, artwork, mattresses and furniture and more online as they decorate, redecorate, furnish and refurnish their dwellings. And housewares and home furnishings retailers in Internet Retailer’s Top 1000 are reaping the rewards.

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Making Adjustments: How Retailers are Fine-Tuning Their Shipping Strategies

In Internet Retailer’s July recap of IRCE, Kat Fay reveals how some retailers are fine-tuning their shipping strategies. Consumers receive online deliveries nearly twice as fast as they did in 2014, according to Kenneth Kassar, vice president and principal analyst at e-commerce analytics provider Slice Intelligence. The average fulfillment speed currently stands at 3.4 days, down from 6.3 days in 2014, according to Slice data. Those improvements reflect steps that retailers have taken over the last few years to get orders to shoppers’ doors more quickly. Some have opened new fulfillment centers, others have put new software and processes in place, while some have tried more novel approaches.

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