Customer demands are reshaping delivery, but are they willing to pay for faster shipping?
Delivery is no longer just a matter of shipping. Through the ever-evolving world of online shopping paired with consumers’ increasing expectations, delivery has become integral to the entire brand experience.
Delivery is the Linchpin of Brand Loyalty
In a recent study, 85% of consumers said they’re unlikely to shop with a brand again after a poor experience, and 74% also noted delivery is crucial to an overall positive experience. A similar survey echoed those thoughts with a near-universal sentiment with 98% of consumers stating shipping impacts brand loyalty. Even further, one third of consumers said they now feel frustrated when a company doesn’t offer same-day delivery. With the impact of poor delivery experiences being so detrimental to the success of a brand, it’s no wonder retailers are searching for the best way to offer increased, fast shipping.
While achieving industry leading customer retention is challenging, customer acquisition is becoming more difficult and more expensive than ever. Acquiring a new customer is 5–25x more expensive than retaining an existing one. This alone inspires retailers to innovate within delivery or face being left by the wayside in the new retail landscape.
Are Consumers Willing to Pay?
So it’s clear that shoppers want the fastest delivery possible, but the question becomes: are they willing to pay for it? In a survey commissioned by Onfleet in 2019, 54% of consumers said they would be willing to pay local retailers for same-day delivery.
In a similar report, 30% of shoppers noted an online retailers’ ability to deliver on the same-day being a large factor in the consideration phase and often driving them to purchase if the option is available.
The Future of Same-Day Delivery
Even as economies reopen, it’s challenging to predict how new consumer behaviors, that were formed during the COVID-19 pandemic, will affect shopping in the future. A recent study we commissioned concluded while the majority of shoppers are still cautious about store safety, 46% shared their excitement to begin shopping in stores again. On the other side, we saw a lot of enthusiasm around contactless fulfillment opportunities such as curbside pickup and same-day delivery. Furthermore, 63% of shoppers stated they would use same-day delivery over curbside pickup if the timing was fast and the cost made sense.
Our Solution
As a trusted and recognized brand for expedited delivery for over 10 years, we empower brands to offer same-day delivery to their customers by aggregating local packages and efficiently connecting brands with a network of last mile providers.
For more information on our Same-Day Delivery solution, visit our website at www.shoprunnerbusiness.com or contact our experts at same-day@shoprunner.com.
