Faster Delivery, now a key factor in Customer Satisfaction
The rise of eCommerce has put extra emphasis on convenience and shipping. While many brands start out in ecommerce by taking a simplistic approach to shipping, like offering free shipping across the board or showing unmodified UPS/USPS rates, the most successful merchants use strategic shipping options to differentiate themselves from their competition. The old saying “Time is Money” holds even more true in today’s on-demand economy. The delivery sector is one such business segment which needs to be re-structured in order to save time and money for businesses and make sure that they serve their customers efficiently.
In a 2018 study by Emarketer, it was observed that more than 50% of online shoppers surveyed stated high shipping fees and home delivery that takes longer than two days, will likely prevent them from completing a purchase online. For many customers, same day delivery is a great solution to their lack of time to go to brick-and-mortar shops to pick up the goods that they need. In fact, as much as 61% of shoppers are willing to pay extra for the convenience that same day delivery brings, which only shows that customers don’t like to be kept waiting.
As a rule of thumb, offering a combination of fast and affordable shipping methods can help reduce shopping cart abandonment and increase conversions.
Here are 6 shipping methods to consider for your Ecommerce shipping strategy.
2-day shipping: Thanks to Amazon Prime, 2-day shipping has become synonymous with online shopping. It may only seem accessible to ecommerce giants, but there are ways for all businesses to offer 2-day shipping to their customers without breaking the bank.
Same-day delivery: Same-day delivery guarantees your order will be delivered on the same day it’s purchased. 61% of consumers are willing to pay more for this shipping speed. Successfully executing on same-day delivery requires coordinated operations, resources, courier services, and technology.
Overnight shipping: When two-day shipping is the norm, how can Ecommerce brands stand out? Enter overnight shipping: a shipping method that guarantees customers will receive their order the next business day. Different carriers offer different overnight shipping services at different price points.
Expedited shipping: Expedited shipping refers to any shipping method faster than standard ground. The exact turnaround for expedited orders can vary depending on the carrier and shipping services. Offering expedited shipping can help your online store reduce shopping cart abandonment, meet customer expectations, and build customer loyalty.
International shipping: Whether you’re based in the US and looking to expand globally or located overseas and want to begin shipping within the US, international shipping can be challenging and expensive for any business. Different countries have different regulations, tariffs and taxes, and requirements for incoming shipments. So, it’s important to find experienced fulfilment partners who can not only help you navigate international shipping but also provide affordable shipping rates.
Freight shipping: At its most basic, freight shipping is the transportation of cargo across the globe via air, land, or sea. Any shipment that is larger than 30 in x 30 in x 30 in or weighs over 150 pounds is considered freight. Ecommerce businesses use freight shipping to receive inventory from their manufacturer and send product to fulfilment centers or distributors.
Not surprisingly, faster delivery has now become a priority for consumers citing delivery options as a key factor when choosing online providers. Consumers are willing to pay more for faster, more efficient delivery services. With an increase in online retail, business owners will need to adapt and re-evaluate the best practices to ensure customer satisfaction. Furthermore, organizations such as Amazon are testing prototypes such as “Drone Delivery System” to deliver purchased goods within 30 minutes of purchase thereby further raising the bar for faster shipping.
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Reach out to us on “getHybris@sbpcorp.com” for a demo on our portfolio of products “Omnibus Commerce for SAP Commerce”.
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