As retailers battle for customer loyalty and acquisition they must take control of the delivery experience, a recently published whitepaper has stressed.
The report Controlling agility – Bringing the benefits of flexibility to modern delivery, produced in association with Scurri, highlights that home delivery remains a key reason UK consumers continue to shop online, and therefore is a critical part of brand reputation.
Consumer expectations and demands are at an all-time high, and retailers are putting an increased focus on their post-purchase experience which, of course, includes that last mile. This may be even more important this year as retailers battle for a share of the wallet.
“The rise in interest rates, inflation and cost of living expenses – consumers are just being really cautious about where they are spending money and what they’re spending it on. They are asking: ‘should I spend this? Is it worth it? What value am I going to get from it? Is it going to bring me some joy, or am I going to be kicking myself?’”, explains Rose Power, head of operations, Scurri.
These increasingly cautious consumers have already become accustomed to free and fast delivery, 87% see next-day delivery as important or very important.
While, a growing number of consumers are also looking for green deliveries, with 62% stating that carbon neutral deliveries, including the use of electric vans, is important or very important.
Adopting sustainable modes of delivery could be one way to keep customers spending, retailers must find their ‘differentiators’ from the competition. This may be going green, or simply keeping their delivery promises.
The reliability of retailers, and their delivery partners, is more important than any other factor when driving customer loyalty and therefore spend. The majority of UK consumers (59%) see retailer reliability as very important. This far outnumbers speed of delivery at 42%, so a smooth delivery process rather than a fast one could be key in retaining even the most loyal customer. It could also be critical in acquiring new customers during this cost-of-living crisis.
“They really need to take full responsibility for that end-to-end customer experience to boost consumer loyalty, to be able to grow revenue from existing customers, but also to try to get referrals from existing customers,” states Power.
“You want that word of mouth, you want them talking about that. That’s how they acquire new customers, as well as their own marketing.”
So how do retailers get shoppers shouting about their delivery successes, as well as their products? They must firstly take control of the end-to-end experience. It is only through the ownership of the whole ecommerce journey that retailers have the chance to make sure their customers do not go looking elsewhere.
Furthermore, with macroeconomic events out with their control, retailers are also having to become increasingly agile in their operations – and this includes flexibility when it comes to the carriers they use.
Download the whitepaper in full to discover:
- Why a multi carrier model could be the answer for many retailers
- Why 48% of British consumers shopping online are looking outside their domestic market
- How Asos, Boohoo and M&S are trialling subscription services and loyalty programmes
- How delivery management platforms have enabled businesses such as Bigjigs Toys and Natural Baby Shower to take back control of their last mile experience