Shorter delivery fulfillment by big retailers like Walmart and Amazon is making shoppers expect this kind of fast delivery from all businesses they do business with. Concepts like 2-hour delivery were unimaginable a few years ago, but are becoming more mainstream, with more customers expecting this shipping choice at check out. Small businesses stand to gain a competitive edge by improving delivery times. This is probably the best way to build customer confidence and loyalty.
Multiple delivery options
Different customers have different waiting tolerances. A majority of customers are comfortable with deliveries done within 7 days. However, it is important to offer customers multiple choices at check out so as to enable them to make waiting and cost decisions. A customer buying a gift for an upcoming wedding will be willing to pay $5 extra for shipping, while another will buy the item because the cost is $3 cheaper with standard 7-day shipping.
Delivery options to offer would include:
• Same day delivery
• Hyperlocal delivery
• Overnight delivery
• Standard (1 week) delivery
• Time-specific delivery
Same day delivery
Customer survey data shows that over 80% of shoppers would prefer same day shipping. However, 45% say that they would not shop if the price went up because of this type of delivery. A small business has to find a way of managing these expectations without losing money or competitiveness. Passing on the costs to the customer would raise the price, and make the product unattractive. Bearing the cost would eat into profits.
A good way of getting around this is setting conditions for same day delivery. This could be purchases within a specific geographic area, or purchases made at a specific time that allows for this to happen. For customers who expect free shopping, a business can set a minimum number of units for free shopping.
This is very fast delivery, typically done within 2-hours. If customers demand this kind of delivery time (like for automotive spares or flower delivery), it is best to use local delivery services who can do direct delivery from the warehouse to the customer’s doorstep without any other business processes in-between. 2-hour delivery could be offered only to customers within a certain radius of the warehouse.
A shopper will expect regular updates when waiting for a package. Tracking codes that can be checked out on a website or smartphone app are useful tools in assuring the customer that the package is on move. SMS and email updates can also be set up to go out at regular intervals.
Do you wish to improve your customers’ delivery expectations better? Talk to us at Wynglt Delivery for effective solutions.