As many as 87% of online shoppers identify shipping speed as a major factor in deciding whether to shop with an e-Commerce retailer, according to data from Dotcom Distribution.
When making purchases from an unfamiliar brand, shoppers cited fast delivery as the top motivator (44%) for increasing brand trust, ranking almost twice as high as improved overall quality of the products themselves (24%). These findings reaffirm that delivery timing remains a significant necessity for brands as they seek to drive loyalty.
The Dotcom Distribution study, titled: How Fast Delivery and Quality Packaging Drives Customer Loyalty, also found that consumers still often distinguish between a need and a want:
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Two thirds (67%) of shoppers would pay more money for same-day delivery if they needed the package by a deadline, such as a holiday or anniversary;
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This number jumps to 84% for those who shop at luxury brands;
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Less than half, 47%, of shoppers would pay more for same-day delivery simply because they wanted their package more quickly, but that figure rises to 68% for luxury shoppers.
While speed matters, consumers still care about transparency and aesthetics, too. In fact, 47% of shoppers have chosen not to order from a retailer again because of poor order transparency, or a lack of insight into the status of a package, throughout the fulfillment and delivery process.
Packaging also influences perception; 40% of online shoppers said they would either be “somewhat more” likely or “much more” likely to purchase from a retailer that offers premium packaging. In 2016, 68% of shoppers reported that branded packaging makes the brand seem more upscale, compared to 60% in 2015.
For online brands seeking to drive loyalty in an age of limited customer touch points, investing in the infrastructure and personnel necessary to enhance the delivery process is a critical step toward optimizing delivery speed, transparency and aesthetics. The report suggests that new or emerging brands, which may not have the resources to make these investments, should instead look to third-party logistics partners to help execute these processes in ways that will impress consumers.
