DISCUSSION
Are Consumers Willing to Wait Longer to Have Their Online Orders Delivered?
Written by George Anderson
How fast do consumers want their online orders delivered? Perhaps not as quickly as retailers think, according to a Wall Street Journal article posted yesterday.
Jungle Scout’s Consumer Trends Report from July 2021 found 41 percent of consumers expect their online orders to be delivered within two to three days. Twenty-seven percent want their orders more quickly with same- or next-day delivery. That leaves 24 percent who can wait four to seven days for orders and four percent willing to wait for more than a week. The remaining five percent never shop online.
The Journal article points to several more recent developments as indicators that Americans’ need for speedy deliveries may be waning.
These include the growing popularity of apps such as Temu, where consumers are willing to accept slower deliveries in exchange for meager prices on clothing and other goods. Orders placed can take weeks to arrive.
The article also points to the unquantified growing popularity of Amazon.com’s Amazon Day option. Prime members choose to have all their orders delivered on a single day rather than getting numerous packages scattered throughout the week. Customers who choose the Amazon Day option may get a credit of up to $1.50 for going that route.
Studies cited in the Journal point to delivery speed declining as a factor in where consumers place online orders. Consumers typically wait when given a choice between paying for fast shipping or paying nothing and waiting a while longer.
Cost reduction is a primary concern for retailers delivering goods to consumers’ homes. A Bringg survey of 500 U.S.-based retail managers responsible for supply chain or digital functions found that 89 percent struggled with their last-mile delivery operations.
The respondents cited paint points in their operations including:
- Working with carriers (42 percent);
- Reliance on manual processes (41 percent);
- Driver retention (41 percent);
- Fuel costs (32 percent);
- WISMO (“Where is my order?”) calls (28 percent);
- Cost of returns (28 percent).
Discussion Thread0
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