Hand holding a phone that says "delivery tracking"
Photo: Canva

A whopping 83% of U.K. consumers believe the online post-purchase experience could be significantly improved, but only 18% of U.K.-based retail leaders agree, according to a new study.

“It’s becoming increasingly evident that the post-purchase experience shouldn’t be a secondary concern,” said Carmen Carey, CEO of Sorted, the U.K.-based delivery software platform that sponsored the study.

The shortcomings are focused on deliveries and returns.

Delivery management platform FarEye’s Last Mile Mandate consumer survey from last fall found U.S. consumers define a positive delivery experience as having fast delivery (36%), low shipping cost (34%), and delivery tracking/visibility (28%).

German supply chain technology provider Körber’s “2023 State of Shipping and Returns Survey” found 70% of global consumers experienced shipping delays, but 35% weren’t provided a reason for the delay. Among the respondents, 38% were not offered any compensation, refund, or discounts on their recent delayed order, yet 83% indicated that compensation is important to them.

A survey of Americans last year from omnichannel communications provider Mitto found 91% indicating good customer experience makes waiting for a product bearable. Most respondents (60%) said that they want a brand to reach out to them personally if their shipment has been delayed for even just one or two days.

On returns, a survey of U.S. online shoppers from logistics platform Veho taken in February 2023 found 74% indicating a strict return policy negatively impacts their desire to shop with a retailer. Nearly half (49%) would be more likely to shop with a brand that allows customers to make doorstep returns with no packaging or printed label required.

A survey of U.S. and U.K. consumers from Loop, the return management platform, taken in May 2023 found that 47% of respondents preferred dropping off packages at a shipping partner, 37% wanted to avoid the repackaging hassle and return in-store, and 36% wanted the convenience of at-home pickup.

Follow-up communications were also found to be an opportunity in Loop’s survey. A majority (75%) expected retailers to suggest new products based on past purchases and interactions, and 82% were highly incentivized to buy again when offered post-purchase coupons, discounts, or enrollment into a loyalty program.

BrainTrust

“Retailers must work to manage the entire lifecycle of a product from purchase, to usage, to disposal to keep their most valuable customers.”

DeAnn Campbell

Head of Retail Insights, AAG Consulting Group


“What concerns me is that customers, by a wide margin, think the post-purchase experience could be better, while retail leaders seem deaf to that feeling.”

Gene Detroyer

Professor, International Business, Guizhou University of Finance & Economics and University of Sanya, China.


“I think the most important element is to properly and intelligently define what consumers consider the post-purchase experience and deliver that.”

John Lietsch

Chief Operating Officer, Bloo Kanoo

Discussion Questions

DISCUSSION QUESTIONS: What annoys consumers the most about the online post-purchase experience? Is the opportunity for retailers about improving the delivery and returns process or becoming better at follow-up communication?

Poll

Do you agree that retailers are underestimating the value of the post-purchase experience?

View Results

Loading ... Loading …

Leave a Reply

13 responses to “Are Retailers Still Shortchanging the Post-Purchase Experience?”

  1. Neil Saunders Avatar
    Neil Saunders

    In this instance, the post purchase experience seems to be referring to the delivery and return of orders. In the minds of most customers, this isn’t separate from the actual transaction: it is an integral part of the shopping journey and the experience. Indeed, it is probably one of the most critical parts of the journey as getting products to people in a timely and efficient manner, keeping promises such as specified delivery dates, and processing returns quickly, plays a vital part in building loyalty. A brand that fails to deliver, literally and metaphorically, will lose custom. Incidentally, it’s no coincidence that the biggest online player – Amazon – puts a tremendous amount of thought and effort into the delivery and returns experience.

  2. Gene Detroyer Avatar
    Gene Detroyer

    “Your package is three stops away.”

    “Don’t repackage it. Just bring it to UPS with the QR return code.”

    It doesn’t get better than that.

    Has Amazon raised the expectations and the standards for post-purchase customer service? It appears so. What concerns me is that customers, by a wide margin, think the post-purchase experience could be better, while retail leaders seem deaf to that feeling.

    I wonder if, for omnichannel retailers that the leadership thinks they are doing enough for the online portion of their business. “If the customers want real customer service, they will come to the store.”?

  3. David Naumann Avatar
    David Naumann

    Lack of communications during the delivery period is probably one of the biggest things that annoys consumers the most about the online post-purchase experience. Especially for important orders where timing is important, getting regular updates on the status of your delivery, including the location of the product and estimated delivery time is valued by customers. In addition, many retailers can improve the customer communications after the product is delivered, including product times, recommendations on similar or complementary products and coupons or discounts on their next order. These communications will improve customer satisfaction and help drive incremental purchases.

  4. Susan O'Neal Avatar
    Susan O’Neal

    All consumers are thinking about the possibility of a return as part of their decision to buy, but this is especially true for online consumers. It is part of the purchase decision. Initially Amazon took that worry of the table by making it super easy to return anything. As they’ve tightened up their return policies, however, I’ve noticed that Amazon will note if an item is frequently returned. In my case this did change my purchase decision and I chose a different product.

  5. DeAnn Campbell Avatar
    DeAnn Campbell

    Repeat customers spend more money with a retailer than new, and for a much lower cost of marketing to get them in the door. It isn’t enough to offer customers a good shopping experience, you also need to provide a good usage experience for their purchases after they get home. Even gaming companies are making a push to cull cheaters from game play to avoid losing users — and in game spending – hurts their bottom line. With the rapid rise of new marketplaces, partnerships and social shopping channels, competition is at an all time high. This means retailers must work to manage the entire lifecycle of a product from purchase, to usage, to disposal to keep their most valuable customers.

  6. Ken Morris Avatar
    Ken Morris

    What we have here is a failure to communicate. (Captain in the 1967 classic, Cool Hand Luke). Retailers need to remember that their customers’ experiences are a complex series of interactions. It’s not just getting them to find and buy in one-off transactions. It’s about lifetime value of business with each customer.

    Take returns, for instance. The returns experience is one of the most important aspect of retail. We need to get better at reverse logistics and customer care post purchase. The best way to improve the returns experience is to reduce the occurrence and another is a to offer drop-and-go returns as an option. Both these processes are enabled with readily available technology.

  7. John Lietsch Avatar
    John Lietsch

    Don’t call me, I’ll call you but only if you make me so please don’t make me. That’s Amazon and Chewy’s to our family. We get what we want when it’s promised and if we don’t, it doesn’t require multiple hours of phone calls to resolve the issue. In Chewy’s case, we once got a phone call from Chewy’s saying that our package would be delivered late due to a weather delay affecting the shipping company they use. It wasn’t their fault but they called us AND compensated us. It starts there. For items that are more complicated to use like technology purchases, make sure you have a great path from purchase to first use, to continued, “satisfied” use. I think the most important element is to properly and intelligently define what consumers consider the post-purchase experience and deliver that. We often get really excited about what we think “they” want and miss badly.

  8. Shep Hyken Avatar
    Shep Hyken

    Customers love information. One reason Amazon is successful is its communication strategy. The moment a customer makes a purchase, they are informed the order went through. Eventually, the customer receives another notification that their product has shipped (with tracking info.) If there is a delay, the customer is informed. And when the shipment arrives, they are, once again, informed. Customers don’t mind emails or text messages when the information is relevant to their purchase. Creating confidence can turn into repeat business and even customer loyalty.

  9. Brad Halverson Avatar
    Brad Halverson

    If post-purchase experience here means primarily delivery communications and processing returns, then there are several online retailers who do very well here, reducing friction, steps, and putting the customers’ minds at ease. It’s completely frustrating to make an online purchase, only to have two plus days go by with no estimate of arrival, or visibility into steps being taken. Worse, if you have to return or exchange something.

    The vast majority of other retailers have obvious visibility of successful templates and processes in use, and which customers already love. Many customer platforms are more affordable than ever. Not embracing this is simply lack of focus, or lack of complete customer emphasis.

  10. Tony Walker Avatar
    Tony Walker

    Retailers continue to send surveys ‘post purchase’ after the online transaction is done, but before goods are delivered. This shows there is still some fundamental misunderstanding toward how consumers view purchasing – seldom is it as segmented or compartmentalised as we (the retailer) constructs it! A complete definition of ‘post purchase’ would see post purchase as part of the overall experience, including refunds & returns (still a pain point for many ecommerce offers). And on the surveys sent to better understand what the customer thinks… there must be some customer fatigue from volume alone!!!???

  11. Roland Gossage Avatar
    Roland Gossage

    It should be no surprise by now that customers want convenient and frictionless shopping experiences. The post-purchase experience is a part big of that equation. As the article mentions, this includes communicating expectations when shipments are delayed and easy options for product returns.

    What frustrates customers the most is not being able to get what they want, when they want. To compensate for shipping delays or low stock, retailers can show customers estimated shipping on the product page and highlight where local stock is, suggesting alternatives for delivery such as curbside or BOPIS. 

    While shipping is often in coordination with a third-party partner and is not directly within retailers’ control, transparency and communication can help ease this pain point for customers. It’s one thing to have a product delayed, it’s another to not expect it or be notified about it.

  12. Anil Patel Avatar
    Anil Patel

    When it comes to online retail, it is clear that the “returns” process is the most significant block or resistance in the post-purchase experience. Returns are unavoidable unless the customer is completely certain that they will keep the merchandise or if the purchased item is really cheap. Customers will not consider purchasing from a retailer if their return policy is rigid.

    In reality, the return policies of many retailers’ are substandard and need substantial innovation. One effective strategy to handle returns is investing in physical stores located in areas with a significant customer presence. This will enable customers to try out or exchange their purchased items in-store, regardless of whether the original purchase was made online.

    For an average customer, it is important to them that the returns process be quick and easy. For instance, while purchasing on Amazon, customers can pick up or return their items at any of Amazon’s physical stores, such as Whole Foods.

  13. Michael Sharp Avatar
    Michael Sharp

    The main takeaway from the success of eCommerce giants like Amazon is that making deliveries, returns and future purchases as easy as possible is vital to customer retention. Overcommunication during the shopping journey is critical to ensuring that customers have a positive shopping experience and many retailers have forgotten that this includes the post-purchase experience. Simple steps like providing communication until the product is delivered and post-purchase product recommendations build customer loyalty.

13 Comments
Oldest
Newest Most Voted
Inline Feedbacks
View all comments
Neil Saunders
Neil Saunders
Noble Member
1 month ago

In this instance, the post purchase experience seems to be referring to the delivery and return of orders. In the minds of most customers, this isn’t separate from the actual transaction: it is an integral part of the shopping journey and the experience. Indeed, it is probably one of the most critical parts of the journey as getting products to people in a timely and efficient manner, keeping promises such as specified delivery dates, and processing returns quickly, plays a vital part in building loyalty. A brand that fails to deliver, literally and metaphorically, will lose custom. Incidentally, it’s no coincidence that the biggest online player – Amazon – puts a tremendous amount of thought and effort into the delivery and returns experience.

Last edited 1 month ago by Neil Saunders
0
Gene Detroyer
Gene Detroyer
Trusted Member
1 month ago

“Your package is three stops away.”

“Don’t repackage it. Just bring it to UPS with the QR return code.”

It doesn’t get better than that.

Has Amazon raised the expectations and the standards for post-purchase customer service? It appears so. What concerns me is that customers, by a wide margin, think the post-purchase experience could be better, while retail leaders seem deaf to that feeling.

I wonder if, for omnichannel retailers that the leadership thinks they are doing enough for the online portion of their business. “If the customers want real customer service, they will come to the store.”?

0
David Naumann
David Naumann
Member
1 month ago

Lack of communications during the delivery period is probably one of the biggest things that annoys consumers the most about the online post-purchase experience. Especially for important orders where timing is important, getting regular updates on the status of your delivery, including the location of the product and estimated delivery time is valued by customers. In addition, many retailers can improve the customer communications after the product is delivered, including product times, recommendations on similar or complementary products and coupons or discounts on their next order. These communications will improve customer satisfaction and help drive incremental purchases.

0
Susan O'Neal
Susan O’Neal
Member
1 month ago

All consumers are thinking about the possibility of a return as part of their decision to buy, but this is especially true for online consumers. It is part of the purchase decision. Initially Amazon took that worry of the table by making it super easy to return anything. As they’ve tightened up their return policies, however, I’ve noticed that Amazon will note if an item is frequently returned. In my case this did change my purchase decision and I chose a different product.

0
DeAnn Campbell
DeAnn Campbell
Active Member
1 month ago

Repeat customers spend more money with a retailer than new, and for a much lower cost of marketing to get them in the door. It isn’t enough to offer customers a good shopping experience, you also need to provide a good usage experience for their purchases after they get home. Even gaming companies are making a push to cull cheaters from game play to avoid losing users — and in game spending – hurts their bottom line. With the rapid rise of new marketplaces, partnerships and social shopping channels, competition is at an all time high. This means retailers must work to manage the entire lifecycle of a product from purchase, to usage, to disposal to keep their most valuable customers.

0
Ken Morris
Ken Morris
Active Member
1 month ago

What we have here is a failure to communicate. (Captain in the 1967 classic, Cool Hand Luke). Retailers need to remember that their customers’ experiences are a complex series of interactions. It’s not just getting them to find and buy in one-off transactions. It’s about lifetime value of business with each customer.

Take returns, for instance. The returns experience is one of the most important aspect of retail. We need to get better at reverse logistics and customer care post purchase. The best way to improve the returns experience is to reduce the occurrence and another is a to offer drop-and-go returns as an option. Both these processes are enabled with readily available technology.

0
John Lietsch
John Lietsch
Member
1 month ago

Don’t call me, I’ll call you but only if you make me so please don’t make me. That’s Amazon and Chewy’s to our family. We get what we want when it’s promised and if we don’t, it doesn’t require multiple hours of phone calls to resolve the issue. In Chewy’s case, we once got a phone call from Chewy’s saying that our package would be delivered late due to a weather delay affecting the shipping company they use. It wasn’t their fault but they called us AND compensated us. It starts there. For items that are more complicated to use like technology purchases, make sure you have a great path from purchase to first use, to continued, “satisfied” use. I think the most important element is to properly and intelligently define what consumers consider the post-purchase experience and deliver that. We often get really excited about what we think “they” want and miss badly.

0
Shep Hyken
Shep Hyken
Active Member
1 month ago

Customers love information. One reason Amazon is successful is its communication strategy. The moment a customer makes a purchase, they are informed the order went through. Eventually, the customer receives another notification that their product has shipped (with tracking info.) If there is a delay, the customer is informed. And when the shipment arrives, they are, once again, informed. Customers don’t mind emails or text messages when the information is relevant to their purchase. Creating confidence can turn into repeat business and even customer loyalty.

0
Brad Halverson
Brad Halverson
Member
1 month ago

If post-purchase experience here means primarily delivery communications and processing returns, then there are several online retailers who do very well here, reducing friction, steps, and putting the customers’ minds at ease. It’s completely frustrating to make an online purchase, only to have two plus days go by with no estimate of arrival, or visibility into steps being taken. Worse, if you have to return or exchange something.

The vast majority of other retailers have obvious visibility of successful templates and processes in use, and which customers already love. Many customer platforms are more affordable than ever. Not embracing this is simply lack of focus, or lack of complete customer emphasis.

0
Tony Walker
Tony Walker
1 month ago

Retailers continue to send surveys ‘post purchase’ after the online transaction is done, but before goods are delivered. This shows there is still some fundamental misunderstanding toward how consumers view purchasing – seldom is it as segmented or compartmentalised as we (the retailer) constructs it! A complete definition of ‘post purchase’ would see post purchase as part of the overall experience, including refunds & returns (still a pain point for many ecommerce offers). And on the surveys sent to better understand what the customer thinks… there must be some customer fatigue from volume alone!!!???

0
Roland Gossage
Roland Gossage
Member
1 month ago

It should be no surprise by now that customers want convenient and frictionless shopping experiences. The post-purchase experience is a part big of that equation. As the article mentions, this includes communicating expectations when shipments are delayed and easy options for product returns.

What frustrates customers the most is not being able to get what they want, when they want. To compensate for shipping delays or low stock, retailers can show customers estimated shipping on the product page and highlight where local stock is, suggesting alternatives for delivery such as curbside or BOPIS. 

While shipping is often in coordination with a third-party partner and is not directly within retailers’ control, transparency and communication can help ease this pain point for customers. It’s one thing to have a product delayed, it’s another to not expect it or be notified about it.

0
Anil Patel
Anil Patel
1 month ago

When it comes to online retail, it is clear that the “returns” process is the most significant block or resistance in the post-purchase experience. Returns are unavoidable unless the customer is completely certain that they will keep the merchandise or if the purchased item is really cheap. Customers will not consider purchasing from a retailer if their return policy is rigid.

In reality, the return policies of many retailers’ are substandard and need substantial innovation. One effective strategy to handle returns is investing in physical stores located in areas with a significant customer presence. This will enable customers to try out or exchange their purchased items in-store, regardless of whether the original purchase was made online.

For an average customer, it is important to them that the returns process be quick and easy. For instance, while purchasing on Amazon, customers can pick up or return their items at any of Amazon’s physical stores, such as Whole Foods.

0
Michael Sharp
Michael Sharp
1 month ago

The main takeaway from the success of eCommerce giants like Amazon is that making deliveries, returns and future purchases as easy as possible is vital to customer retention. Overcommunication during the shopping journey is critical to ensuring that customers have a positive shopping experience and many retailers have forgotten that this includes the post-purchase experience. Simple steps like providing communication until the product is delivered and post-purchase product recommendations build customer loyalty.

0