Should Consumers Be Compensated for Delivery Mishaps?

A survey of over 1,000 U.S. shoppers found that over half (53%) expect money off their next order if a delivery is delayed, 63% expect delivery charges to be waived, and another 54% expect a free delivery code for their next order.

The survey from HubBox, which offers software supporting local pickup points, found that 53% of U.S. orders arrive late, damaged, or at the wrong address.

The top five home delivery pain points were:

• Orders delivered to the wrong house or block, cited by 37%
• Packages left with neighbors they don’t like or don’t speak to, 30%
• Items arriving damaged, 28%
• Late deliveries, 27%
• Having to wait at home for deliveries, 25%

Two-thirds accept that late deliveries are just an inevitable part of the online shopping experience, but 41% question their loyalty to a retailer if they experience late deliveries and 39% are less likely to shop with that brand again. Nearly half (49%) are considering out-of-home delivery collection points to overcome subpar delivery service, while about a quarter (37% of millennials; 34% of Gen Z) will return an item if it is delivered late.

The survey was intended to demonstrate the value of providing alternative fulfillment options, such as local pickup. Sam Jarvis, CEO of HubBox, said in a statement, “Increasingly, as retailers are having to compensate customers for delayed orders, they eat away at already slim margins — and this at a time when the cost of fulfillment is rising and some carriers are charging additional fees for home deliveries.”

The desire for waived delivery fees and other compensation comes as many retailers already absorb postal fees for delivery and returns.

For returns, it’s become increasingly common for retailers to allow consumers to keep an item while offering a full refund to avoid the costs of processing a return.

For delivery shortfalls, compensation reportedly can be attained by complaints to customer service departments. Several articles detail that Amazon is open to offering compensation for falling short of its two-day Prime guarantee. According to Bible Money Matters, compensation from Amazon for delivery problems ranges from a full refund of the item and shipping cost to a $40 Amazon credit after repeated late deliveries, a $5 to $10 Amazon credit, a free month of Amazon Prime, or a 30% refund of the order.