Everyone nowadays wants their online purchase delivered yesterday - and quick and efficient fulfilment is now key in a world where customers are looking for their goods delivered ASAP.
Amazon of course set the standard here - bringing next day delivery into real prominence - and reaped the benefit of this investment in their own logistics network.
So what does this mean for sellers who aren’t quite as big as Amazon? It means to really compete - you need to look at next day delivery (with a reasonable cutoff) as an option - if not the standard for your business. But alas this costs quite a bit of money…
I’ve found from experience it’s often the case a choice needs to be made when it comes to balancing product pricing with the cost of delivery. When we talk about conversion - some customers will walk away at the sight of any fee - so it’s a fine line to balance.
Low product pricing draws customers in - but how many are put off by shipping charges? How many more expensive retailers with free delivery are missing out on due to higher product prices?
It’s an area I’ve always had an interest in - and for me personally I’m always hesitant to pay a penny for delivery unless the products really are cheap - but I’m going to do some further research into the question and question that view. I also expect this is something in the varied between markets and their customer expectations. You might wait six weeks and pay for delivery of your new sofa - but not £1.99 for a book that cost a fiver?
Personally I'm a sucker for free delivery...
I’ve always worked as best as possible with the analytics data you can get from e-commerce sites and have worked on some sucessfully stragies in the past - but it's a question that still intrigues me.
Cover Photo by Maarten van den Heuvel on Unsplash