The majority of online shoppers in the UK complain about unsatisfactory delivery options causingthem to abandon their online purchases, new research from DPD shows.
A DPD UK study showed that 35 million British citizens (73%) dumped their online shopping basketat the checkout because of restricted delivery choice with 40% complaining that they were not evenoffered a free delivery option. 37% were annoyed with retailers limiting the options or pre-selectexpensive ones.
The obvious preferred option is free delivery named by three quarters of the respondents. But26% favoured timed delivery slots over free deliveries with 41% of the shoppers wishing a widerrange of options to be provided by retailers, the representative survey of 2,000 adults showed.
Dwain McDonald, DPD UK CEO, commented: “Delivery is an integral part of e-retailing – the saleisn’t complete until the customer receives the goods. And as our survey shows, the cost and speedof delivery are crucial factors in whether a customer completes a transaction or abandons theshopping cart at the checkout.”
“Online shopping is the fastest growing retail sector and customers are no longer happy toaccept a restricted set of delivery options, they want choice and flexibility in when and how theyreceive their purchases. So, retailers have to consider how best to provide customers with a set ofdelivery options which reflect their product offering and reassure the shopper that their goodswill be delivered quickly and cost effectively. Delivery companies are working hard to innovateservices in this area and options like DPD’s ‘Predict’ have given retailers a far better customerexperience at the checkout and on the doorstep, as more parcels are delivered right first time,” headded.
Online cart abandonment costs e-tailers millions of pounds each year in lost sales. This way,limited delivery options fire back on them, McDonald claimed.
DPD Predict is a one-hour timeslot service which is free of charge for all retailers. It usesthe latest GPS tracking technology to provide customers with a one hour delivery window so they donot have to wait in all day for their parcel. Through a personalised text message or email, theyare informed about the precise timeslot so they can accept or rearrange delivery.
The company stressed that the Predict service has improved retailers ‘right first time’ (RFT)delivery rates by 10% on average across the UK as waiting for one hour at home is obviously moreconvenient for customers than potentially wasting a whole day.
Richard Wilding, Professor of Supply Chain Strategy at Cranfield School of Management, said:“For online retailers, home delivery is now a critically important part of the overall customerexperience. Generally, the customer does not differentiate between the courier and the company theitem was purchased from, therefore a poor experience reflects badly on the retailer. However, agood delivery experience can enhance their reputation, gain customer loyalty and increasesales.”