E-retail delivery volumes in the UK posted solid year-on-year growth of 11% in April, according to the IMRG MetaPack UK Delivery Index, which measures parcel volumes generated by e-commerce.
While this parcel volume increase from online retail orders is below the growth forecast of 13% for 2015, it is gradually increasing as the year progresses and has already reached 10.9% year-to-date.
“On current performance, we can expect to see 992 million orders dispatched by UK e-retailers through UK carriers in 2015 – although if our 13% forecast is met this will exceed one billion,” IMRG and Metapack said, referring to their forecast in the beginning of the year to surpass the 1 billion mark in online parcel volumes.
Andrew Starkey, head of e-logistics at IMRG, said: “Although the current growth rate is below our 13% full year forecast, we would not be surprised to see post-election consumer confidence push this up over the coming months. The month of May tends to show a slight increase in order volumes followed by a drop in June and a mini peak in July. It will be interesting to see if this trend is followed but if exceeded it may herald a surge in consumer demand.”
As one of the most notable trends emerging in the Index this year, IMRG highlighted the high rate of on-time delivery which is at 94% year-to-date. This means that only 6% are arriving later than the expected. Excluding carded deliveries, which were attempted on-time but there was nobody there to receive the parcel so a card was left, 88.7% have been delivered on-time at the first delivery attempt for the year so far.
Another trend goes towards cross-border ecommerce which saw a slight increase in April. This is consistent with the April increases seen in the previous years. This follows the trend that cross-border orders no longer follow the growth patterns of the previous years and remain widely unchanged for the past three months. However, the strength of the pound against the euro might contribute to a reduction in demand from European shoppers, IMRG predicted.
Kees de Vos, chief commercial officer at MetaPack, commented: “As we move into spring we’re naturally seeing a pickup in online retail with people buying for the milder weather. The data on successful deliveries bodes well for the way in which retailers and carriers are collaborating more closely on trying to deliver positive customer experiences every time, everywhere. Another year-on-year increase in monthly delivery volumes indicates how much UK and overseas consumers are comfortable with how the industry will fit into their requirements for receiving orders at home, work or on the move.”