Online sellers and niche retailers need to consider a flexible, hassle-free approach to home deliveries to meet these needs and support the continued uptake of internet shopping.
Jon Tobbell, commercial director of myHermes
A recent survey we undertook found that effective delivery can play a vital role in getting shoppers online by overcoming concerns regarding the cost and flexibility of the supply chain process.
It was conducted amongst 1,000 online shoppers who had taken deliveries from e-retailers at least three times in the preceding three months and 500 non-online shoppers who never shop online for non-food items that require delivery, so offered unique insight into the views of the consumer.
The survey found that there was a significant opportunity to convince non-online shoppers to start using the Internet by adopting a simpler returns process (63 per cent), improving the convenience of delivery solutions (56 per cent) and incorporating an effective proof of delivery mechanism (56 per cent).
When asked the primary reason for not buying online, half of the respondents said a preference for the traditional shopping experience. However, delivery (16 per cent) and security (17 per cent) were the next most common reasons, suggesting there was a significant untapped portion of the consumer population that could boost online sales if these barriers could be removed.
In particular, 49 per cent of non-online shoppers felt that the cost of delivery made online purchasing more expensive than buying on the high street, whilst 42 per cent were worried they could lose out if deliveries went astray.
There was also a definite preference for deliveries to be left with a neighbour (61 per cent) or in a safe place (51 per cent) instead of receiving a card asking to rearrange delivery or collect from a depot (30 per cent).
Meanwhile, in urban areas there is widespread appeal for parcel shops that are open from early morning to late evening that could handle deliveries (66 per cent) and returns (75 per cent).
Receiving a delivery at work does not seem to be a universal solution for online shopping. The findings suggest considerable variation in employers’ internal policies, with only 33 per cent of respondents stating they were allowed to receive deliveries at their place of work, whilst 33 per cent said they did not have permission and 36 per cent did not know. Of those that could, 67 per cent had received a delivery at work.
The importance of next-day delivery for online shoppers has dropped since last year with 41 per cent claiming this is quite or very important compared to 51 per cent last year. In contrast, those respondents claiming cost to be very important when selecting a delivery service grew from 63 to 73 per cent.
This may point toward consumers looking for the most cost effective delivery solution as household income is squeezed in preference to the fastest option.
Delivery is becoming a key consideration for the consumer. For non-online shoppers it has become one of the barriers to buying via the Internet, whilst regular online shoppers are increasingly choosing retail sites that can meet their precise needs.
By developing a flexible and effective delivery service, online sellers and niche retailers can not only help change perception, but also build a growing and loyal customer base.
