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Survey: Lack of speed kills consumer expectations

5/18/2016

How fast a retailer offers delivery of online purchases plays a big role in sales conversion and loyalty.



According to a new survey of 650 U.S. consumers from same-day delivery provider Dropoff, 60% of respondents reported they have decided not to purchase from a retailer due to slow delivery speed. Almost all consumers (97%) said speed is at least somewhat important in determining whether or not they will purchase a product. Forty percent said it is very important.



Consumer expectations of delivery performance are also increasing. While only 1% of respondents said they expect to receive retail items the same day they ordered, 40% said they want to. Forty-six percent said they expect companies to deliver faster than they did a year ago.



One positive finding is that retailers who do provide fast shipments can build customer loyalty the same way they can with free shipments. Seventy-seven percent of respondents said receiving free shipping made them more likely to purchase from that retailer again. One in three said it made them irritated when a different company would charge for shipping, and 40% said it made them expect free shipping from others. Those experiencing fast shipping report similar loyalties.



Other notable findings include:



95% of respondents say ability to track their package is important.

58% cite friendliness of delivery personnel as being important.

70% say delivery personnel arriving in uniform is important.



“Retailers who don’t understand how and why consumers are expecting things faster will struggle to compete,” said Sean Spector, CEO of Dropoff. “Much like we saw with free shipping and free returns, those who offered it first set the tone for the industry and reaped the rewards of more loyal customers and higher sales conversions. Smart retailers need to be out ahead of this trend and deliver on the expectations consumers describe in the study.”


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