Gen Y: Retailers need to modernize e-commerce fulfillment
Millennials want retailers to raise the bar on e-commerce delivery efforts, especially when it comes to cost, location and communications.
Over a third of global online shoppers (39.7%) reported challenges when receiving their online orders, with cost and speed being the biggest factors impacting satisfaction, according to "The Everyday Essentials of Successful E-Commerce Fulfillment,” a report from Radial.
According to the study, there is a 12% disparity in satisfaction between millennials (18-24 year olds) and individuals older than 55. For U.S. millennials, for example, 33.5% were frustrated that it took too long to receive their online orders, and 20.6% complained that high costs for priority delivery were not worth the convenience.
Nearly half of all respondents said they choose to pick up some goods ordered online in the store. The numbers were especially high in the U.K. (54%), followed by Canada (40.7%) and the U.S. (37.7%). Among those who did opt for in-store pick-up, the biggest driver for in-store pickup was to avoid expensive shipping costs (36.7%), followed by convenience/delivery time (29.8%).
Respondents across all ages and regions (74.9% for the U.S., 58.1% in U.K., and 62.3% in Canada) prefer that their packages are delivered to their doorstep rather than options like providing access to their home, using a locker with a private access code, or having a nearby proxy signer. While convenience is a priority, only a small percentage of Americans (8.7%) would consider automated delivery if it was based on IoT tracking devices. However, millennials are most willing to consider using emerging technology (35.2%) to order their packages based on need.
Overall, retailers need to find ways to remove friction from the experience and meet customer expectations, which is order status communications are becoming more important. Most respondents even want proactive updates on the status of their order throughout the entire shipping process (44.1% for the U.S., 45.6% in the U.K., and 41.6% in Canada).
"Fulfillment is one of the biggest elements impacting customer experience today but unfortunately many businesses still approach it as an afterthought," said Sean McCartney, executive VP of operations services, Radial.
"To execute a successful door-to-door strategy, companies must shift their mindset to be channel agnostic, offer seamless execution and real-time communication across any commerce medium,” McCartney added. “It is essential to create a solid foundation through an integrated e-commerce framework that taps resources like artificial intelligence and machine learning to optimize delivery processes and deliver savings straight to the consumer."
Over a third of global online shoppers (39.7%) reported challenges when receiving their online orders, with cost and speed being the biggest factors impacting satisfaction, according to "The Everyday Essentials of Successful E-Commerce Fulfillment,” a report from Radial.
According to the study, there is a 12% disparity in satisfaction between millennials (18-24 year olds) and individuals older than 55. For U.S. millennials, for example, 33.5% were frustrated that it took too long to receive their online orders, and 20.6% complained that high costs for priority delivery were not worth the convenience.
Nearly half of all respondents said they choose to pick up some goods ordered online in the store. The numbers were especially high in the U.K. (54%), followed by Canada (40.7%) and the U.S. (37.7%). Among those who did opt for in-store pick-up, the biggest driver for in-store pickup was to avoid expensive shipping costs (36.7%), followed by convenience/delivery time (29.8%).
Respondents across all ages and regions (74.9% for the U.S., 58.1% in U.K., and 62.3% in Canada) prefer that their packages are delivered to their doorstep rather than options like providing access to their home, using a locker with a private access code, or having a nearby proxy signer. While convenience is a priority, only a small percentage of Americans (8.7%) would consider automated delivery if it was based on IoT tracking devices. However, millennials are most willing to consider using emerging technology (35.2%) to order their packages based on need.
Overall, retailers need to find ways to remove friction from the experience and meet customer expectations, which is order status communications are becoming more important. Most respondents even want proactive updates on the status of their order throughout the entire shipping process (44.1% for the U.S., 45.6% in the U.K., and 41.6% in Canada).
"Fulfillment is one of the biggest elements impacting customer experience today but unfortunately many businesses still approach it as an afterthought," said Sean McCartney, executive VP of operations services, Radial.
"To execute a successful door-to-door strategy, companies must shift their mindset to be channel agnostic, offer seamless execution and real-time communication across any commerce medium,” McCartney added. “It is essential to create a solid foundation through an integrated e-commerce framework that taps resources like artificial intelligence and machine learning to optimize delivery processes and deliver savings straight to the consumer."