by David Carey, SVP Customer Experience
Don’t worry about social commerce or influencer marketing for now. This year, last-mile delivery is what matters most to young ecommerce shoppers.
According to a poll of over 1000 customers conducted by Retail Week on behalf of nShift, 68% of shoppers between 18-34 years old would not shop with a retailer again after a single poor delivery experience. That’s a lot of repeat business that could go astray.
So, what does a great experience look like?
Real customer choices for last-mile deliveries
According to the Retail Week report, 73% of shoppers between 18 and 34 value having a choice of delivery options at ecommerce checkout. The best delivery offer will include express and sustainable delivery choices, as well as out-of-home options like PUDO (pick up/drop off) locations and smart lockers.
Customers’ desire for delivery control extends to order tracking. A whopping 83% of all shoppers agree it is important to their experience.
The right order tracking software creates powerful engagement opportunities for retailers – for example with up-sell offers when goods are in transit and customers are paying attention. Most importantly, good order tracking helps streamline customer service, reducing “where is my order” (WISMO) calls by up to 70%.
While older shoppers might be happy with updates via email or SMS, the new generation expects to get such communications through the apps and social channels they use every day.
Returns management which delights customers and protects retail profits
Returns are prized by customers but a profit-killer for retailers. More than three-quarters (77%) of shoppers aged 18-34 consider a clear and flexible returns policy to be important.
Yet many retailers’ returns procedures are one-size-fits-all. With the right returns management software, it’s possible to offer free returns to some customers, but not to all. Software also makes it easier to offer exchanges, instead of refunds, minimizing the impact on cashflow.
The same software can also help get returned items back on shelves for resale without delay. Together, these steps can dramatically reduce the revenue hit from returns.
Many retailers are also using their returns software to explore new business models, based on reselling vintage or pre-loved items alongside new stock.
Reducing carbon emissions in the last mile
It’s no surprise that younger shoppers are more conscious of environmental issues than their elders. What’s new is the extent they are prepared to back up their views with actions.
According to the Retail Week study, nearly two in three shoppers between 18 and 34 believe it's important that brands they shop with demonstrate sustainability – compared to less than half of over-45s.
Many retailers have increased investment in areas like reusable packaging and low-emissions supply chain, as a result.
Now, they can track carbon emissions in the last mile, and report back to customers with real evidence.
Four steps to prioritize in peak-season prep
Here are four key steps retailers can take to improve engagement with younger customers during peak season 2024:
- Offer a range of delivery choices, including express, zero-emissions, and out-of-home options
- Provide a flexible returns policy backed with software that smooths the process and minimizes waste
- Improve post-purchase experiences with personalized messaging, in the channels younger customers use the most
- Make deliveries part of the brand’s sustainability story. Track and report back on emissions
By offering flexible delivery options, easy returns, personalized experiences, and demonstrating a commitment to sustainability, retailers can win over the loyalty of young online shoppers.
Author
Author
David Carey
SVP Customer Experience
David heads up our Customer Service organisation at nShift. Since leaving the Armed Forces, David has gained significant experience during the last 25+ years building and leading high performing global enterprise customer service teams. He strongly believes a great and effortless customer experience is foundational to establishing and strengthening long term customer relationships.