75% of shoppers abandon retailers over poor delivery service

Written by nShift | Mar 16, 2022 2:45:00 AM

Offering a range of delivery options can cut abandoned carts by 50%

Consumers have an innate preference to buy from independent retailers. But such ecommerce firms are still set to miss out to the big online marketplaces if they can’t perfect the delivery experience, warns a new report from nShift.

Consumers often feel little loyalty to global online marketplaces. Research shows that between 50% and 70% would prefer to support independent businesses¹. But they will not compromise on the quality or speed of the delivery process. Almost three quarters of customers (72.5%) say poor deliveries mean they will stop recommending the retailer.²

Indeed, a survey found that fast and free shipping is the number one reason people shop with Amazon³, and independents need to be able to compete.

A new guide from nShift, “Building the brand with distribution and delivery”, shows how quick delivery and easy returns are essential to creating a workable alternative to the leading online retailers. It explains how, by getting this right, vendors can significantly build their brand, boost revenue, and build better relationships with customers.

It also notes the risks that come with getting it wrong. If retailers leave their fulfilment service in the hands of online marketplaces, they risk surrendering control of the brand experience and can miss out on data about their customers.

nShift suggests that a first-class delivery and returns experience should include:

A range of delivery options – for some shoppers, speed is of the essence. For others, cost or sustainability is paramount. Providing a range of options can cut abandoned carts by 50%.
Clear communication – people want to know where their package is at each stage of the delivery process.
The ability to serve new markets – if a shopper finds that an item can’t be delivered to where they live, they are unlikely to come back.
An easy and accessible way to feed back – when something goes wrong, customers want a quick and easy way to raise the issue and get it sorted quickly. If they can’t find one, they will take their complaint to social media.

Lars Pedersen, CEO of nShift, said: “While there are undeniable advantages to using online marketplaces, it can come at a cost. By depending on Amazon, eBay, Etsy, and others to sell and ship their products, businesses allow them to control the customer experience, take the credit for their brand, and gain crucial data on consumer preferences.

“But when ecommerce companies do take control of deliveries, the experience must be flawless. Deliveries and returns must be easy, effective, and seamless to build a high-quality customer experience. When this happens it is the seller, not the online marketplace that gets the credit they deserve.”

The guide, “Building the brand with distribution and delivery” can be downloaded below.

1 https://cdn.shopify.com/static/future-of-commerce/Shopify%20Future%20of%20Commerce%202021.pdf
2 https://www.forwardermagazine.com/how-poor-delivery-impacts-online-customer-behaviour/
3 https://www.retailcustomerexperience.com/news/we-love-amazon-but-we-hate-amazon/

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