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24 Hour delivery, the new normal
The 3pl logistics industry has seen tremendous growth over the last several years, even before the Covid eCommerce boom. What many people viewed as a luxury benefit prior to the pandemic suddenly became a must! Now that more people have gotten a taste of the benefits of next day parcel delivery from home, it would seem more people are keen on this new way of life. Next day delivery is the new normal.
It is evident now that the consumers have spoken, and more of them want to shop online, and they want their items even faster. Decreasing the window of wait time and moving closer to instant gratification for customers is a major focus for retailers and logistics in 2021. The latest polling concludes that only 32% of consumers are willing to wait 2 – 3 days for their deliveries. It’s time for companies to get on the proverbial bandwagon to find the right solutions and strategy to better serve their customers.
Global eCommerce sales rose to nearly £20 trillion in 2020, making up 19% of all retail sales. The UK saw major growth, making it the third-largest market for eCommerce sales, just behind the US and China. Thanks to the growing trend of online sales, more companies are finding ways to improve final mile delivery services. Let us take a look at the impact of 24-hour delivery and why you should be implementing it for your business.
Why 24-hour delivery service?
24-hour shipping seemed impossible at one time. Yet, innovation in logistics and technology have changed this. Using more automation and robust technology, the ability to deliver goods within 24 hours is attainable now, especially in the UK. The demand is there, in fact, 49% of shoppers say that next-day delivery makes them more likely to shop online.
Being able to offer delivery times that can be predicted while having access to next day service is important for shoppers. Failing to meet these standards will result in a decline in business and reduced brand perception. Shoppers want products faster. In the UK some of the most popular items are fashion. During the pandemic, things changed drastically though. Next day was needed for those items deemed essential, such as toilet roll and other consumables.
Based on research findings, 87% of UK consumers shop online. This includes both desktop devices as well as mobile. Because the vast majority of the population use their mobile phones for daily tasks such as email and paying bills, making purchases on mobile already feels more comfortable than it did 5 to 10 years ago. It’s so much more comfortable now in 2021 to buy from home, and with comfortability comes more buying, and more sales! With more retailers coming online, more people are embracing next day delivery options.
61% of customers are willing to pay more for 24-hour delivery.
As is shown, convenience is a large driver of buying decisions for consumers. Paying the extra money can result in large profits for the retailers that make this service possible.
Some of the most popular search terms on Google in the UK alone are “next day delivery clothes (9,900/month).” Then there is “next day delivery dresses (1600/month), kids clothes next day delivery (1,300/month),” and “next day delivery men’s clothes (880/month).” These numbers reveal to us key data around retail shopping habits. 20% of all products bought in the UK online are Fashion and apparel. With the convenience of retailers offering better delivery options such as ASOS next day delivery, more customers are flocking to them. Last year ASOS added a record number of three million customers alone. But it does not just stop with clothes.
The top ten physical items purchased online in the UK online are as follows.
- Apparel and clothing accessories.
- Videos & DVD’s
- Consumer electronics
- Computer hardware
- Cosmetics and beauty products
Although the majority of consumers are willing to pay more for faster service, retailers who offer it for free tend to see conversion rate increases for nominal value. The risk associated with this is much smaller than that of an ad campaign too as the expense is only incurred after conversion has taken place – now that’s smart selling.
How does next day delivery work?
Next day shipping starts when your customer places an order on your online store. Then, within minutes the pick and pack fulfilment process will start. After that, the order is packaged and dispatched with a fast courier service. Selazar is affiliated with UPS, Hermes, Whistl, and Yodel.
Delivering within 24 hours to your customer is possible for eCommerce businesses as long as the goods are in inventory and ready to move. With the exception of larger items such as furniture which can take longer to prepare, smaller items like clothing and gadgets are easily fulfilled for next day delivery.
The Selazar warehouse securely houses all products for its clients 24/7 so that when the sales are made, they are ready to be shipped fast!
Cut-Off Time and Late Dispatch
When we refer to the cut-off time for orders, this means that orders need to be placed by a certain time to qualify for next day shipping. Luckily for Selazars’ partners, we offer later dispatch times than the competition.
Our cut off time for orders is 7 pm, as opposed to other companies that only offer it up to 2 pm. This means that any order placed before 7 pm are guaranteed same day dispatch. Getting your orders out the door sooner helps ensure your customers receive the next day service they’re looking for.
Selazar has created later dispatch times as a means to improve delivery for customers, but one of the biggest reasons as well is because of peak sales. Most sales for eCommerce happen after 5 pm.
A study of over 5,000 UK adults revealed that the majority of adults shop online between 5 pm & 9 pm. The most popular shopping hour is 6 – 7 pm. Knowing this information is exactly why increasing times for late dispatch are essential.
Is next day delivery possible internationally?
Yes, next day delivery is commonplace for shipping internationally. Selazars’ courier network delivers anywhere in the world. Though Brexit changes have caused a bit of disruption in the eCommerce marketplace, sales are still extraordinarily strong for EU customers of UK businesses.
In fact, 16% of purchases come from the EU, while 11% are from outside the EU. The next largest market for UK exports is the United States, with sales of around USD $58.4 billion.
Next day service and 48-hour delivery turnaround are a key component of success for your business. To provide the best end to end experience for your customers, make sure you are offering them the best delivery solutions, and you will create raving fans. Set up a discovery call with Selazar today so that we explain to you in detail how can help you with your fulfilment and shipping needs.