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BizReport : Ecommerce archives : January 28, 2016

Report: Timeliness key for ecommerce

With more than $56 billion spent online during the 2015 holidays, it's a simple thing to say that consumers continue to make the switch to online shopping. But, according to new data from Bizrate Insights, a division of Connexity, stumbling blocks continue for many etailers.

by Kristina Knight

According to the report more than half (55%) of online shoppers make purchases online to avoid crowds and traffic issues while 46% say buying online saves them time. Couple those with the free shipping options offered, and a growing number of consumers see the benefits of online buying. But, one stumbling block continues to make shoppers nervous: late deliveries.

"While convenience, ease, time savings and free shipping draw shoppers in to ecommerce, late deliveries are preventing smooth sailing. Late deliveries cause consumers to think twice about completing orders, which always leads to breakage. Some of a retailer's shoppers roll the dice and place an online order, some shoppers start shopping earlier to allow for tardiness, some shoppers go to that same retailer's store, but some shoppers go to other retailers who they feel can deliver on the promise," said Hayley Silver, Vice President, Bizrate Insights, a division of Connexity.

For the past three years consumers have reported late deliveries, and while it isn't clear if the lateness is due to customers ordering later in the year, weather, or vendor issues, the continuation of these late deliveries is causing some to question which retailers they trust with their business.

"[Late deliveries are] clearly a weak link in the chain of e-commerce growth. I think Amazon not only sees this, but is also actively replacing the weak link as it expands its fulfillment prowess to include its own fleet of trucks," said Silver. "This gives Amazon end-to-end control of the customer experience, from the "last day" messaging to the actual meeting of that promise through on-time delivery. Furthermore, Amazon will be able to use this end-to-end control at a highly personalized level - offering last minute delivery to only those most profitable customers who are in locations where the delivery can be guaranteed."

Other interesting findings from the report include:
• 60% of 2015 holiday shoppers took advance of special deals
• One-third sought out special deals

Image via Shutterstock

Tags: Bizrate Insights, ecommerce, ecommerce trends, mcommerce trends, mobile commerce

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