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BizReport : Ecommerce archives : April 19, 2017

40% of top UK retailers' next-day delivery charge too high

The number of consumers who prefer next-day delivery for online orders has risen in the last few years, yet nearly two out of five of the UK's leading retailers do not offer this option.

by Helen Leggatt

More than half (52%) of shoppers in the UK say their preferred delivery option is next-day - up from 46% in 2014. However, a study by YouGov on behalf of ecommerce agency Ampersand found that, among 185 of the country's leading retailers, 18% do not offer next-day delivery.

However, of those retailers who do offer next-day delivery, more than 40% charge a price that most (89%) are unwilling to pay (more than £5). Just six retailers offered free next-day delivery but some, including Diesel and Harrods, charged from £12 to £20.

"The final mile has always been the part of the ecommerce journey that retailers had the least control over. Now retailers such as Amazon and Argos -- basically owners of their own logistics network -- can offer customers same day, same morning, 2-hour home or office delivery," said Darryl Adie, managing director at Ampersand. "Other retailers have a lot to compete with. The bad news is that not every retailer can boast that kind of ownership. The good news is that they don't really have to in order to give consumers great service."

Additional findings from the survey include:

- The number of retailers charging for returns via post has risen from 22% (2014) to 40% (2017);

- Of those retailers that charge for returns, more than half (54%) do not charge for returns direct to a store;

- 65% of retailers offer click-and-collect.

Tags: delivery, ecommerce, fulfillment, research, UK

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