One of the downsides of e-commerce when comparing with off-line retail business is that the customer does not get to avail the product immediately after purchase. In a typical situation, the customer is required to wait a few days before the product is delivered to the doorstep. But customers may not have to endure this prolonged delay any more in the future. Let’s take a look at how same-day delivery can become a reality in the rapidly evolving world of e-commerce.
When it comes to making purchases, people are influenced by a huge irrational factor that makes them want to buy on impulse. Purchasing a product induces a sense of euphoria and serves customers with instant gratification. This can only be possible in a brick and mortar retail outlet where you get to actually touch and use your brand new acquisition. The biggest players in the e-commerce industry understand consumer psychology very well, and they are taking the first steps to making e-commerce a more immersive experience for consumers.
For instance, Amazon has launched its Prime Now service, currently available in Milan, Berlin, Paris and Madrid, that allows buyers to get their purchase in the same day or even within an hour, with a very reasonable cost of €5.9. But Amazon is not the only company that is reaping the rewards of express e-commerce. Competitors like Sainsbury in the United Kingdom and El Corte Inglés in Spain, are also offering a similar service to their customers.
When there is a good product in the market, people want it immediately. The proof lies in how mobile devices are being used to browse the internet and shop online. Users are no longer interested in sitting in front of their desktop to look for things they want to purchase. They simply want to buy products on the go before the hype wears away. If consumers are not willing to wait till they get home before logging into the internet, then there’s no reason to believe that they are going to wait for week long or month long deliveries when they can easily avail express delivery services.
Studies confirm the need for instant gratification in a consumer. People who buy online at least twice a week would love to enjoy the perks of a same-day delivery service. Assuming that online shoppers are going to increase their rate of purchase, the same day delivery service can help e-commerce businesses rake in more profit than ever expected in the not so distant future. But there are reasonable arguments against the same day delivery feature. The world renowned e-commerce giant eBay decided to shut down their same-day delivery service eBay Now last year. Inside reports suggest that the new service was not yielding enough revenue to support itself, which made the company executives believe that such a service was not necessary to keep their e-commerce business moving forward in the right direction.
This brings us to a key discussion on the topic. Is same-day delivery or express delivery required for every kind of e-commerce business? The answer is probably no. For certain products, such as groceries and pharmaceuticals, instant access or same-day delivery offers great value to the customer. But the same rule does not apply to every e-commerce transaction, especially those where the customer does not have a major problem with waiting for a few days before the product arrives.
What will be the Future?
We are sure that if same-day delivery becomes a highly desired service, all the big retailers will implement it sooner or later. Here the question is about what will happen to the small businesses. Experts believe that they will need more time to adapt to this new service, but in the end they will have no other option but to change their delivery polices. Amazon, Etsy and many other well known e-commerce platforms could potentially offer to help out the smaller businesses with their express services whenever possible.
However, simply waiting for the big platforms to hand them a solution will not be a wise decision. Even when a large platform can offer efficient delivery costs to its partners, the smaller e-commerce business has to improve its stock management system and it the efficiency of its shipping operations.
Small e-commerce business should not be apprehensive about these changes in the overall delivery system. There are many examples of small businesses flourishing with the express delivery feature. For example, Interflora in Spain allows people to buy flowers online and get them delivered to any location inside the country within the same day. Recent reports confirm that this small flower business is booming. If this business can succeed, then so can every other small e-commerce business that creates a flawless express delivery system.
If you think that same-day delivery service is going to be important for achieving success in your sector, it is time to take the first steps towards embracing this change in your business. Since customers love options, you can allow them to choose from a regular delivery and same-day delivery service. Even the ones who can’t afford the express service will appreciate the bonus feature.
There are many ways to attract online shoppers to your web-shop and convince them to buy from you, rather than your competitors.
Same-day delivery turns out to be one of them as stated above, and surely another major criteria is pricing.
In order to offer smartly competitive pricing by automatically tracking your competitor prices, you should better give Prisync’s competitor price tracker a chance!
NOTE: You can now share your voice in our blog. Prisync Blog now accepts guest blog posts and you can see the guidelines here. If you are already writing on ecommerce, or thinking of it, just reach us out!