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Logisticsas key marketing element in e-commerce
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LogisticsI have a e-shop
1
Someone buys
2
Need to ship this
3
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Why do people buy online?
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Driver 1 : Long Tail
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Driver 2 : Price
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What, if anything, might
preventyou from shopping
in-store ?
Long lines
Too much traffic
Slow checkout
Doesn’t carry merchandise I want
Lack of parking
Items/sizes often out of stock
Too far away
Store hours inconvenient
Online site does not indicate if the product is available in the store
Limited number of store associates
Gas prices
Store associates’ knowledge / ability toassist
44
30
28
24
19
16
16
10
9
7
6
4
Driver 3 : Convenience
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Reasons to buy online
56
52
52
47
42
37
36
34
32
23
23
11
2
1
Order 24 hours a day
Delivered at home
Easier, don't have to leave home
Lower prices than in regular shops
Opportunity to buy products that are not available in the regular shop
Less time-consuming
Greater choice
Easy to compare products
The speed of delivery
Ability to pick up goods at a convenienttime and location
Ability to send products back
More environmentally friendly way of buying
Other
Don’t know
Base: Total sample (n=1321)
Question: Q3.3 What are the most important benefits to you of online shopping compared to purchases in a regular shop?
ABCD: 95% significance level
Convenience
Price
Long tail
Convenience is the most important driver
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The more they buy online
the more they value Convenience
Base: Total sample (n=1321)
Question: Q3.3 What are the most important benefits to you of online shopping compared to purchases in a regular shop?
ABCD: 95% significance level
Order 24 hours a day
Delivered at home
Easier, don't have to leave home
Lower prices than in regular shops
Opportunity to buy products that are not available in the regular shop
Less time-consuming
Greater choice
Easy to compare products
The speed of delivery
Ability to pick up goods at a convenient time and location
Ability to send products back
More environmentally friendly way of buying
Other
Don't know
47
50
44
38
34
31
24
27
29
21
18
9
1
1
53
52
49
46
39
34
34
31
29
22
23
8
2
1
62
54
57
51
47
41
43
39
35
24
25
1
2
1
LIGHTn= 271 (A)
MEDIUMn= 415 (B)
HEAVYn= 635 (C)
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Base: Total sample (n=1321)
Question: Q3.3 What are the most important benefits to you of online shopping compared to purchases in a regular shop?
ABCD: 95% significance level
Order 24 hours a day
Delivered at home
Easier, don't have to leave home
Lower prices than in regular shops
Opportunity to buy products that are not available in the regular shop
Less time-consuming
Greater choice
Easy to compare products
The speed of delivery
Ability to pick up goods at a convenienttime and location
Ability to send products back
More environmentally friendly way of buying
Other
Don't know
increases by age
57
46
52
46
46
37
39
38
29
22
22
9
1
2
58
51
53
46
43
38
37
36
31
28
21
11
2
1
56
53
52
50
41
40
40
37
33
25
22
14
2
1
18-34 Yn= 394 (A)
35-44Yn= 283 (B)
45-54 Yn= 304 (C)
53
61
50
45
37
32
30
26
35
18
26
10
1
0
55-70 Yn= 340 (D)
The importance of
Convenience
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What is
Convenience?
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means ORDERING
whereand whenthe consumer wants
Convenience
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means being delivered
whereand whenthe consumer
wants
Convenience
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Home Neighbour Work
Where?
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Convenience does
NOT always mean
quick delivery.
21%
79%
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Saturday
Evening
Sameday
9-6 P
M
Sunday
Day
When?
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How many shoppers
do NOT receive their
parcel at first visit
NO
16,3%
YES
83,7%
?Q1.7. Welke leveringsmethode was oorspronkelijk voorzien voor dit pakje?
Q1.10.1. Welke van onderstaande situaties komt het best overeen met de uwe?
Q1.10.2. Hoe hebt u het pakje uiteindelijk ontvangen?
Target: Received parcel < 7 days, excl. dnk
Received parcel at first visit(n=3251)
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NO
16,3%YES
83,7%
not all 84% were delivered as
foreseen
Q1.7. Welke leveringsmethode was oorspronkelijk voorzien voor dit pakje?
Q1.10.1. Welke van onderstaande situaties komt het best overeen met de uwe?
Q1.10.2. Hoe hebt u het pakje uiteindelijk ontvangen?
Target: Received parcel < 7 days, excl. dnk
Even
worse…
Courier visited 2nd time
Pick-up at carrier’s pick-up point
Did not receive parcel
Other
n = 551
44,2
49,9
5,2
0,775,1
13,0
4,4
3,6
1,6
2,0
0,3
n = 2700
You/somebody else was at home/office/other address when courier visited and you received
parcel
Courier deposited parcel in letter box
Courier left parcel with neighbour– at your request
Courier left parcel with neighbour– own initiative
Courier left parcel at specific spot – at your request
Courier left parcel at specific spot – own initiative
Other
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Reviews, sharing,…
x7
NO
16,3%YES
83,7%
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Let the
consumerchoose
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87
49
23
15
15
12
7
Home delivery
Pick up from
a pickup point
Pick up from
a post office
Pick up in
the shops / web shop
Delivered to another
address specified
Delivery at work
Pick up from
a pack machine
63
19
3
1
3
7
4
DELIVERY METHODS EVER USED
DELIVERY METHODS PREFERRED
What are the
preferreddelivery methods
Delivery
Pickup
Base: Total sample (n=1321)
Question: Q3.4 In which ways have you had your online purchases delivered?
Q3.5 If you could choose between all the following delivery options for shipping your online purchases,
how would you prefer having your purchases delivered?
ABCD: 95% significance level
Avg. # of delivery methods used 2,1
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46
41
40
36
20
20
6
5
10
1
0
1
1
DELIVERYn = 978
PICK-UPn = 343
Reasons for
preferring certain delivery
methods
Base: Total sample (n=1321)Question: Q3.6 Why do you prefer the following deliver methods for your online purchases?
ABCD: 95% significance level
Avg. # of reasons
2,3
No extra effort to move
Don't have to leave home
Receive the packagepersonally
Time-saving
Faster
Reliable
Cheaper
Environmentally friendly
Don't have to be/stay home
Pick up when I want
Pick up 24/24
Pick up the packageimmediately / quickly
Other
0
0
0
17
10
28
15
7
66
66
8
45
1
Avg. # of reasons
2,6
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Post
PointParcel
LockerShop
Pick up Methods
Post
Office
How?
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600+ Post Offices 600+ Post Points
opening hours #
Mon-Fri > 6 pm >400
Saturday am >1000
Saturday pm >500
Sunday 70
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Most important factor is distance
between the pick-up point and the
home or “on the way home-work”
Provide a dense Pick up Network
Post Points
Post Offices
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Click & Collect
Phygitalisation: Bring your
e-consumers into your shop
Allow for online & offline interworking
Increase traffic in your Retail shop by delivering
online orders to your shop
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Parcel Lockers
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Located in high traffic zones
Railway / Metro stations,
Supermarkets
Petrol stations, …
Easy-to-access
Easy-to-park
Accessible 24/7/365
Available for delivery & drop
Parcel Lockers
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When are the
Parcelspicked up?
Lunch time &end of business hours
are main Pick up times
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When are the
Parcelspicked up?
85,66%
91,73%
95,04%
98,79%99,79%
D+1 D+2 D+3 D+4 D+5
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and if Murphy
passes by…
have a solution ready
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Give your customers co-
CONTROL
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ParcifyDelivery by
appointment
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Is increasing in importance as
marketing element in e-commerce and the enabler for
convenience
Logistics
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Do you
convert
100%of your
visitors?
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Lostsales …
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Eliminateall the
risks
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How do you
lowerthe
risks
Offer all the
shipping options
Brand of Transportation partner
(logo = quality label)
Shipping Costs
(free if possible)
Returns
Known or LOCAL
Brand
Offer various payment
options
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Make it
easierFor you customer to
return
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Free
How?
make labels
Where?shops, home,
lockers
Make it
easierFor your customer to
return
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Returnsby
purchaseditem
Q1.2 Over welk(e) type(s) producten ging het? - Q1.15. Hebt u het/de bestelde product(en) uit het pakje teruggestuurd of bent u van plan dat te doen?
Target: Received parcel < 7 days
Clothing / shoes / access / jewellery / ...
Books
Care products
CD / DVD / Blu-Ray / Games
PC / hardware / software / ink
Small household appliances
Electronic devices
Telecom products
Food
Pharmaceutical products
Toys
Animal products / accessories
Interior decoration
DIY and garden products
Sports products and apparel
Personalised photo products
Yes, already did
Yes, planning to
No Dnk yet
15
7
8
14
10
8
10
5
5
7
9
3
11
2
15
3
6
7
9
14
13
20
13
5
10
9
6
4
6
7
4
3
77
83
82
68
75
70
75
88
83
80
82
92
77
89
80
94
2
3
2
4
2
2
2
2
2
3
3
2
5
2
1
n = 1166
n = 469
n = 369
n = 318
n = 224
n = 112
n = 169
n = 211
n = 146
n = 132
n = 112
n = 115
n = 117
n = 105
n = 103
n = 166
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Logistics is 2 ways
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Keep
the consumer
“posted”
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Base: Total sample (n=1321)
Question: Q3.8 Which information do you wish to receive about your order and the monitoring of your delivery when you buy a product
online? Please indicate to which extent you find it important to receive each of the following types of information.
ABCD: 95% significance level
Online buyers expect
informationabout their
purchaseDesired information about order
and delivery of online purchases
Confirmation of the order
Expected delivery time
When the product is available
When the product is shipped
Monitoring of the shipment
Estimated time of delivery after the shipment has left
Confirmation of the delivery
1
1
6
5
8
5
10
11
36
37
45
51
45
30
88
63
58
50
41
50
60
Unnecessary
Nice to have
Must have
![Page 49: Sales Community bpack - ING Belgium › Assets › Documents › BreakOutLogisticalChallen… · the shops / web shop Delivered to another address specified Delivery at work Pick](https://reader035.vdocuments.us/reader035/viewer/2022062921/5f0327ef7e708231d407d0e0/html5/thumbnails/49.jpg)
Integration
![Page 50: Sales Community bpack - ING Belgium › Assets › Documents › BreakOutLogisticalChallen… · the shops / web shop Delivered to another address specified Delivery at work Pick](https://reader035.vdocuments.us/reader035/viewer/2022062921/5f0327ef7e708231d407d0e0/html5/thumbnails/50.jpg)
Try to create a Wow- effect?
![Page 51: Sales Community bpack - ING Belgium › Assets › Documents › BreakOutLogisticalChallen… · the shops / web shop Delivered to another address specified Delivery at work Pick](https://reader035.vdocuments.us/reader035/viewer/2022062921/5f0327ef7e708231d407d0e0/html5/thumbnails/51.jpg)
People share more than ever
![Page 52: Sales Community bpack - ING Belgium › Assets › Documents › BreakOutLogisticalChallen… · the shops / web shop Delivered to another address specified Delivery at work Pick](https://reader035.vdocuments.us/reader035/viewer/2022062921/5f0327ef7e708231d407d0e0/html5/thumbnails/52.jpg)
Example: Un-Boxing experience
![Page 53: Sales Community bpack - ING Belgium › Assets › Documents › BreakOutLogisticalChallen… · the shops / web shop Delivered to another address specified Delivery at work Pick](https://reader035.vdocuments.us/reader035/viewer/2022062921/5f0327ef7e708231d407d0e0/html5/thumbnails/53.jpg)
Happy shopping ;-)