Ten ways Delivery can help convert and retain customers

Patrick Wall, CEO, MetaPackEcommerce Expo 2009

10 ways delivery can convert and retain

Convert during browse: delivery information

Convert at check out: delivery options

Convert at check out: low delivery price

Convert at check out: acceptable returns

Convert overseas: international delivery

Retention: email customer care

Retention: delighting customers

Retention: first time delivery success

Retention: supplier direct delivery

Retention: reputation and referrals

Convert during browse: delivery information

90% of shoppers surveyed said that it was important for them to

have clear delivery information before they place their order*

Detailed delivery information which is easy to find

Delivery information for each product as customer browses

Internet Delivery is Safe (IDIS) accreditation mark

Reassure, no surprises

*Royal Mail Trend research 2009

Customer case: Comet

Product specific delivery information

Video on delivery services

Convert at check out: delivery options

18% of those who have abandoned a cart gave the reason of the

delivery options did not suit them*

Offer a range of delivery options to suit your customers’ lifestyles

Provide enhanced options for customers who may

need things quicker

Make redelivery a quick and simple process

*Royal Mail Trend research 2009

Customer case: ASOS.com same day

Convert at check out: low delivery price

52% of those who have abandoned a cart gave the reason of not

being happy with the delivery charge*

Many retailers now offer lower costs or free standard delivery– it’s

become a competitive strategy

To drive costs down:

Operate a multi-carrier strategy – choosing the most efficient

carrier for each job

Drive down operational costs by reducing manual processes

Increase first time delivery success*Royal Mail Trend research 2009

Customer case: Lighting Direct

Free delivery on orders over £145 and detailed price brackets

Lighting Direct use multiple carriers

“MetaPack has helped us by saving time deciding which carrier is the most economical for each parcel that we despatch.” Gary Berg, Managing Director, Lighting Direct

“MetaPack has helped us by saving time deciding which carrier is the most economical for each parcel that we despatch.” Gary Berg, Managing Director, Lighting Direct

Convert at checkout: acceptable returns

34% of home shoppers return items*

When asked what would cause someone not to shop with a

retailer again, 79% said a difficult returns process*

Returns can be an area of competitive advantage

*Royal Mail Trend research 2009

Customer case: Dixons

Customer services book collections for return through MetaPack. MetaPack then sends the shopper an email confirming the collection and a copy of the label to affix to the parcel.

Convert overseas: international delivery

There is a strong market overseas that can be tapped with

automated international delivery

Europe is relatively straight forward

Rest of the world documentation can be printed automatically

DDU is common but DDP is increasing

Customer case: M&S

Retention: email customer care

Communication is key in setting delivery expectations

74% agreed that they would like to be kept informed as to the

stage the delivery is at*

That’s 30% more than 2008 figures*

Self tracking reassures the customer and lowers inbound call costs

Maintains psychological involvement with the purchase

Lets them know what to do if there is a problem

*Royal Mail Trend research 2009

Customer case: Asos.com

“Appropriate tracking capabilities and providing the tracking codes directly to the customers reduce the number of customers emailing in." Stuart Hill, Head of Customer Logistics, Asos

“Appropriate tracking capabilities and providing the tracking codes directly to the customers reduce the number of customers emailing in." Stuart Hill, Head of Customer Logistics, Asos

Retention: delighting customers

Carriers are a mission critical aspect of online retailers’

businesses

Pro-active customer care turns a problem into a positive

Let the customer know that you are in charge

Provide convenient delivery options

Customer case: John Lewis

Automatic email sent to customer services in the event of carrier delays, requesting they contact the customer

Retention: supplier direct delivery

Supplier Direct: extend offer while reducing working capital –

giving customers more choice

One of the biggest concerns is the loss of control over delivery and

disparity in the customers’ last mile experience

All of this excellent service can be experienced even when a

product is despatched direct from the supplier

Customer case: Halfords

“Our dropship service has given a greater level of visibility which enables us to continue to provide a consistently high level of customer service.” Jon Asbury, Multi-Channel Development Manager at Halfords

“Our dropship service has given a greater level of visibility which enables us to continue to provide a consistently high level of customer service.” Jon Asbury, Multi-Channel Development Manager at Halfords

Retention: first time delivery success

£420 million of direct costs will result from inefficiencies and failures*

IMRG estimates that £4 billion per annum of benefit is currently

available by resolving delivery inefficiencies*

The right options, the right carrier, the correct despatch time all

increase first time delivery success

*IMRG Valuing Home Delivery report

Delivery solution “Tube map”

Retention: reputation and referrals

Combine all this and your reputation grows