Thursday, April 25, 2024
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Retailers Risk Losing 85% of Online Shoppers Due to Poor Delivery: FarEye Study

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FarEye’s Last Mile Mandate Consumer Survey of approximately 1,000 U.S. consumers conducted in June 2022, revealed that 85% of consumers will not shop with a retailer again after having had a poor delivery experience. Furthermore, a full 88% of consumers may abandon their online shopping cart if delivery terms are poor, such as having slow delivery or high costs. These findings – despite the growth in e-commerce and home delivery, and steps retailers have made to create better consumer experiences – signify the need to fundamentally change the way orders are delivered and returned to achieve a consistent, branded consumer experience with every purchase. In response to these persistent challenges, FarEye has defined the Last Mile Mandate as the roadmap to a superior delivery experience.

Mr. Judd Marcello, CMO, FarEye

“These survey results further reinforce the need for last-mile delivery logistics to evolve to meet ever-changing consumer demands and solve the last-mile challenge,” said Mr. Judd Marcello, CMO, FarEye. “Last mile is only going to get more complicated, and we believe the Last Mile Mandate is the lynchpin to success for brands to maintain consumer loyalty in today’s experience economy.”

Consumers surveyed define a positive delivery experience as having fast delivery (36%), low shipping cost (34%), delivery tracking/visibility (28%). Eighty-six percent of consumers prefer to wait no more than three days for a delivery and only 7% of consumers felt the online returns process had been an easy experience.

FarEye defines the Last Mile Mandate as the core principles brands must adhere to, in order to win the last mile. Brands must:

●        Dramatically simplify the most complicated aspects of delivery logistics

●        Improve customer satisfaction and loyalty by delivering unique on-brand consumer experiences and ensuring on-time, accurate deliveries

●        Create new, differentiated offerings that reflect dynamic consumer buying behaviors

●        Continuously reduce the environmental impact from deliveries

The Last Mile Mandate focuses on solving the challenges brands have felt for years, through last mile logistics technology capabilities such as real-time visibility, delivery orchestration, customer experience, business process management and sustainability. 

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