The delivery experience is critical in shaping how Australian online shoppers judge a brand. 

For example, a staggering 91 per cent of customers who receive damaged items will avoid or abandon that retailer entirely and one in two will share their negative experience via word of mouth, according to a survey undertaken by Inside Retail and Team Global Express. 

In the latest edition of her Retail Untangled podcast series, Inside Retail’s Amie Larter talked to Taeressa Fawthrop, chief consumer officer at Team Global Express, a specialist in tailored logistics solutions for online retailers throughout Australia and New Zealand. Together, they unpack what customers really want when it comes to their delivery experience, referencing some key points from the survey of 750 shoppers polled.  

Fawthrop says the top delivery priorities of today’s online shoppers are proof of delivery and safe placement, with data security also a major concern.

“Keeping personal information and addresses safe with secure back-end systems is non-negotiable to build trust, transparency and control throughout the delivery journey. If you don’t get that right … you’re going to miss the opportunity to not only retain customers but [build] future customer loyalty.”

Put the power into shoppers’ hands

Giving customers the ability to plan ahead and have control and choice over delivery preferences such as speed, the authority to leave an item somewhere outdoors or offering out-of-home collection puts the power back into the consumer’s hands and ensures a convenient experience. 

“Transparency is key,” says Fawthrop. “Shoppers want and expect to know the status of their purchase at every step from order fulfilment, picking and packing to the moment it gets into their hands. Transparency builds trust and could be the difference between a shopper making a purchase or exiting the browser.

“Having clear and timely notifications via email and SMS goes a very long way.”

Furthermore, shoppers want to follow their parcel’s journey at every step without needing to contact either the retailer or the delivery solution provider, she explains. That means it is important that retailers partner with a delivery solutions provider that offers robust tracking solutions and that can offer a nationwide service.

Having an Australian-based customer service team on hand to respond to and resolve delivery issues can make all the difference in not only winning but retaining your customers, she continues. 

The study showed that convenience and choice are critical to shoppers, says Fawthrop. Retailers should provide an express delivery option because two out of five consumers avoid retailers that don’t offer one.

However, she warns that delivery windows still have a place to play. Retailers should ensure that clear estimated delivery times are displayed for both express and standard-delivery options at the point of checkout so shoppers can make informed choices. “Shoppers want the ability to easily specify a safe place to leave their parcels when they’re not at home, including accessible after-hours out-of-home collection points.

“And lastly, where there’s an issue, there’s a strong preference for local real-time accessible customer support.”

Missed opportunities

Retailers who don’t deliver to customers’ needs are going to miss an opportunity to not only retain but build future customer loyalty. Thus, turning the insights from the report into action can give retailers more of a competitive edge. 

“Different demographics and generations demand and prefer different things, so looking into retailers’ target demographic can help them tailor experiences and achieve a perfect balance.”

In the survey, just 55 per cent of shoppers reported satisfaction with consistent on-time delivery, something Fawthrop considers particularly important to Gen Y and Gen X customers, and frequent shoppers – all key demographics for growth for an online retailer. 

One size does not fit all

Tailoring strategies for different demographics and maximising customer satisfaction to increase retention and sales is key to retaining customers and delivering a memorable experience they are likely to share with friends and family. However, Fawthrop warns there is no one-size-fits-all approach. 

“We do need to think about each of those demographics a little differently and tailor our approaches to meet the needs of the groups of customers that we’re targeting. While Gen Z and Gen Y demand convenience, transparency and sustainability, we know baby boomers care about reputation and previous experiences based on positive delivery reviews. 

“But for Gen X, free delivery is almost a must and when it comes to returns and re-commerce, make it simple, no matter who it’s for. Gen Z is a self-serve generation, and baby boomers want a little more support in the returns processes. 

“So one thing we can agree on is the need for multichannel customer support that caters to the specific needs of each demographic.”

When something goes wrong

Fawthrop advises retailers to communicate “early and often” with customers in the event of anticipating something that impacts the delivery process.

“Proactively keeping customers informed, and updating them of progress is critical. Don’t keep them in the dark. Transparency and visibility are critical to the delivery experience.”

• Listen to the Retail Untangled podcast to hear Fawthrop’s three key recommendations to create the perfect delivery solution, how technology can enhance service delivery, and more findings from the Inside Retail and Team Global Express survey. 

Have you caught up on Episode 11 yet? Why customer acquisition and loyalty are retailers’ biggest challenges today.