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Sameday delivery hitting the high street...

October 10, 2017

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Sameday delivery hitting the high street...

October 10, 2017

 

As the demand for same day delivery from both online retailers and traditional High Street outlets gains pace, new research from business postal service Whistl has attempted to garner a greater understanding of the UK market.

 

As described in Post & Parcel "The Whistl study found that a third of UK shoppers are “still happy to receive their orders within two to three days” and over a quarter are willing to wait a week to receive their shopping. However, 12% must have their purchases by the next day and 7% “want same day delivery and nothing else”.

 

These figures add to the research of online publication ecommercenews that states "Consumers in the UK are spending 5.77 billion euros less with their favourite high street retailers online than they would have if there were more delivery options. If same-day delivery was a possible option, 72 percent of consumers would shop more, spending an average of 198 euros extra each year."

 

The real crunch for the UK sameday courier and final mile delivery providers is that there is real disparity in the current research as to whether UK shoppers will actually pay a premium for the enhanced delivery option. ecommercenews believes "The majority of online shoppers in the United Kingdom prefer fast to free delivery, while retailers think these delivery options are equally valued by consumers. Retailers think 43 percent of shoppers want free delivery and 57 percent prefer fast delivery, but in reality it’s 86 percent of UK shoppers who prefer free shipping."

 

This flies in the face of research last year by online start-up "Stuart"  that "shows that almost two-thirds of consumers are willing to pay a premium to get their goods delivered the same day they ordered them. This offers a potential extra 110 million euros in revenue from deliveries alone." Bear in mind that Stuart is headquartered in Barcelona and that the perception of value may be radically different that the UK. What do you think? Would you pay more to have your new trainers delivered the same day?

 

Clearly there is a rapidly growing opportunity, for both retailers and delivery services alike, but will UK shoppers accept that a premium delivery service attracts a premium on the price? Or will the sameday delivery provider be forced to work for less and less? And all in a UK legislative climate that is likely seeking to reign-in and heighten control of the so called "gig economy" on which much of the final mile delivery services are built and operated.

 

Interesting times ahead….. I guess the drones are definitely coming..

 

The Whistl research is can be accessed directly at: http://www.whistl.co.uk/news/brits-spend-over-3-billion-on-impulse-buys-every-month/

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