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Online shoppers alienated by poor delivery experiences

Wednesday, May 17th, 2017

Almost four out of five (78%) of UK adults would be likely to switch to an alternative retailer when next shopping for products online if they have a poor ordering and delivery experience, according to the latest JDA/Centiro Customer Pulse Report.

This statistic is worrying for retailers because it comes at a time when problems with online orders are on the increase. The report, which was conducted by YouGov, found that 56% of the UK adults surveyed had experienced a problem with an online order in the last 12 months – up from 53% in the 2016 report and 47% the year before.

Of those who had experienced a problem, 42% had experienced late delivery, 37% had missed a delivery despite being at home, 25% never received an item, and 24% received a damaged item.

On the plus side, the research did show that the take-up of Click&Collect remains high – with 54%of the UK online shoppers surveyed saying they had used it in the last 12 months.

Furthermore, it appears that retailers are addressing the problems customers were previously having with Click & Collect.

The number of UK adults that have used Click & Collect in the last 12 months and experienced an issue with the service fell to 43%; down from 45% in 2016, and 47% in 2015. Among those that experienced problems with a Click & Collect order within the last 12 months, 26% cited long waiting times due to a lack of staff (down from 35% in 2016) and 18% said staff had been unable to locate Click & Collect items in store (down from 32% in 2016).

The report also indicated that retailers are beginning to realise additional benefits from Click & Collect, with nearly a quarter (23%) of these users stating they had made an additional purchase in-store when picking up a Click & Collect order.

Commenting on the findings, Jason Shorrock, vice president, retail strategy EMEA at JDA, said: “As the data shows, UK retailers face a challenge on several fronts when it comes to online shopping. Fulfillment and ‘last-mile’ issues continue to hinder retailers’ efforts at a time when consumers are becoming increasingly intolerant of poor service. Today’s shoppers expect retailers to offer a high-level of service across all channels – those retailers that fail to keep up with demand put themselves in serious danger of being left behind.”

Interestingly, the report indicated that UK shoppers are now “getting real” about delivery charges and are prepared to accept minimum order thresholds for free delivery. Indeed, the research showed that 75% would be willing to exceed a minimum order value in order to qualify for free delivery.

 

 

Source: JDA Software Group

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Online shoppers alienated by poor delivery experiences

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