Uber Direct: Gen Z and Millennials are willing to pay extra for same day delivery
A new study commissioned by Uber Direct looking at delivery preferences when ordering online has confirmed that consumers want retailers to provide faster and more convenient delivery options. The research revealed significant variations in expectations when the age of the consumer and the product category were factored in.
The study of 2,014 UK online shoppers, showed a high demand for options such as same-day, on-demand and accurate next-day delivery slots. This included 86% of consumers who said it is important that retailers offered same-day delivery.
However, expectations around these options were much higher among younger shoppers. For instance, almost all (96%) Gen Z participants (18-26 year olds) considered this important – and 69% said they would pay a premium for this service. Almost three quarters (73%) of Baby Boomers (59+ year olds) agreed this was important, but just 32% said they would pay a premium.
In addition to same-day delivery, more than half of consumers (52%) said they were more likely to buy from retailers offering pre-booked 60-minute time slots for next-day delivery. While 41% said the same for both on-demand and same-day delivery, there were notable differences based on product category.
For example, more than three quarters (77%) were interested in on-demand delivery when ordering over-the-counter medicine and flowers – while around two thirds wanted this option for technology and electronics (69%), groceries (66%) and pet food and pet supplies (64%).
Caroline Varga, Head of Uber Direct UK & Ireland, said: “Our key observation from this research is the major differences in attitude towards delivery options based on the age of the consumer and the product category involved. Interest in on-demand and same-day delivery is very high across all categories, but it’s extremely high for products such as over-the-counter medicines and technology.
“It’s also clear the younger age groups, Gen Z and Millennials in particular, are willing to pay extra for this service – so retailers who are looking to enhance the customer journey need to start factoring in these preferences.”
A full report on Uber Direct’s study is available to download here.
