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Ten ways Delivery can help convert and retain customers Patrick Wall, CEO, MetaPack Ecommerce Expo 2009.

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Presentation on theme: "Ten ways Delivery can help convert and retain customers Patrick Wall, CEO, MetaPack Ecommerce Expo 2009."— Presentation transcript:

1 Ten ways Delivery can help convert and retain customers Patrick Wall, CEO, MetaPack Ecommerce Expo 2009

2 10 ways delivery can convert and retain Convert during browse: delivery information Convert at check out: delivery options Convert at check out: low delivery price Convert at check out: acceptable returns Convert overseas: international delivery Retention: customer care Retention: delighting customers Retention: first time delivery success Retention: supplier direct delivery Retention: reputation and referrals

3 Convert during browse: delivery information 90% of shoppers surveyed said that it was important for them to have clear delivery information before they place their order* Detailed delivery information which is easy to find Delivery information for each product as customer browses Internet Delivery is Safe (IDIS) accreditation mark Reassure, no surprises *Royal Mail Trend research 2009

4 Customer case: Comet Product specific delivery information Video on delivery services

5 Convert at check out: delivery options 18% of those who have abandoned a cart gave the reason of the delivery options did not suit them* Offer a range of delivery options to suit your customers lifestyles Provide enhanced options for customers who may need things quicker Make redelivery a quick and simple process *Royal Mail Trend research 2009

6 Customer case: ASOS.com same day

7 Convert at check out: low delivery price 52% of those who have abandoned a cart gave the reason of not being happy with the delivery charge* Many retailers now offer lower costs or free standard delivery– its become a competitive strategy To drive costs down: Operate a multi-carrier strategy – choosing the most efficient carrier for each job Drive down operational costs by reducing manual processes Increase first time delivery success *Royal Mail Trend research 2009

8 Customer case: Lighting Direct Free delivery on orders over £145 and detailed price brackets Lighting Direct use multiple carriers MetaPack has helped us by saving time deciding which carrier is the most economical for each parcel that we despatch. Gary Berg, Managing Director, Lighting Direct MetaPack has helped us by saving time deciding which carrier is the most economical for each parcel that we despatch. Gary Berg, Managing Director, Lighting Direct

9 Convert at checkout: acceptable returns 34% of home shoppers return items* When asked what would cause someone not to shop with a retailer again, 79% said a difficult returns process* Returns can be an area of competitive advantage *Royal Mail Trend research 2009

10 Customer case: Dixons Customer services book collections for return through MetaPack. MetaPack then sends the shopper an confirming the collection and a copy of the label to affix to the parcel.

11 Convert overseas: international delivery There is a strong market overseas that can be tapped with automated international delivery Europe is relatively straight forward Rest of the world documentation can be printed automatically DDU is common but DDP is increasing

12 Customer case: M&S

13 Retention: customer care Communication is key in setting delivery expectations 74% agreed that they would like to be kept informed as to the stage the delivery is at* Thats 30% more than 2008 figures* Self tracking reassures the customer and lowers inbound call costs Maintains psychological involvement with the purchase Lets them know what to do if there is a problem *Royal Mail Trend research 2009

14 Customer case: Asos.com Appropriate tracking capabilities and providing the tracking codes directly to the customers reduce the number of customers ing in." Stuart Hill, Head of Customer Logistics, Asos Appropriate tracking capabilities and providing the tracking codes directly to the customers reduce the number of customers ing in." Stuart Hill, Head of Customer Logistics, Asos

15 Retention: delighting customers Carriers are a mission critical aspect of online retailers businesses Pro-active customer care turns a problem into a positive Let the customer know that you are in charge Provide convenient delivery options

16 Customer case: John Lewis Automatic sent to customer services in the event of carrier delays, requesting they contact the customer

17 Retention: supplier direct delivery Supplier Direct: extend offer while reducing working capital – giving customers more choice One of the biggest concerns is the loss of control over delivery and disparity in the customers last mile experience All of this excellent service can be experienced even when a product is despatched direct from the supplier

18 Customer case: Halfords Our dropship service has given a greater level of visibility which enables us to continue to provide a consistently high level of customer service. Jon Asbury, Multi-Channel Development Manager at Halfords

19 Retention: first time delivery success £420 million of direct costs will result from inefficiencies and failures* IMRG estimates that £4 billion per annum of benefit is currently available by resolving delivery inefficiencies* The right options, the right carrier, the correct despatch time all increase first time delivery success *IMRG Valuing Home Delivery report

20 Delivery solution Tube map

21 Retention: reputation and referrals Combine all this and your reputation grows


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