Conclusions from UPS survey-a customer experience study conducted by comscore
To provide perspective for retailers on consumer behavior in today’s fluid shopping culture, UPS commissioned this research with comScore for the third consecutive year.
“Convenience dominates the shopping” Landscape online and in store Comprehensive information is essential Technology adoption changing the dynamics in unexpected ways Logistics plays a key role all along the path to purchase
The shopper and their mindset “flex shopper” demands”: Convenience Efficiency and communications The right information Personalized Shopping
Key take Aways- 94% of all online shoppers have done something to qualify for free shipping 80% think free shipping is the most important thing for online shopping Most common ways - adding more to the cart, replacing with higher priced good, searching for promo codes, etc
The Value Chain-Single platform to search, shop, ship and share-customization
Pre Transaction- Your account-Your preferences- Shipping Rates and Policies-what is cost to ship and flexibility Amazon prime-shipping solution, rewards Manage your content and Devices-engagement
Post Transaction- a. Email notifications-order, process, shipping b. Packing Slip with critical customer and recipient information, gift messages customer service garuantees and contact info, return policy and return label, Bar Code technology used by warehouse to pick, pack and ship order-communicate to all systems c. Returns and replacements
UPS Customization-flexible delivery options-get home delivery on schedule
Why UPS®?With a fleet of nearly 100,000 vehicles, largely the famous brown package cars we’re all so familiar with, UPS® is a recognizable and trusted carrier.
Its vast network includes nearly 2,000 shipping facilities, 40,000 drop boxes and more than 4,500 UPS stores.
With its innovative technology and broad portfolio of solutions, UPS® is paving the way in delivering customer-driven solutions.
In 2014 alone, the company is investing heavily to expand capacity and modernize its delivery hubs.
Customization-Flexible Delivery Options
UPS My Choice® is Available to Your CustomersThe UPS My Choice® program provides customers with the visibility, flexibility and control necessary to manage home deliveries around their busy lives, helping avoid the disappointment associated with missed deliveries.
2.5 Million Customers strong, the program has been shown to significantly reduce the need for multiple delivery attempts, resulting in an improved experience for package recipients. We strongly suggest you promote the UPS My Choice® program in your marketing materials to ensure your customers are receiving the best experience possible from your winery.
Fast & Precise
So lets pull back from same day delivery and see what is considered “standard delivery” these days.
Here are a few of the top 25 internet retailers as identified by Stella Service, a kind of consumer reports monitoring service for eCommerce companies.
These are the times from placing an order, until deliver are the consumers address.
Each company is well under three days, and they all use a Under-promise/ over delivery strategy by beating he promised delivery window…which in Zappos’ words, is a deliberate attempt to “WOW” the customer.
Fast and Precise-warehouse expansion and automation
2012 Acquires Kiva Systems
2013 20 new warehouses
8 in CA, 4 in TX, 2 in NY Metro
Speedy delivery and effective fulfillment operations are such a strategic part of Amazon’s business they recently purchased the leading warehouse robotics and automation company, Kiva Systems for $700M, in an effort to push the development of technology that improves shipping times while reducing errors.
These little orange pods you see are robots bringing racks full of good directly to the person filling the box, rather than the picker walking around the entire warehouse.
In addition, to testing same day service in CA and WA, and building robots, Amazon has plans to open fulfilment centers near every major metro areas in the US. Essentially putting all their fast moving products right in your backyards for next day delivery.
Modern Fulfillment Process –technology enable employees
Bar Code Technology Employees are responsible for four basic tasks: unpacking and inspecting incoming goods; placing goods in storage and recording their location; picking goods from their computer recorded locations to make up an individual shipment; and shipping.
A central computer which records the location of goods and maps out routes for pickers plays a central role; employees carry hand-held computers which communicate with the central computer and monitor their rate of progress. A picker with their cart may walk 10 or more miles a day.
Actual Delivery Times:
Zappos.com- 2.0 days
Newegg.com- 2.3 days
HPShopping.com- 2.5 days
Amazon.com- 2.7 days
Sonystyle.com- 2.8 days
Shipping: Under Promise, Over Deliver