The document discusses the challenges of delivery for ecommerce retailers during Black Friday. Delivery has become the most disruptive aspect of ecommerce. The document questions whether current delivery strategies are sustainable and who owns the delivery proposition. It outlines several innovations in delivery from Amazon and Uber, including drone deliveries, mobile truck deliveries, and deliveries to car boots. The document also discusses the importance of returns policies and notes that delivery and returns options are crucial for many shoppers.
17. 1717
Returns
71%
Always check a retailer’s returns
policy before completing an order
40%
Have shopped elsewhere if they didn’t
like a retailer’s returns policy
24. of 18 to 24 year olds that say
delivery is a crucial part of the
whole shopping process
86%
Source: Understanding delivery in the digital age: Retail Week Guide: 2015
57.1 billion yuan – GMV
38 minutes to 10 billion yuan GMV vs 5 hours 49 minutes in 2013
279 million orders
2.85 million transactions per minute at peak
27,000 brands participated
217 countries and regions joined in
All Saints – link in with Amazon Prime –
34% higher basket conversions.
Consumers use their Amazon login and payment and delivery for the “VIP pass to the internet” All Saints CEO
Google Express
Free delivery (next day) all year for $95 / £60 per year for local stores.
Target, Toys R Us, Wholefoods, Costco
Google has stated recently that Amazon are now their biggest competitor in search – not Bing
"We're pleased the FAA has granted our petition for this stage of R&D experimentation, and we look forward to working with the agency for permission to deliver Prime Air service to customers in the United States safely and soon," said Paul Misener, Amazon vice president for global public policy.
To conduct research for a proposed drone-delivery program, Amazon will be able to fly up to 400 feet high at up to 100 miles an hour over private property and within sight of the remote-control pilot or a designated observer. The flights are supposed to remain at least 500 feet away from other people.
SEATTLE
Online retail giant Amazon is testing a shopping service in the US that allows customers to pick up selected goods from a ‘Treasure Truck’.
The etailer is driving around neighbourhoods in a truck filled with in-demand, limited-quantity products that are on sale for one day only. The service is being tested in Seattle as part of a limited trial.
To use the service, which runs “several” days a week, shoppers living in the city will be able to see what is on the truck on any given day by selecting the Treasure Truck option on the Amazon mobile shopping app and click “buy now” if they want to make a purchase.
Consumers can then select a time slot and one of the pre-determined locations from which to pick up their goods from the vehicle.
Customers can also search for the truck, show up and purchase goods without ordering in advance using the app.
On its website, Amazon compared the Treasure Truck to a “neighbourhood ice cream truck” and called it a “four-wheeled joy machine”.
Interactive experience
The truck, which hits the road for the first time tomorrow (June 27), will be stocked with $99 (£63) inflatable paddleboards, which usually retail for $476.99 (£303).
Its website also promotes future deals on porterhouse steaks and knife sets, which will also be on sale in Seattle during the trial. The number of items stocked on the truck will vary depending on the offer.
An Amazon spokesman said: “It’s a fun, interactive experience that provides access to highly desirable products, many of which they can’t find anywhere else or are only available in the limited quantity that the truck holds.
“Selection is very important to customers and this is another way to offer them unique selection.”
Amazon has not revealed any plans to take the Treasure Truck to other cities or markets outside of the US.
The experiment comes at a time when other US retailers are trialling local pick-up propositions. The likes of Target and Best Buy have signed up to Curbside, a mobile app that allows shoppers to purchase goods from certain retailers and pick them up without leaving their cars.
Amazon is testing an addition to its Prime subscription postal service that will see parcels delivered directly to customer’s cars.
The pilot service is a partnership between Amazon, DHL and Audi, and will allow a small group of Prime subscribers in Munich, Germany, to receive deliveries straight to the boots of their cars.
Michael Pasch, Amazon’s director of Prime for Europe, explained that the pilot scheme is an attempt to give customers another option for receiving goods and reduce the number of failed deliveries.
Customers indicate the approximate location of their car when ordering goods. The delivery driver is given temporary keyless access to open the boot of the car only, which is removed when the boot is shut.
The delivery driver tracks and locates the car for a set period covering the delivery window. The cars in the pilot scheme will be specially modified to allow tracking and the one-time keyless entry to the boot.
The pilot will commence in May. Amazon is also working on a system that will allow customers to return goods via the boots of their cars.
Amazon prime now launched in London based on a hub in East London for same day and 1 hour slot delivery.
Limited stock and through a mobile app
Amazon has propelled its "Prime Now" delivery service in London, denoting its first development outside of the US. The one-hour service, which initially launched in New York toward the end of last year, guarantees one-hour delivery of "thousands" of things for an expense of £6.99 (approx $10.9) per conveyance. The two-hour conveyance will be free in the time slot, 8 AM to midnight.
biggest disruption - what if HOW you received your parcel wasn't through a carrier?
the rise of a flexible point to point delivery network
Tictail recently expanded their business of providing websites for small independent retailers by enabling those retailers to offer one-hour delivery via Uber drivers, with no extra cost to the customer. Sellers who took advantage of this offering reported a 500% increase in sales.