Online shopping is booming resulting in fierce competition to get goods out quickly and cheaply, according to new research from leading location data and technology platform, HERE Technologies.
The research has revealed that reliance on online shopping has grown in the second year of the pandemic – 44% of Australians stated they have become more reliant on e-commerce this year compared to 37% saying the same in May 2019.
The good news is around three in four Australians (73%) said they have been satisfied with their delivery experiences over the past year. Meanwhile, 81% said their delivery experience impacts future shopping choices, with just 6% saying they would go back to a retailer despite having a poor delivery experience.
“We’re looking at an increasingly competitive retail space as e-commerce is now a go-to for most people, as opposed to just filling a pandemic-induced gap. Pressure on last-mile delivery is increasing as supply chains try to meet the cost and time expectation of consumers,” HERE Technologies director and head of business for Oceania, Daniel Antonello said.
“This is where location intelligence tools such as post-trip analysis and last-mile delivery route planning applications can help alleviate supply chain pressures and give consumers their ideal delivery experiences.”
In terms of what keeps consumers happy with their e-commerce delivery experience, affordable or free delivery costs topped the list, followed by logistical concerns such as the ability to select specific delivery time slots and be prompted by regular delivery updates.
Delivery timeframes of one to two and three to five days were seen as the most acceptable, with just 9% of respondents saying they would be happy to wait five to 12 business days. Over half of Australians surveyed expect to pay nothing for one to two days of delivery, and over two-thirds expect three to five days of delivery to be cost-free.