{"id":8945,"date":"2023-03-27T12:28:14","date_gmt":"2023-03-27T12:28:14","guid":{"rendered":"https:\/\/dmsretail.com\/RetailNews\/balancing-costs-with-customer-expectations-3-steps-to-win-the-fulfillment-game\/"},"modified":"2023-03-27T12:28:14","modified_gmt":"2023-03-27T12:28:14","slug":"balancing-costs-with-customer-expectations-3-steps-to-win-the-fulfillment-game","status":"publish","type":"post","link":"https:\/\/dmsretail.com\/RetailNews\/balancing-costs-with-customer-expectations-3-steps-to-win-the-fulfillment-game\/","title":{"rendered":"Balancing costs with customer expectations: 3 steps to win the fulfillment game"},"content":{"rendered":"<p> <p><a href=\"https:\/\/dmsretail.com\/online-workshops-list\/\"><img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-full wp-image-496\" src=\"https:\/\/dmsretail.com\/RetailNews\/wp-content\/uploads\/2022\/05\/RETAIL-ONLINE-TRAINING-728-X-90.png\" alt=\"Retail Online Training\" width=\"729\" height=\"91\" srcset=\"https:\/\/dmsretail.com\/RetailNews\/wp-content\/uploads\/2022\/05\/RETAIL-ONLINE-TRAINING-728-X-90.png 729w, https:\/\/dmsretail.com\/RetailNews\/wp-content\/uploads\/2022\/05\/RETAIL-ONLINE-TRAINING-728-X-90-300x37.png 300w\" sizes=\"auto, (max-width: 729px) 100vw, 729px\" \/><\/a><\/p><br \/>\n<\/p>\n<div>\n<p><span><span><span><span><span><span>Online shopping is here to stay \u2014 and so are all the fulfillment challenges that come along with it.\u00a0<\/span><\/span><\/span><\/span><\/span><\/span><\/p>\n<p><span><span><span><span><span><span>More than 60% of consumers now <\/span><\/span><\/span><\/span><\/span><\/span><span><span><span><span><span><span><span><span>expect free shipping orders to arrive within three days<\/span><\/span><\/span><\/span><\/span><\/span><\/span><\/span><span><span><span><span><span><span>, and 93% want to <\/span><\/span><\/span><\/span><\/span><\/span><span><span><span><span><span><span><span><span>stay informed throughout the delivery process<\/span><\/span><\/span><\/span><\/span><\/span><\/span><\/span><span><span><span><span><span><span>. At the same time, fulfillment costs and <\/span><\/span><\/span><\/span><\/span><\/span><span><span><span><span><span><span><span><span>carrier rates are on the rise<\/span><\/span><\/span><\/span><\/span><\/span><\/span><\/span><span><span><span><span><span><span>.\u00a0<\/span><\/span><\/span><\/span><\/span><\/span><\/p>\n<p><span><span><span><span><span><span>It\u2019s all taking a serious <\/span><\/span><\/span><\/span><\/span><\/span><span><span><span><span><span><span><span><span>toll on retail profits<\/span><\/span><\/span><\/span><\/span><\/span><\/span><\/span><span><span><span><span><span><span>. Which means retailers are faced with a difficult choice: Should you focus on delighting consumers or optimizing shipping costs?<\/span><\/span><\/span><\/span><\/span><\/span><span><span><span><span><span><span>\u00a0<\/span><\/span><\/span><\/span><\/span><\/span><\/p>\n<p><span><span><span><span><span><span>With the right strategies in place, you can achieve both at the same time. Here\u2019s how:<\/span><\/span><\/span><\/span><\/span><\/span><\/p>\n<h4><span><span><span><span><span><span>Step 1: Make promises you can keep <\/span><\/span><\/span><\/span><\/span><\/span><\/h4>\n<p><span><span><span><span><span><span>Free shipping, fast delivery, timely updates\u2026online shoppers expect all this and more. But while it can be tempting to focus solely on guarantees of speed and convenience, those aren\u2019t the only factors that matter to consumers. You need to deliver on your promises, too. An astounding 85% of consumers <\/span><\/span><\/span><\/span><\/span><\/span><span><span><span><span><span><span><span><span>will not shop with a retailer again<\/span><\/span><\/span><\/span><\/span><\/span><\/span><\/span><span><span><span><span><span><span> after a poor delivery experience. Yet in the rush to capture sales, many make competitive promises that aren\u2019t always possible to keep \u2014 often for reasons beyond their control.<\/span><\/span><\/span><\/span><\/span><\/span><\/p>\n<p><span><span><span><span><span><span>Thankfully, there are plenty of other compelling levers you can pull to win more sales and repeat customers \u2014 ones that are relatively easy to achieve.<\/span><\/span><\/span><\/span><\/span><\/span><\/p>\n<p><span><span><span><span><span><span>For example, when was the last time you evaluated your product data? In <\/span><\/span><\/span><\/span><\/span><\/span><span><span><span><span><span><span><span><span>one study<\/span><\/span><\/span><\/span><\/span><\/span><\/span><\/span><span><span><span><span><span><span>, less than half of brand manufacturers believed online information about their products was completely accurate. Which is unfortunate, since inaccurate product descriptions can have a big impact on fulfillment. They set the wrong expectations for consumers and can cause spikes in returns, chargebacks and negative reviews. In these instances, fast deliveries won&#8217;t matter. You&#8217;ll still end up with the extra expense of reverse logistics.<\/span><\/span><\/span><\/span><\/span><\/span><\/p>\n<p><span><span><span><span><span><span>Then there&#8217;s the issue of cost transparency. Online shoppers frequently compare prices across platforms before making a purchase, and they&#8217;re not just looking at delivery dates. Nearly 80% are <\/span><\/span><\/span><\/span><\/span><\/span><span><span><span><span><span><span><span><span>willing to buy more just to get free shipping<\/span><\/span><\/span><\/span><\/span><\/span><\/span><\/span><span><span><span><span><span><span> and don\u2019t mind waiting a few extra days for their orders to arrive.<\/span><\/span><\/span><\/span><\/span><\/span><\/p>\n<p><span><span><span><span><span><span>It means less pressure to promise overly aggressive delivery speeds \u2014 and more opportunities to increase sales.<\/span><\/span><\/span><\/span><\/span><\/span><\/p>\n<h4><span><span><span><span><span><span>Step 2: Make your promises profitable <\/span><\/span><\/span><\/span><\/span><\/span><\/h4>\n<p><span><span><span><span><span><span>Capturing the sale is one thing. But how much will it cost? It all depends on the steps you take to optimize fulfillment. You need to package each order in the right box, at the right warehouse, with the optimal carrier method. This is crucial. And with the latest advancements in e-commerce software, it\u2019s getting a lot easier to do.<\/span><\/span><\/span><\/span><\/span><\/span><\/p>\n<p><span><span><span><span><span><span>In some instances, retailers are simply using advanced algorithms to consolidate orders. By delivering more parcels to the same address with fewer truck stops, they\u2019re able to optimize fulfillment costs while simultaneously delighting consumers.<\/span><\/span><\/span><\/span><\/span><\/span><\/p>\n<p><span><span><span><span><span><span>In other scenarios, retailers are discovering the value of integrating rate shopping into the consumer experience. Does someone live particularly close to a warehouse? With self-serve rate shopping, you could offer one-day shipping at no extra cost. Do you have an extensive network? Consider letting consumers self-select carriers, delivery times or even fulfillment methods with options like local pickup.<\/span><\/span><\/span><\/span><\/span><\/span><\/p>\n<h4><span><span><span><span><span><span>Step 3: Keep customers coming back for more <\/span><\/span><\/span><\/span><\/span><\/span><\/h4>\n<p><span><span><span><span><span><span>Even when using the strategies above, some late deliveries will still be inevitable. In these instances, it\u2019s how the retailer responds that matters most. In fact, many retailers are driving repeat purchases simply by knowing when (and how) to turn bad experiences into good ones.\u00a0<\/span><\/span><\/span><\/span><\/span><\/span><\/p>\n<p><span><span><span><span><span><span>Nine in 10 consumers will buy from a brand again after <\/span><\/span><\/span><\/span><\/span><\/span><span><span><span><span><span><span><span><span>experiencing excellent customer service<\/span><\/span><\/span><\/span><\/span><\/span><\/span><\/span><span><span><span><span><span><span>, and they<\/span><\/span><\/span><\/span><\/span><\/span><span><span><span><span><span><span> <\/span><\/span><\/span><\/span><\/span><\/span><span><span><span><span><span><span><span><span>spend 140% more<\/span><\/span><\/span><\/span><\/span><\/span><\/span><\/span><span><span><span><span><span><span> than those who don\u2019t. Even something as simple as a credit or coupon for a future purchase can go a long way in building loyalty.\u00a0<\/span><\/span><\/span><\/span><\/span><\/span><\/p>\n<p><span><span><span><span><span><span>At the same time, an estimated 47% of online shoppers say they <\/span><\/span><\/span><\/span><\/span><\/span><span><span><span><span><span><span><span><span>won&#8217;t order again from a seller with poor delivery visibility<\/span><\/span><\/span><\/span><\/span><\/span><\/span><\/span><span><span><span><span><span><span>, which makes email and SMS delivery updates equally important. This transparency is quickly becoming one of <\/span><\/span><\/span><\/span><\/span><\/span><span><span><span><span><em><span>the <\/span><\/em><\/span><\/span><\/span><\/span><span><span><span><span><span><span>best ways to optimize the consumer experience.<\/span><\/span><\/span><\/span><\/span><\/span><\/p>\n<p><span><span><span><span><span><span>The bottom line is this: Creating delightful delivery experiences doesn\u2019t have to be a drag on profits. By focusing on the three areas described above, retailers have a tremendous opportunity to not only exceed expectations but optimize shipping costs, too. It means less expense for you, and more choice for your consumers.<\/span><\/span><\/span><\/span><\/span><\/span><\/p>\n<\/p><\/div>\n<p><p><a href=\"https:\/\/dmsretail.com\/online-workshops-list\/\"><img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-full wp-image-496\" src=\"https:\/\/dmsretail.com\/RetailNews\/wp-content\/uploads\/2022\/05\/RETAIL-ONLINE-TRAINING-728-X-90.png\" alt=\"Retail Online Training\" width=\"729\" height=\"91\" srcset=\"https:\/\/dmsretail.com\/RetailNews\/wp-content\/uploads\/2022\/05\/RETAIL-ONLINE-TRAINING-728-X-90.png 729w, https:\/\/dmsretail.com\/RetailNews\/wp-content\/uploads\/2022\/05\/RETAIL-ONLINE-TRAINING-728-X-90-300x37.png 300w\" sizes=\"auto, (max-width: 729px) 100vw, 729px\" \/><\/a><\/p><br \/><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Online shopping is here to stay \u2014 and so are all the fulfillment challenges that come along with it.\u00a0 More than 60% of consumers now [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":8946,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[],"class_list":["post-8945","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-blog"],"_links":{"self":[{"href":"https:\/\/dmsretail.com\/RetailNews\/wp-json\/wp\/v2\/posts\/8945","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/dmsretail.com\/RetailNews\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dmsretail.com\/RetailNews\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dmsretail.com\/RetailNews\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/dmsretail.com\/RetailNews\/wp-json\/wp\/v2\/comments?post=8945"}],"version-history":[{"count":0,"href":"https:\/\/dmsretail.com\/RetailNews\/wp-json\/wp\/v2\/posts\/8945\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/dmsretail.com\/RetailNews\/wp-json\/wp\/v2\/media\/8946"}],"wp:attachment":[{"href":"https:\/\/dmsretail.com\/RetailNews\/wp-json\/wp\/v2\/media?parent=8945"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dmsretail.com\/RetailNews\/wp-json\/wp\/v2\/categories?post=8945"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dmsretail.com\/RetailNews\/wp-json\/wp\/v2\/tags?post=8945"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}