Exploring consumer demand for quick delivery Instant gratification is not exactly a new phenomenon. Impulse shopping is a mainstay among consumers, and it accounts for a decent percentage of all buying in brick-and-mortar stores. The challenge for retailers is to never minimize its impact, whether you sell from a physical location accessible to customers, or operate exclusively online, joining hundreds of thousands of e-commerce merchants. Supply chain issues reared their ugly heads following the start of the global Covid-19 pandemic, but they did not resolve themselves quickly. In fact. Four years after the initial business and personal trauma related to shutdowns and global disruptions, there are still elements needing ironing out. Brick-and-mortar stores are not receiving timely deliveries, due in part to inventory shortages and to backlogs and glitches at international ports. For e-commerce sellers, this is a double whammy. Acquiring inventory takes longer, even if your delivery to consumers is handled by a third party or shipped direct from distributors. And if you manage your own shipping duties, you’ve noticed the dramatic increase in costs spread among all entities (USPS, UPS, FedEx, and more). At the same time, shipping services continue to stretch out delivery dates. It’s a genuine problem. Your business model is based on the rapid turnaround time consumers expect. So what do you do? Analysts have a few pieces of advice, though no quick fixes. Consider these options:
Finally, the emergence of AS (Anticipatory Shipping) has been a lifesaver for mid- to higher-volume merchants taking advantage of tools that evaluate and project consumer purchases. These will streamline choices of delivery agents. techDetector explains this masterfully. Photo by CHUTTERSNAP on Unsplash
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Not that you needed more bad news to round out the myriad chaos surrounding the Covid-19 pandemic, but it could throw a curve into your business. And in a very, very bad way.
For a multitude of possible reasons, mail delivery through the United States Post Office has hit a major snag. Formerly a reliable service with on-time deliveries, the mother of all shipping magnates is bogged down with complications from various factors including sheer volume, employee shortages, and political wrangling. An internal memo leaked to the press reveals that carriers are instructed to avoid overtime and unnecessary delays by leaving some mail at distribution centers if it may cause them to spend more time on their shift. A baffling development for the hundreds-year-old icon of delivery, this new policy follows a series of high-profile changes and concerns. We’ll leave the messy controversy over this administration’s newly appointed Postmaster General alone for now, saying only that allegations of attempted election suppression are not helping. But the upshot is that mail delivery is increasingly faulty and late, with packages delivered to wrong addresses, delivered late, or not delivered at all. Bad for ecommerce. The US Post Office experienced a massive $4.5 billion loss in revenues after its second quarter of this year. The reasons for that are complex and varied. The government-contracted agency is forced to find cost-cutting measures. For obvious reasons, this is an unimaginable ecommerce nightmare. Doing your part as a vendor to market, lure, sell, and package merchandise is hard enough. Now knowing that your good faith attempts to get it sent to buyers may be in vain is more than you should have to accept. Pres. Trump has suggested the USPS triple or quadruple shipping prices. While some don’t take that seriously, it implies an intent to adjust pricing, at very least. That will impact your bottom line. |
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