LONDON--(BUSINESS WIRE)--Brands have battled challenges in 2024 that could unlock growth opportunities in the year ahead. Mastering logistical challenges, including in the delivery process, can create the capability to cut costs, manage risks, boost loyalty and grow revenue.
nShift, the global leader in delivery and experience management today outlines five ways where solving logistical and commercial challenges can create opportunities for future growth.
Johan Hellman, VP Product and Carrier at nShift said: “Brands, retailers and warehouses often view the delivery process as a series of logistical challenges to overcome. But done right, it can help drive revenue growth, unlock savings, build loyalty, and minimize risks.
“When something goes wrong with the delivery, shoppers are likely to abandon the brand or retailer. But when it goes well, they will recommend the business to friends and family. So, getting deliveries right is the best way to make a good first impression.”
1) Scaling up for peak season
2024 problem: businesses needed to increase their delivery capacity by as much as 50% during the busy “golden quarter” at the end of the year. This places a strain on their ability to keep the loyalty-building delivery promise.
2025 opportunity: by expanding the carrier network, retailers can scale up during busy periods. It also means they can offer a wider range of delivery options at checkout. This can increase cart conversions by 20%.
2) Returns: the silent killer of profits
2024 challenge: returns are the “silent killer of profits” in online retail. Without a clear returns policy, people won’t buy. But processing them is costly.
2025 opportunity: a digital returns policy creates the chance for flexibility. A multichannel retailer could charge for returns online but offer them for free if the customer heads into the store. This creates an opportunity to drive traffic to bricks and mortar shops where people will engage in conversations with sales reps.
3) Sustainable shopping
2024 challenge: shoppers continue to demand a more sustainable experience. They want to reduce their carbon footprint.
2025 opportunity: increasing consumer interest in the environment gives brands and retailers the chance to show that the business shares customers’ values. They can do this by offering lower-emissions delivery options at checkout. By tracking and reporting on last-mile emissions, they can demonstrate their environmental progress.
4) Attracting “GenZ shoppers”
2024 challenge: Generation Z, those born after 1997, are gaining serious spending power. And forecasters predict that this spending power will grow to $12 trillion by 20301. As digital natives, they demand more from the online shopping experience.
2025 opportunity: by focusing on the delivery experience, brands and retailers can give young shoppers the choice and flexibility they crave. Alternative delivery options, such as PUDO (pick up / drop off) lockers show shoppers that the business understands their lifestyle and needs. Increasingly, all shoppers – not just the youngest – will crave a “unified retail” experience. This means they will want to shop wherever they are and get their products wherever they are. Done well, deliveries help make this possible.
5) Customer complaints
2024 challenge: brands and retailers spend countless hours dealing with WISMO (where is my order) calls and messages.
2025 opportunity: reliable and user-friendly order tracking can give customers regular updates on the status of their delivery. This can cut WISMO calls by 60%.2 Communications around deliveries and returns are far more likely to be read than other messages from the retailers. So, they are a great place to weave in product promotions.
nShift has launched a new information hub to help retailers and ecommerce businesses make deliveries pay in 2025.
The nShift suite of solutions combines the best aspects of delivery management with customer-facing applications. Our carrier network consists of over 1000 carriers, enabling retailers, vendors and warehouses to operate an end-to-end delivery process from checkout to returns.
About nShift:
nShift’s delivery & experience management platform drives ecommerce success. Grow beyond limits with constant innovation and the world’s largest carrier network. Build customer loyalty with end-to-end tools that enhance experience. Unify data into usable insight that connects and optimizes processes. With nShift, make delivery the essential link between your brand and your customers.
1 https://nielseniq.com/global/en/landing-page/spend-z/
2 https://nshift.com/press/retailers-cut-support-calls-by-60pc-through-regular-communication
