Incisiv and Veho release a study, "Catalyzing Growth: How Last-Mile Delivery Drives Revenue, Boosts Loyalty, and Enhances the Bottom-Line." The report spotlights the transformative role of last-mile delivery in today’s retail and direct-to-consumer (D2C) sectors.
Drawing insights from a survey of 161 retail and direct-to-consumer (D2C) brands across North America, the study reveals a consensus on the importance of offering diverse and flexible last-mile delivery solutions. Notably, 77% of brands emphasize the necessity of a wide range of delivery options for growth, with 81% identifying two-day delivery as critical to satisfying customer expectations.
Giri Agarwal, chief strategy officer at Incisiv, remarks, "Our findings underscore the critical role of last-mile delivery in achieving retail success. In today's competitive landscape, providing swift, flexible and diverse delivery options is indispensable for fostering growth, loyalty and enhanced profitability."
Itamar Zur, CEO and co-founder at Veho, states, "Achieving excellence in last-mile delivery, with a focus on speed, transparency, flexibility and clear communication, is fundamental for retail success. While we know customers not only enjoy but expect a best-in-class experience, it is also abundantly clear that exceptional last-mile delivery and returns drive a meaningful and measurable impact to a brand’s bottom line. "
Key Takeaways:
- An 8.9% increase in e-commerce conversion rates through providing a variety of last-mile delivery options, which empowers shoppers with choice and control, directly influencing buying decisions.
- A 15.3% uplift in net promoter score, showcasing the impact of exceptional delivery experiences on customer loyalty and brand advocacy, with 82% of brands noting improved repurchase rates and loyalty following superior last-mile experiences.
- A 10.6% growth in average order value as a result of fast and flexible delivery offerings, prompting shoppers to make larger purchases.
- Operational cost reductions recognized by 92% of brands, highlighting how effective last-mile strategies can diminish costs related to delivery mishaps, returns and customer service, proving the operational and financial merits of optimizing delivery processes.
