Retailers are taking no chances with online order expectations this holiday season as they are trying to push more e-commerce deals ahead of the big day with free delivery options and personal pricing options to loyal customers.
However, 80% of those retailers surveyed by Prosper Insights & Analytics said they will set their standard shipping deadlines for guaranteed Christmas delivery to expire at least one full week before the holiday.
“It’s important to remember that the 2013 holiday season was impacted by a multitude of factors that affected the supply chain in the days leading up to Christmas, including bad weather and a shortened holiday calendar. That said, retailers and their delivery partners this year are proactively planning to make sure they meet customer expectations for delivery and customer service,” said Shop.org Executive Director Vicki Cantrell.
“In addition to ramping up their online promotions earlier to entice customers to start shopping earlier in the season, many companies this year also have invested in functionalities such as live chat, checking in-store product availability and buy online – pick up in store.”
Cantrell said 92.3% of the retailers surveyed this do planned to offer free standard shipping of some sort this holiday season. But the majority are moving the guaranteed deadline up from past years. Shop.org reports that retailer investment ahead of this holiday season was most heavily linked to improving e-commerce ordering, fulfillment and delivery capabilities. Some 41.3% have invested significantly in live chat, and more than one-third (34.5%) noted they have invested in technologies that allow shoppers to check in-store availability.
Other areas of investment include shipping deadline calendars (30.9%), “ship from store” functionalities (27.3%) and buy online – pick up in store services (25.5%).
While retailers would like to see shoppers order early they know plenty will wait until the last week ahead of the holiday so about one in five companies said they plant to offer a free or upgraded expedited shipping promotion will give customers until Tuesday, Dec. 23 to take advantage of the offer.
More than half (56.6%) of retailers surveyed who plan to offer express two-day shipping say their deadline for guaranteed Christmas delivery will expire on or before Sunday, Dec. 21.
“Consumers now have more tools at their disposal when it comes to connecting with retailers, and as online shopping continues to grow, more shoppers this holiday season will look for specific online promotions as a way to find the perfect gift at the right price,” said Prosper’s Principal Analyst Pam Goodfellow. “Possibly having learned from their procrastination last holiday season and with another shortened holiday calendar ahead of us, shoppers could start looking for those shipping offers sooner rather than later this year.”
When it comes to one-day express shipping, half (50%) are comfortable offering express one-day or overnight shipping as late as Tuesday, Dec. 23 for a guaranteed Christmas delivery.