How to keep a customer for life

BY Australian Retailers Association
11 July 2019

Understanding the ever-changing world of online shopping and how important it is to adopt a customer-first strategy.

In this digital age, retailers must continually adapt, evolve, and develop the best new ways to cater to their customers. With so many options and competitors, the consumer will no longer put up with anything less than convenient from their retailers. They expect a shopping experience tailored to their needs.

Selling the cheapest option or just having free shipping is no longer as appealing to customers as it once was. In an attempt to dive into the mind of the Australian consumer, Parcelpoint conducted researched, to reiterate that there is no one size fits all solution.

Instead, the focus is on providing more choice and flexibility, as consumers aim to fit in their shopping amongst their busy lives. This leads to higher expectations on brands; however, with solutions such as Parcelpoint, the entire process becomes easy.

Customers overwhelmingly prioritised free or low-cost shipping as an important variable when making their buying decisions. Respondents in every age bracket, from 18 – 69 years old, stated the need for low-cost shipping as the most important element. Though it may initially seem like lower cost shipping is a further investment for the business, it results in purchases from customers that may have otherwise abandoned their cart.

Another factor that impacted buying decisions was the speed of shipping. Although overwhelmingly, people chose free or low-cost shipping over the need for speed; choice is the preferred method when it comes to shipping options. Considering things like home delivery, courier delivery, pickup and drop off locations and locker delivery gives the control back to the customer and what suits them.

Expanding on these expectations, Parcelpoint know how important a seamless returns option is when shopping online. Creating an easy returns experience for all customers builds trust with shoppers and gives them complete control over their online shopping journey. Most people say they would purchase more if there were more options and flexibility about how they choose to return their items. This is exactly the same way that people feel about having choice when it comes to delivery speed and costs.

It’s not just us that have found this - in a recent report by ReBOUND; they stated: From our mystery shopping campaign, we found a direct correlation between the number of return methods offered to customers and how convenient they found the overall return process. Over 60% of shoppers stated they found their return experience “very convenient” when a retailer offered three or more return options.

In a time where it is just as easy for customers to go to a new website, it is important to provide them with as many returns options as possible. From courier pick up services to Parcelpoint drop off options, they must all be low cost or, at best, free and easy to work into a busy schedule.

Finally, customers do not want convenience and low-cost to sacrifice the quality of their shipping. Customers want to be able to trust the organisation that is delivering or returning their parcel. Neither the retailer nor the customer wants the products to get lost or damaged, which would only cause headaches for everyone involved. Through using trusted companies such as Parcelpoint and their retail partners, all parties can be ensured that their parcels are taken care of.

About ParcelPoint

Our vision is a world where people are more connected with each other, and their local communities. Where we work together, as neighbours, to help each other. A world where getting a parcel is easy, wherever you are, whenever you like. And so we created PARCELPOINT. For more information, visit www.parcelpoint.com.au

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ABOUT THE AUTHOR

Australian Retailers Association

Founded in 1903, the Australian Retailers Association (ARA) is Australia’s largest retail association representing Australia’s $310 billion sector, which employs more than 1.2 million people. As the retail industry’s peak representative body, the ARA works to ensure retail success by informing, protecting, advocating, educating and saving money for its 7,500 independent and national retail members throughout Australia. For more information, visit www.retail.org.au or call 1300 368 041.

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