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Good Shipping Practice Matters – Here’s Why

A recent survey shows that up to 84% of a company’s existing customers will not give them a second chance if they experience a bad delivery experience

As startling as these figures may be, customers’ expectations for top-class shipping and delivery services in the post-Covid world are exponential. It is partly due to the fact that retail giants such as Amazon raise the bar for stellar shipping and quick delivery options. However, as more companies, big and small, continue to transition to the online platform, customers are spoilt for choice, so they will not stick with a business that has substandard shipping services. 

Here are the top reasons why a great shipping practice can be transformative for your business.  

Inspiring Customer Loyalty 

Customers love it when a brand offers a great shipping experience by offering several delivery options, is transparent about the delivery/cost and is quick to deliver. In addition, when your brand proves its fair and reliable shipping practices, customers will not hesitate to be loyal and continue to repurchase from you

For e-commerce businesses, establishing a loyal customer base can be beneficial for your brand image and keeping your revenue statistics very steady. In addition, loyal customers develop an emotional connection with a brand that is invaluable for the company’s sustainable growth. A loyal customer base can also be a great strategy for attracting new customers since a happy customer is your best advertisement through word of mouth. 

Customer loyalty is tightly related to the overall shopping experience, so continue to implement good shipping practices by providing personalized packaging and being quick to resolve shipping/delivery issues, so your customers put their complete trust in your business. 

Customer Retention 

According to one study, more than 83% of customers say a negative shipping experience would deter them from repurchasing a brand. This data directly translates to the bounce rate and the customers’ intolerance for poor delivery/shipping experience. 

It is a known fact that companies spend up to five times more in advertising costs to attract new customers than to make the old ones stay. On the other hand, companies that successfully retain existing customers can increase their profit margins anywhere from 25% to 95%, which is a significant amount. 

So what makes the customer stay?

Easy return policies with little to no shipping fees are very attractive to customers. Up to 62% of customers say that paying for a return package and posting can be frustrating. So aim for flexible and customer-centric return policies with free or minimal charges. 

In addition, delivering accurate orders in perfect condition without any damage is also vital to keeping customers happy. E-commerce brands and companies that own up to their mistakes and rectify a delivery or shipping experience are also likely to dispel negative perceptions from the customers. 

Continuing Customer Satisfaction 

Customers are the heart of every business because there would be no business without them. And customer satisfaction has become a necessity, especially in the post-pandemic world where buyers are finicky and have endless choices readily available. 

Data on PWC shows that 17% of buyers will not hesitate to leave a company after just one episode of a bad experience, but you can lose up to 59%, including existing customers, if you consistently give out bad service. 

More than 80% of customers in the US agree that efficiency – friendly customer service, knowledgeable help, and speed of delivery are the top ingredients for the ultimate customer satisfaction.  

In addition to stellar customer service, provide real-time updates through email and SMS for domestic and international shipping services for customers to stay in the loop about their orders. For a memorable shipping experience, customers also appreciate personalized packaging with sustainable and recyclable materials.  

Increasing Human Interaction for Superior Customer Experience 

Globally, customers indicate the importance and the value of human interaction over automated ones. This information is available on a customer report in PWC

The need for real human interactions is not isolated to one region on the planet. On average, up to 75% of customers from several countries, including the UK, US, Argentina, Singapore, Germany, and Australia, say that interacting with a human improves their overall customer experience even as technology gets better over time. 

Providing customer care support with well-trained and knowledgeable employees can make a great difference with improved interaction. In addition, when customers interact with real humans, they feel valued and understood, which fosters an emotional connection with your brand or the company. Consumers also feel that interacting with human employees also made them feel that the company understood their needs (the same goes for an e-commerce business as well).

Free advertising from Satisfied Customers 

Statistics reveal that word-of-mouth advertising is more result-oriented than paid ads. On average, this free form of advertising or referrals through satisfied clients drives up to $6 trillion accounting for more than 13% of annual global sales. 

In addition, word of mouth can also increase brand affinity and is one of the most effective strategies used by marketers in recent years. Up to 64% of the top marketers say that word of mouth and referral by happy customers is a very powerful form of advertising

Apart from marketing, satisfied customers can also drive sales and increase a brand’s value with old and new customers. As much as 90% of online shoppers trust a brand when recommended by other people, including family, friends, and even strangers. 

Conversely, up to 21% of consumers will completely avoid a brand or a company if someone talks about a bad shopping and shipping experience from a brand.

Wrapping up

Historically, customers have always had expectations from the brands and companies they do business with. However, online buyers’ overall shopping and shipping needs in recent years have undergone a tectonic shift. So the need for stellar shipping practices has become paramount for e-commerce brands. 

Consider a shipping strategy overhaul if your shipping and order fulfillment are consistently performing below the 95% mark. This can include collaborating with third-party shipping companies, investing in technology to automate the different aspects of shipping and training your employees to handle irate customers with professional calm and ease. 

Cantec Couriers is ready to meet your shipping needs. Contact one of our customer service reps to get started today!