Executive Briefings

Retailers Who Fail to Get Home Delivery Right First Time May Not Get Second Chance

Home delivery is shaping up to be the sticky widget in retailers' toolboxes this holiday season - and one that could affect customer loyalty for a long time to come - as half of all consumers won't give merchants a second chance following a disappointing online experience.

Shoppers are looking for convenience this holiday season, and if they don't find it on a merchant's site, expect them to go elsewhere: 33 percent of shoppers said they would head to a competitor that offers a more convenient or streamlined shopping experience. This is true not only during Black Friday and Cyber Monday, but also throughout the year, according to a recent survey by JDA Software.

Several new features offered this season could create problems for retailers if not executed well. Particularly precarious is the buy online and pick up in-store option. One in four shoppers have already used this service and appreciated the convenience, and nearly half of all shoppers plan to try BOPIS this season, according to the National Retail Federation.

But roughly 40 percent of those shoppers experienced an employee-related BOPIS issue with damaging results. Whether a store associate couldn't locate an item or a system error was encountered, shoppers will be unlikely to try that retailer or its services again. Retailers struggling to match the back-end capabilities to front-end expectations could suffer negative consequences long past the holidays.

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Shoppers are looking for convenience this holiday season, and if they don't find it on a merchant's site, expect them to go elsewhere: 33 percent of shoppers said they would head to a competitor that offers a more convenient or streamlined shopping experience. This is true not only during Black Friday and Cyber Monday, but also throughout the year, according to a recent survey by JDA Software.

Several new features offered this season could create problems for retailers if not executed well. Particularly precarious is the buy online and pick up in-store option. One in four shoppers have already used this service and appreciated the convenience, and nearly half of all shoppers plan to try BOPIS this season, according to the National Retail Federation.

But roughly 40 percent of those shoppers experienced an employee-related BOPIS issue with damaging results. Whether a store associate couldn't locate an item or a system error was encountered, shoppers will be unlikely to try that retailer or its services again. Retailers struggling to match the back-end capabilities to front-end expectations could suffer negative consequences long past the holidays.

Read Full Article