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Home » Last Mile Delivery » Online Shoppers Want Predictability More Than Speed, UPS Capital Says

Online Shoppers Want Predictability More Than Speed, UPS Capital Says

delivering package
A courier delivers a package. Photo: Shutterstock.
April 4, 2022
Helen Atkinson, Managing Editor

See it, buy it, when do I get it?

We’re all familiar with consumers’ need for speedy delivery, as companies like DoorDash Inc., Uber Technologies Inc., Gorillas Technologies GmbH and others vie to ship items to customers in record time. (For many, it’s still a money-losing venture.)

But new research shows shoppers are looking for something else in their delivery options: a more customized experience.

Nearly 70% of consumers are willing to pay for services that would provide enhanced personalization, according to a report from UPS Capital. These services include allowing shoppers to dictate arrival timelines, track packages in real-time, purchase insurance to ensure packages arrive safely and more. They’re also worried about missing and damaged packages, and they’re seeking more control and choices when it comes to the post-purchase experience.

“While two-day shipping has long been considered the e-commerce ‘gold standard,’ today’s consumers have new priorities,” the report's authors wrote. The vast majority (80%) of consumers say they would “prefer other perks" — such as last-mile personalization and access to customer support — over two-day shipping or free shipping.

When asked to rank various personalized options, shoppers placed first, at 74%, the ability to track packages in real time. Further, 72% said they would like to pick an exact package arrival date. Another popular option, at 57%, was access to multiple cost-affordable delivery options — in other words, cheaper, less rapid and possibly more sustainable delivery.

It’s clear that supply chain risks are also top of mind, as nearly half (47%) of shoppers say they would prioritize guaranteed product delivery or product replacement above two-day shipping. Meanwhile, just 36% of merchants anticipated the same. Instead, small and medium-sized merchants surveyed by UPS Capital and Dynata said that customers would value the ability to purchase from a brand whose values align with theirs the most (58%), but in reality, that ranked much lower for shoppers (24%).

All in all, the message may be that brands and retailers aren't in tune with what their customers want.

“Their concern about shipping mishaps outweighs their desire for speed,” the report said.

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