Research: ‘home delivery will soon be a premium service’

By Paazl
December 11, 2017

‘Free home delivery will soon be a thing of the past’. This is one of the key findings in a new study by German economic board ECC, in cooperation with carrier Hermes.

Hit-rate of e-commerce deliveries

The research shows that 80,8% of online shoppers want to receive their order at home. In reality only 61,4% of orders successfully make it to front doors. Alternative delivery options are needed to drive this hit-rate up.

19,2% of German consumers currently embrace these alternatives, with parcel lockers (8,8%) being a strong favourite. But these alternatives come at a price. For this reason the researchers strongly suggest customers need to be made aware that convenience has a price. Free home delivery is simply no longer feasible, especially since carriers are having trouble finding enough drivers to cope with growing demand.

Alternatives: delivery certainty trumps speed

Asked about their delivery desires customers show a strong preference for certainty over speed. 68% for example like the ability to select a delivery date. An even higher 77,3% like to select a time-frame. Sheer speed is not a priority: express delivery and same-day delivery are at the very bottom of the list. Customers are even willing to put their own comfort behind the wellbeing of the planet with ‘climate friendly shipping‘ topping speed.

The future of parcel delivery?

The challenge of delivering at the right place at the right time is a strong driver of innovation. The number of new and alternative delivery options grows by the day. But what innovations do customers really like? According to the study the installation of parcel lockers in homes or apartment buildings has the strongest potential. Delivery by drone, either flying or on the ground, is less far useful according to the panel. The relatively easier-to-execute delivery of parcels in trunks of parked cars is seen as the least useful. Another sign that customers don’t want to give up privacy for convenience?

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