The on-demand economy: I want it all, and I want it now!

By Paazl
October 18, 2017

Not only is the number of consumers ordering things online increasing, consumer are also getting increasingly demanding. Modern day shoppers want to receive their orders faster, with more flexibility, yet without paying much extra. The holy grail in this regard is same-day delivery – ordered now, delivered today. Some interesting facts on this fast-growing delivery service:

Faster delivery, higher conversion

According to recent infographic by 3PL 2flow 49% of consumers say that same day delivery makes them more likely to shop online. It makes sense: if you shop at a brick and mortar store, you immediately get the things you buy – same day delivery offers the same instant satisfaction.

Online retailers can thus gain more customers by adding same day delivery as a delivery option. This doesn’t mean all customers will use the service, but there are always instances when you need that little bid of extra speed.

Willingness to pay for same-day

In a previous survey done in Germany, France, Sweden and the UK McKinsey found that 50 percent of respondents were willing to pay up to 7 euros for a same day delivery for a 59 euro purchase. If the delivery is ‘instant’ (within hours of ordering), the willingness to pay gets even higher. If costs drop to between €3.50 and €4.50 the percentage of those choosing the option even goes up to 70 percent.

What products need same-day delivery?

Not all products require fast delivery. When shopping for flowers or gifts 41% of customers abandon an order if there is no same day option to be found. An equally high abandonment rate of 31% is seen at those who shop for computers: we want our gadgets and we want them now. Home & Garden or Pet Supplies on the other hand do not call for fast despatch.


Delivering faster not only comes at a price, it also comes with some serious challenges. The 2flow infographic highlights three areas of focus, with extra challenges applying to omnichannel retailers. This also helps explain the recent acquisition of same-day delivery expert Parcel by Walmart, in an effort to speed up their delivery in urban areas.

Growing business

Aside from creating challenges, the on-demand industry is also creating some serious job growth. Today over 280 companies are active in the US on-demand industry alone, up from 76 in 2014. And the end of this growth does not seem to be insight any time soon.. Are you ready for age of on-demand?

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