Speedy, convenient fulfillment has become one of the critical battlegrounds in ecommerce. Across the globe retailers are fighting to create demand and competition for market share through named day and speedier delivery. However, it's the last mile that often causes the biggest problems.
Discover how to increase deliverability
The push for greater speed in online delivery is growing and filtering into cross-border commerce. But the same customers that expect express shipping, are also the same customers who provide inaccurate address data which inevitably leads to failed deliveries of their orders. Yet customers do not realise that providing incorrect details is a part of the problem. This often means that consumers channel their frustration with missing orders towards the retailer, causing lost sales further down the line.
According to research by MetaPack 5% of all online orders fail to make it to their intended location. And as far as consumers are concerned the buck stops with the retailer when something goes wrong.
Customer data degrades on average by 13% and business data by 37% each year. That means returned mail, email bounces, lost revenue, operational costs, and customer complaints.
The average cost of a failed delivery is £14.83 (€14.87 | $16.58). Besides redelivery costs and customer service team interaction there is also an adverse effect on brand reputation and future loss of sales.
19% of failed deliveries are due to inaccurate delivery address details. However, only 9% of customers see providing incorrect address details as a cause of failed deliveries.
With nearly 40% of consumers wanting online orders to arrive in two days, it is paramount that your fulfillment strategy is fully optimised to deliver on that promise. Whether you handle the last-mile delivery yourself or rely on third-party fulfillment services, you can reduce delivery errors and thereby meet your customers' delivery expectations by simply adding address capture to your existing platform.
Research found that 1 in 20 online orders are not delivered on the first attempt which can lead to high costs. Failed deliveries cost retailers in a variety of ways. In fact, when we spoke to over 300 retailers in the U.S., U.K. and Germany, 65% of them said that failed or late deliveries are a significant cost to their business.
To ensure a speedy international delivery a standardised address in the right format of the destination country is critical. Loqate’s address capture can improve on-time delivery rates through better data quality as it makes sure the delivery address is correct. Accurate address data at the point of entry will also reduce the need to clean the data once it’s in your database, speed up data entry and avoid typos.
See Address Capture in action
Many ecommerce businesses share order status updates, important account information, new product offers and other engaging brand messages by email, making the importance of email delivery a cornerstone for a satisfactory customer journey. With the knowledge that 10% or email addresses are entered incorrectly at the checkout, you can see why verifying an email address at point of entry is crucial for building a strong customer relationship. Our email validation makes sure that your emails will be successfully delivered to your customer's inbox.
If you aren't checking the phone numbers you are capturing are correct, then how can you expect to create that seamless customer experience? From delivery updates on when to expect their order to product information - your customers are relying on you to make sure you have their details correct. Informed and engaged customers are loyal customers. Our phone number validation product improves retention and repeat order rates by keeping customers informed throughout their journey.
Check out phone validation
Retailers are identifying that location data must be reflected in online fulfillment, with industry surveys suggesting there is demand for transparency, such as regular updates on parcel location, and flexibility in the form of post-purchase delivery location changes.
Location data also plays a crucial part in last-mile logistics innovations such as the use of the Amazon key app, which allows its drivers to deliver goods to people's parked cars. In order to future proof and easily adopt new and emerging delivery methods, such as drone delivery, retailers should further enhance an address through the use of geocodes. Geocode and reverse geocode will help optimise routes and give an exact location where the parcel should be delivered, enhancing a speedy on-time delivery.
Discover what Geocodes can do
Let us know by filling in the form below and we will be in touch to discuss how we can help you improve last-mile logistics.