We close off an eventful September back in Asia with Singapore’s Home Delivery Asia! Earlier this week, our CEO Dr Arne Jeroschewski was invited to present at Home Delivery Asia, where he shared insights on how data and technology can unlock the possibilities of e-commerce logistics.
For instance, retailers may be working with multiple carriers, and understandably, each company has their own system. While data is available, they come in different languages, and unstandardized. Parcel Perform aggregates logistics data into one platform, and standardizes it into an intuitive interface, to enable greater visibility of the entire supply chain.
Did you know the peak season often accounts for as much as 30% of a retailer’s total sales for the entire year? With preparations now in full force, how can retailers maximize the opportunities for growth and brand discovery over the next few months?
Below, we share some key takeaways we learnt from the 2-day conference:
1. The delivery experience determines whether your customers stay with you after their first purchase
After clicking on the buy button, customers want to know when they will be receiving their parcels. You need to provide an easy way to access crucial delivery information after checkout. Even better, have updates proactively delivered to your customers to keep them updated on the journey of their order.
While it’s common for retailers to outsource their logistics to other partners, consumers believe it’s the brand’s responsibility to ensure their logistics partners deliver a positive delivery experience.
More than half of consumers will not purchase with the retailer again if their delivery experience was unprofessional, late, or if their item was damaged.
Here’s where we can help – Parcel Perform’s platform is a one-stop place for all tracking data for orders, and the customer service team is able to easily search for queries related to parcel tracking. This has helped retailers achieve an increase of customer lifetime value of 40%.
2. Alternative delivery locations is the future for consumer convenience
Alternate delivery locations provide greater choice for the consumer to select where, when and how they like their parcels to be delivered. Parcel Lockers, in particular, are a great solution for the consumer who wants greater control over when, where and how they receive their parcels.
SingPost also unveiled their smart stamps and letterboxes prototypes at the event, which aims to improve delivery efficiency by cutting down on lost and misdelivered mail. This ties in nicely with the Singapore Government’s recent push into incorporating a smart parcel locker network throughout Singapore.
The Locker Alliance was launched last year led by IMDA with participation from locker operators Singapore Post, blu, and participating merchants like Lazada. Parcel Perform is proud to play a key role in developing the initiative’s Interoperability Platform together with IMDA, enabling a single platform across different locker operators and merchants to access the locker network seamlessly.
At his keynote session at Home Delivery Asia, New Soon Tee, Director of Trade And Connectivity Cluster at IMDA shared that as of August 2019, more than 44,000 transactions have been made through the lockers.
Parcel lockers benefit the e-commerce ecosystem in many ways. They provide flexible collection timings for consumers, while extending delivery hours, reducing missed deliveries, and lowering delivery costs for logistics carriers and retailers.
Earlier this year, Arne shared some perspectives on how parcel lockers will transform last mile delivery, and we are excited to see where this trend leads for both Singapore and the rest of Asia.
3. Consumers want their orders faster, with more control and choices
Charles Brewer, CEO of Click & Connect, shed light on how urban consumers are changing the way retailers and logistics companies operate. According to Business Insider, a record of more than 8,200 stores are estimated to close down in the US this year, indicating a huge shift in the way retailers should operate.
There are several pitfalls businesses need to avoid in order to thrive. For starters, retailers need to ensure they have a good returns policy in place.
A staggering 91 percent of respondents think a store’s return policy is important when making a purchasing decision.
Retailers also need to evaluate their delivery offerings. Currently, many retailers offer either fast shipping with high prices, or slow shipping with low prices. As consumer expectations change, gone are the days when they will wait 14 days for their parcels. Now, next day and same day delivery options at low prices are becoming a norm, and retailers will need to adjust accordingly.
While the retail sector facing tremendous transformation, Charles shared that e-commerce is hugely embryonic. It will continue to change at a fast pace, and brands will need to continuously innovate to stay ahead.
Looking to have more visibility on your supply chain and improve your logistics data? Get in touch with us to find out more about how Parcel Perform can help.