Same-day delivery sounds great, right? The truth is when many customers sit down and think about it, there really isn’t a big need for same-day delivery. In fact, customers would much prefer other improvements over speed of delivery. Let’s take a closer look at why same-day delivery may not entice some customers.
What Do Customers Want From Online Shopping?
In a recent survey, only 9% of surveyors listed same-day shipping as an important addition to improve online shopping. What customers did want was free delivery and lower costs. Free shipping has always been a huge incentive for online shoppers. While many businesses offer free shipping occasionally, there are usually restrictions, such as the need to purchase a certain amount. Online businesses usually do offer lower prices than local businesses, but customers still want lower prices. Whether or not this is possible depends on the business and the deals that can be worked out with the sellers.
Is Same-Day Delivery Really Necessary?
At first, same-day delivery sounds amazing. The more you think about it though, the more you realize there are few products you need to be delivered so quickly. Think about it. Do you really need a t-shirt from Walmart delivered the same day? Most customers are content with the speed of shipping currently offered. Right now, an Amazon Prime member can go online and order a product to be delivered in two days, if they need the product sooner, it only costs $3.99 per item for overnight shipping.
Does Google Care?
Business analysts think that Google isn’t setting out to break even on shipping. What Google hopes to earn from this project is a loyal consumer base that will spend a large amount of money. Amazon Prime members only account for 4% of the customer base, but make up 20% of Amazon sales. Why wouldn’t Google want the same results, even if it meant losing money on shipping costs? The hard part will be getting customers to switch services or convincing them why they need both services.
Of course, what we currently know about Google’s plans are mere rumors, but it does make sense to think that Google would want to have the same loyal shoppers as Amazon. One must remember that Amazon spent over a decade building the customer base they have now. It’s true that loyal members can lead to big sales, but it won’t happen overnight, especially when customers already have the option of being an Amazon Prime member. Amazon was ahead of the game when it started Prime and same-day shipping may not be enough enticement to get customers to sign up with Google.
About the Author: Kathrin Ducos is a small ecommerce site owner who loves helping others take charge of their own internet real estate. Make sure you do all you can to find out more about building your own sites – it’s simple and offers a great source of passive income.