6 Logistics Metrics That Drive Great Customer Experiences (1.8.24)
In an increasingly online world, customer experience transcends the brick and mortar space to play an important role in shipping.
For a long time, customer experience was closely associated with in-person service or shopping. Business owners would measure it by the curb appeal of the store, the friendliness of the associates, the effectiveness of in-store marketing efforts, the orderliness of the space and the looks on the faces of customers on their way out the door.
As online retail replaces the shopping mall, some businesses may mistakenly place less emphasis on the power of a positive customer experience. They erroneously believe that they have little control over it, or perhaps that the inherent convenience of the transaction taking place from the customer’s couch is enough to make it a positive one.
Thanks to monolithic online marketplaces like Amazon that offer massive inventory, rock bottom prices, ultra-fast shipping and rapidly available customer service, today’s retailer has to work just as hard in a digital space as they might in a physical one.
That is where logistics come in. When it comes to driving great customer experiences — especially in the age of COVID-19, when consumers prefer shipping over shopping — logistics is everything.
Here, a look at six characteristics that determine customer experience, plus how to incorporate them into your existing strategy:
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Same-day shipping
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Free shipping
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Shipping options
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Regular tracking updates
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Solutions for when things are not perfect
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Fast delivery
1. Same-day shipping
After customers place an order online, they eagerly await its arrival. They want instant gratification, even if the product is located in another country. While it may not be possible to teleport items to customers (yet), it is possible to offer a positive customer experience by catering to that “I want it now” mentality via same-day shipping. Customers will be impressed by companies that ship an item the same day it was purchased.
2. Free shipping
Free shipping has become standard, so it’s important for businesses to offer it. It helps create a positive customer experience and increase revenue. In fact, 88% of customers prefer to shop at sites that offer free shipping. If you cannot make this the default, you can make it an option by incentivizing customers to spend a certain amount in order to unlock it.
3. Shipping options
Part of delivering a positive customer experience is allowing customers to feel in control. This can be accomplished by providing more shipping options, which is a great workaround for businesses that cannot offer free, fast shipping for every order.
Offer tiered pricing for shipping speed. Customers who want shipments quickly will be more willing to spend money to make it happen, and budget-minded consumers will be willing to go with a slower but more cost-effective choice.
4. Regular tracking updates
Customers love to get that email telling them their item has left the warehouse and is on the way, but they’re less-than-thrilled by tracking information that does not update. Partner with a logistics company that keeps customers informed along every step of the delivery process with regularly updated tracking and emails that keep them in the loop on the fulfillment process.
5. Solutions for when things are not perfect
Whether the shipping delay is caused by a natural disaster, a global pandemic, a damaged shipment, a problem in Customs or something completely unexpected, the customer wants to know about it. Transparency is key to driving positive logistics experiences. A business should communicate the issue, have a solution and, if necessary, have something extra (such as a discount code) to win back disappointed customers.
6. Fast delivery
This one is a given, but it still must be reiterated. Customers are used to the Amazon way of doing things. Whether it’s two-day shipping or one-day shipping, delivery time should be under a week if possible. Companies that offer this option not only make existing customers happy, they can use it as a powerful marketing tool that attracts new customers.
How to deliver great logistics experiences
Start focusing on the customer experience in logistics by prioritizing the crucial last-mile phase of your shipping process. In addition to this, have a dedicated customer service team that is always available, either online or on the phone, to handle questions and complaints — and have set protocols for how common issues are handled.
Your business can also create a better customer experience by utilizing logistics technology. The right TMS has the power to use real-time data to forecast supply chain risks, automate tedious tasks and streamline the shipping process. If you would like to learn more about how logistics can play a crucial role in customer experience contact Resource Logistics Group today.