The Potential Of One/ Same Day Delivery For Your Online Business
What made online shopping catch on so quickly was the convenience it came with. No need to drag yourself to the store after a long day at work. No more scheduling shopping trips. No online store will ever tell you “Sorry we’re closed.” And best of all, home delivery! Even after you select what you want and pay for it, you know it will come to you, right at your doorstep. That is the beauty of home delivery.
Ecommerce delivery systems have evolved over time. Experts say, the Indian logistics market will grow by a CAGR of 12.17% in a couple of years. The main goal behind product delivery is –faster the better. For average products the delivery time is 5-6 business days. But online marketplaces have gone the extra mile to deliver goods within 1-2 days and less! In fact, Flipkart, Amazon and Snapdeal promise same day delivery, cutting down the time it takes to deliver products.This in turn allows you to sell more. First and foremost today’s consumers want things quick. So the quicker you can deliver the better your brand will appear to them. Secondly, when your goods move quickly you can sell larger volumes.
Only problem with the present state of same day delivery and one day delivery is, this facility is limited to a few cities. Also faster delivery can drastically increase the cost of online merchandise. Despite these facts and the initial costs of providing immediate delivery, the advantages seem to be heavier!
The Potential Of It All
With this service in your arsenal you have something over your competitors. This will make them flock to you. Take this situation, you’ve forgotten to get your friend a birthday gift. It’s already 4 days (if not one day) till their birthday, what are you going to do? Last minute gift shopping is common with most people. And as an online seller with a vast variety of goods, you can satisfy these urgent needs immediately. But birthdays, anniversaries and special occasions don’t generate anticipated sales volumes. In case of regular purchases, people will be able to try your products quickly and return the ones they do not like immediately.
Less inventory troubles
With same day delivery you can send off your goods immediately. As a result you need not waste time and money in holding stock for long. You can easily notify your supplier about your orders for the day so they have the goods ready for you to deliver on the very same day. Your margin of safety inventory will reduce. (Safety inventory being, extra products kept aside should your stocks run out.) So you have the chance to maintain the stock of a broader variety of goods.
Bigger pay day
The more sales you make the more you earn for that period. Under a marketplace, payment cycles are 2 weeks long. If it takes one week just to deliver a product you earn less every week. With the same day delivery program in place you can earn greater amounts within those 2 weeks.
With shorter deadlines you will be pushed to work harder, faster and more efficiently. This gives you and your team the edge of being extremely productive. Which is a building block for an impressive brand. The more efficient a brand becomes the stronger are its chances of surviving in the ecommerce world.
What’s Keeping It From Taking Off?
Same day delivery hasn’t quite taken off as expected due the present supply chain glitches. Many have experimented with their supply chains and delivery tactics. Some even pumped stupendous amounts of money into building strategic warehouses. Despite all their efforts same day delivery is not where one would expect to see it. So what’s holding back the possibilities?
- Ecommerce hasn’t developed completely or even reached half of its potential
- Same day delivery is expensive to execute and requires research and time to understand
- Supply networks are not very strong
- People are not impressed with the current delivery options
There are multiple factors that have stopped same day delivery from moving forward. But the possibilities of it taking root in Indian commerce are still enticing. What do you think? Take your chances or hold back?
If you are looking for ecommerce assistance, get in touch with Browntape. We are India’s leading ecommerce solutions experts, and we are always happy to help!