"There’s many events about e-commerce, but very few about e-logistics," said Founder & CEO of Deliver, Stéphane Tomczak, at the inaugural industry event for e-logistics, Deliver One, held on 7-8 September in Luxembourg. Alongside Neopost Shipping, Temando joined over 200 global ecommerce leaders, 100 suppliers and startups, 30 venture capitalists, and 20 e-commerce associations to give logistics the platform that it deserves to showcase the talent, insights, and trends that’s shaping the industry.
With retail experiencing its own renaissance in the rising popularity of online shopping, so too is the logistics world. Where previously logistics defined how and when merchandise is delivered, it is now the customer who dictates that experience – and retailers are listening. With Amazon playing a key role in modifying expectations around shipping and fulfillment, logistics can unhinge or accelerate the success for many, if not, all retailers. Here’s three trends that got Deliver One delegates talking:
Delivery Options Workshop
Hosted by John Acton, Managing Partner at DPI Europe, alongside Darko Atijas, VP EMEA at Temando, Delivery Options workshop attendees were treated to a deep dive of the impact of delivery options, based on theTemando State of Shipping in Commerce 2016. With expensive or limited shipping options being a main reason why 64% of shoppers abandoned their carts, retailers are shifting their views of e-logistics as a purely operational function, to a proven tactic that helps to elevate customer experience.
While the benefits of delivery options were undisputed in the room, most attendees benefited from broadening their understanding of how shipping can extend beyond being a free service. For instance, introducing a spend threshold so shoppers can qualify for free express shipping is a value-added option that 83% of shoppers would consider. By doing so, retailers get to spread out the cost of shipping while increasing their average order value. Download the report here.
Optimising Omnichannel for CX
One of the key priorities for Deliver One delegates is to optimise their omnichannel capabilities to stay competitive and relevant to the increasingly savvy online shopper. With consumer expectations influenced heavily by the accessibility that the internet affords us, the emphasis on a consistent experience at each and every customer touchpoint - on or offline, has never been more important.
To utilise shipping as part of your omnichannel strategy, consider incorporating options such as Click & Collect which draws online customers to your physical stores. Alternatively, showcase your strong commitment to the environment by using packaging logic to safely pack multiple items in one order into the most appropriate packaging, dispatched from the closest fulfillment centre or store.
Starship’s self-driving delivery robot can carry parcels and groceries within a five kilometers radius in under 30 minutes, and the robot’s entire journey can be monitored on a smartphone.
Last Mile Disruption
The first keynote and live demonstration by drone startups (a favourite topic at Temando), Starship and Copter Express on Day 1 of is another reminder that the future is now. Founded by Skype's co-founders Ahti Heinla and Janus Friis, Starship was created in an effort to tackle the challenges of last mile delivery. With plans to operate commercially next year in the US and UK, the success of drone companies such as Starship will help decongest busy roads and parking areas, and enable increased capacity for items to be safely delivered in a shorter amount of time.
Another last mile disruptor, Moscow-based Copter Express, created their flying robots originally for surveying work, and are able to carry a load of 500 grams and travel a distance of three kilometers. It has recently partnered with global address system, what3words, which would increase its reach and accuracy at finding specific locations around the world.
The three popular topics at Deliver One that we’ve featured here gives us confidence that the retail and logistics industries are excited about what the future holds, and are responsive to exploring new ways to innovate. Neopost Shipping’s Marketing Director, Gérard Azé, summed it up well: “Delivery is a cornerstone of the online shipping experience, and by nailing it, retailers have a key ingredient in the recipe for success.”