JACKSONVILLE, Fla.--(BUSINESS WIRE)--Today, Incisiv in partnership with Veho, the company revolutionizing package delivery and returns for the modern economy, released a fresh study, "Catalyzing Growth: How Last-Mile Delivery Drives Revenue, Boosts Loyalty, and Enhances the Bottom-Line." The report spotlights the transformative role of last-mile delivery in today’s retail and direct-to-consumer (D2C) sectors.
Drawing insights from a survey of 161 retail and direct-to-consumer (D2C) brands across North America, the study reveals a consensus on the importance of offering diverse and flexible last-mile delivery solutions. Notably, 77% of brands emphasize the necessity of a wide range of delivery options for growth, with 81% identifying two-day delivery as critical to satisfying customer expectations.
Key findings of the study include:
- An 8.9% increase in e-commerce conversion rates through providing a variety of last-mile delivery options, which empowers shoppers with choice and control, directly influencing buying decisions.
- A 15.3% uplift in net promoter score, showcasing the impact of exceptional delivery experiences on customer loyalty and brand advocacy, with 82% of brands noting improved repurchase rates and loyalty following superior last-mile experiences.
- A 10.6% growth in average order value as a result of fast and flexible delivery offerings, prompting shoppers to make larger purchases.
- Operational cost reductions recognized by 92% of brands, highlighting how effective last-mile strategies can diminish costs related to delivery mishaps, returns and customer service, proving the operational and financial merits of optimizing delivery processes.
Giri Agarwal, chief strategy officer at Incisiv, remarks, "Our findings underscore the critical role of last-mile delivery in achieving retail success. In today's competitive landscape, providing swift, flexible and diverse delivery options is indispensable for fostering growth, loyalty and enhanced profitability."
Itamar Zur, CEO and co-founder at Veho, states, "Achieving excellence in last-mile delivery, with a focus on speed, transparency, flexibility and clear communication, is fundamental for retail success. While we know customers not only enjoy but expect a best-in-class experience, it is also abundantly clear that exceptional last-mile delivery and returns drive a meaningful and measurable impact to a brand’s bottom line."
Agarwal reflects, "This study demonstrates the unmistakable impact of last-mile delivery on retail success. Offering fast, flexible, and varied last-mile delivery choices is no longer optional but a critical driver of growth, loyalty, and profitability."
Zur, highlights, “Shipping is the new shopping. Last mile delivery can no longer be an afterthought or disconnect from the customer journey. It is a critical aspect of the holistic brand experience. Modern customer-centric brands require a delivery and returns experience powered by breakthrough technology and built for the e-commerce era.”
"Catalyzing Growth: How Last-Mile Delivery Drives Revenue, Boosts Loyalty, and Enhances the Bottom-Line" presents quantified evidence of the strategic and fiscal gains from mastering last-mile delivery. It is a critical resource for brands aiming to harness last-mile delivery as a catalyst for growth and differentiation.
The report is available to download free here.
About Veho
Veho’s mission is to power the future of commerce by making shopping, shipping and returns work seamlessly for everyone. Through an innovative end-to-end logistics infrastructure powered by the latest technology and designed for the needs of brands and consumers, Veho is reinventing shipping, and all parts of the post-purchase experience as we know it. Veho removes the pain from delivery and returns and creates new powerful opportunities for brands to engage and build deep loyalty with their customers, and delight them like never before. Learn more at shipveho.com.
About Incisiv
Incisiv is a peer-to-peer executive network and industry insights firm for consumer industry executives navigating digital disruption. Incisiv offers curated executive learning, digital maturity benchmarks, and prescriptive transformation insights to clients across the consumer and technology industry spectrum. For more information, visit incisiv.com.
