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How Parcel Shipping Execution Fosters Long-Term Customer Loyalty

Conditioned by large, online providers’ innovative services, modern consumers now have high expectations of their shopping experience.  They expect more than just easy product selection and ultra-fast or same-day delivery; they also want flexibility in both delivery location and delivery time, as well as real-time status shipment updates throughout their parcel’s journey. Smart shippers understand these parcel shipping demands and realize that to gain long-term customer loyalty, they need to put the customer – not the product – first.

When it comes to parcel shipping, perhaps the first opportunity to curate a positive attitude toward the product or brand is during the check-out process.  Research shows that buyers carefully assess the available delivery options and personalize the delivery experience to their liking – receiving the product how, when, and where they want it. In fact, a recent study from BigCommerce indicates that 77% of buyers abandon the purchase process if the shipping costs and services are deemed unsatisfactory, and 87% of digital buyers choose a retailer specifically because free shipping is offered.

get the ebook: critical capabilities of a tms for parcel shippingBut beware: offering Amazon-like delivery services and free shipping isn’t enough to win repeat purchases.  The same study also states that if an order is delivered incorrectly, late, or not at all, 29% of end customers won’t order again from the same retailer.  And the lost sales opportunities don’t stop there.  Consumers today share their negative experiences with the world on various social media channels and review sites, which means a bad experience with parcel delivery can quickly lead to the further loss of potential customers.

The right Transportation Management System (TMS) for parcel shipping can help shippers implement new delivery models such as omnichannel and 24-hour delivery while decreasing costs.

Changing consumer behaviors are forcing shippers in myriad industries to embrace digital transformation along the entire supply chain.  For example, with the effective use of data-driven multi-carrier shipping solutions, companies are able to efficiently ship goods worldwide at the lowest possible price and gain a competitive advantage by:

  • Maximizing the customer experience by offering fast and flexible services, increased transparency, and proactive responses to their individual needs
  • Managing carriers to ensure compliance and avoid delivery delays due to incorrect labels and documentation
  • Rate shopping with contractual partners to select the best carrier service for each shipment according to customer preferences and business rules
  • Identifying and quickly on-boarding new carriers to better leverage last mile services and expand into international markets
  • Eliminating labor intensive tasks such as invoice reconciliation
  • Leveraging Business Intelligence (BI) tools to uncover savings opportunities

Keep Customer Loyalty High with Parcel Shipping Execution

Never before has it been so easy for customers to find brands or change suppliers. And with the right TMS for parcel shipping, never before has it been easier for companies to establish and maintain a direct relationship with their customers, reaping trust and retaining their loyalty in the long term.

Discover how a TMS for parcel shipping can help you manage your customer experience. Contact us today.