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78% UK shoppers might abandon brands after bad delivery: Survey

02 Jun '23
3 min read
Pic: Shutterstock/William Potter
Pic: Shutterstock/William Potter

Insights

  • Around 78 per cent of UK consumers may not return to a brand after a poor delivery experience, as per a survey by ShipEngine and ShipStation.
  • Furthermore, 71 per cent see high shipping costs as a barrier to repeat customers.
  • Quality of delivery ranks third as a key driver of loyalty for 51 per cent of consumers, after affordable prices and product quality.
New research reveals the extent of negative delivery experiences on customer loyalty, with 78 per cent of UK consumers stating they are not likely to shop with a brand again following a below par experience. Around 71 per cent of UK consumers rank ‘high shipping costs’ as the biggest barrier to becoming repeat customers.

Looking at customer loyalty drivers, the quality of delivery experience ranks as the third highest driver, with 51 per cent of UK consumers surveyed citing it as a key reason why they regularly buy online from the same brand. Only affordable prices (1) and product quality (2) rank higher for UK consumers. Merchants agree on the importance of product quality (1) and delivery quality (3) as customer retention drivers, but disagree on the topic of affordability, ranking it as only their fourth most important retention driver, according to a survey carried out by e-commerce shipping companies ShipEngine and ShipStation.

As e-commerce habits have evolved, the majority of consumers now take a hybrid approach to shopping, with almost three quarters of UK consumers stating they shop both online and offline. In fact, the UK leads the way in omnichannel, with the region having the highest concentration of blended shoppers, across the six markets surveyed.

When it comes to delivery options, consumers can be unforgiving. Almost 85 per cent of UK consumers state that a lack of adequate delivery options can influence whether they abandon their cart at the online checkout. Looking at this further, over 61 per cent of consumers state they will sometimes abandon their cart and 23 per cent indicate they will quite often or always abandon their cart if their desired delivery option is not offered. In contrast, over 26 per cent of UK merchants surveyed believe a lack of delivery options offered at the checkout ‘never’ prevents consumers from finalising their purchase.

The research also highlighted changing consumer channel preferences, with marketplaces becoming the most popular e-commerce medium to shop on across all the markets surveyed. Specifically, 51 per cent of UK consumers prefer to buy on marketplaces vs 29 per cent of consumers who prefer to buy directly on a brand’s website and 18 per cent who would choose a brand’s mobile app. Additionally, the research reveals that while social commerce is a growing industry, at present only 2 per cent of UK consumers consider it their preferred e-commerce buying channel.

With more people choosing to recycle and resell their unwanted items, re-commerce is a rapidly growing industry for consumers, retailers, and marketplaces. The study revealed that 47 per cent of UK consumers resell their old purchases/unused items on third party platforms. With almost half of shoppers utilising re-commerce channels, coupled with the increasing need for everyone to be more sustainable, this industry is here to stay. There is ample opportunity for brands and marketplaces to invest in re-commerce strategies and delivery experiences to meet growing consumer desire to effortlessly resell.

Fibre2Fashion News Desk (NB)

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