Demanding Millennials drive UK e-tail, expect delivery flexibility - Sendcloud
How influential (and demanding) are Millennials? Very. Delivery companies are being forced to adapt to their shopping demands, "shaping the future of e-commerce and logistics”, a new report claims.
A new study by Sendcloud shows 80% of UK Millennials (aged 25-40) consider flexibility as a key element of delivery, compared to 53% of Boomers (aged 57-65).
What’s more, this trend is expected to continue as the buying power of Generation Y grows, with the study showing Millennials spend an average of £139 per order online as opposed to Boomers’ £61.
Importantly, the need for personal convenience is driving flexibility, with 63% of Millennials wanting to be able to change the delivery time of a parcel, even if it’s already on its way. Over half (58%) also want to change the delivery address while a parcel’s en route.
These preferences drop significantly in the Boomer generation, to 27% and 25% respectively.
“This research provides valuable insights into the differences between generations, and it’s especially interesting to see that Millennials are setting the standard for online orders and flexible delivery services,” said Rob van den Heuvel, CEO and Co-founder at Sendcloud.
“The challenge now for shipping and logistics providers is to meet the demand from consumers and provide more choice on where, when and how they receive online orders”.
Other findings include demand for premium shipping options are rising with Millennial shoppers found to be significantly more likely to choose premium shipping options at a time that's convenient for them.
Some 76% of Boomers choose the most standard delivery option compared to 53% of Millennials.
Next day (52%) and same day (31%) deliveries were far more popular with Millennials compared to Boomers, for which next day (36%) and same day (14%) are considered less of a priority.
Other premium options such as weekend delivery, CO2-neutral delivery and delivery in a parcel locker are also significantly more popular among Millennials. And although these premium delivery options often come with a price tag, Millennials are willing to pay up to £5.10 in shipping costs for an order of just £15. Boomers meanwhile are only willing to spend £3.60 on average for the same priced item.
Van den Heuvel adds: “Meeting the demands of the Millennial generation will become increasingly important as their buying power continues to grow in the coming years. For online retailers to maximize their potential and profits, it’s crucially important that they already embrace flexible delivery as a minimum requirement”.
Copyright © 2023 FashionNetwork.com All rights reserved.