Why is a high delivery rate so essential?

August 3, 2020

fairsenden makes the difference:

Due to the possibility of selecting a delivery time in advance, fairsenden can demonstrate a 100% delivery rate. This value is not rounded- not a single of our deliveries got lost or was returned to the sender.

This article deals with the question, why deliveries should be treated as a business case that significantly influences the profitability of a company.

Why is a high delivery rate so essential?

Returned parcels generate costs and effort

This happens in several dimensions.
Total loss with food deliveries:
 The amount of financial loss for an undelivered package depends on the content of the goods.

High costs for restocking: Additionally, – in case of a return – the package must always be checked manually and, if necessary, returned to the warehouse and is therefore not available for sale immediately. Especially within fast fashion industry those turn around times are financially important.

Costs for customer service: In addition to the effort and costs of an operative return, there are also additional expenses for the customer service and clearing. By choosing a reliable delivery company, enormous costs can be saved in the operational area, because shipping often takes up 20% or more in the customer communication of companies. These resources can be used efficiently elsewhere.

Returned packages generate customer dissatisfaction
The disappointed delivery expectations of the customer naturally also affect the image of a company, although it is usually not responsible for the delivery problems. This might have not a direct financial implication. Yet, less returning customers are a financial issue.

Every package that is not received also provokes an increased level of effort and stress for the customer, as he or she has to deal with questions about delivery, repayment or finally contacting the customer service.

A flawless shop and products are common and expected. Service makes the difference for successful growth
The customer thus associates the non-delivery with the shop from which they ordered. Since many customers look for reviews before buying, negative experience could deter new customers.

As we can see several negative consequences might arise, resulting in delivery problems and undelivered shipments. However, with a very high delivery rate, costs are minimized and customers are more satisfied. It is necessary to treat delivery service providers as an effective and less time-consuming tool to produce a high-quality retail experience with less efforts.

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