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Andrew Starkey

‘Next day’ delivery considered most popular for the first time, says IMRG…

An overall growth rate of 18.2 per cent year-on-year was recorded in August in relation to the amount of online retail orders, according to recent data from the IMRG MetaPack UK Delivery Index; indicating that shopper confidence appears to be showing some resilience following the Brexit decision.

Since the EU referendum on June 23, the Interactive Media in Retail Group (IMRG) has tracked an increase in the percentage of orders moving cross-border – which the association claims is most likely down to a sharp fall in the valuation of GBP sterling – and the theme continued in the month of August as 27.8 per cent of orders made in the UK were sent to international destinations.

Furthermore, there was also a notable development in the delivery options that shoppers are selecting. For the first time since the Index’s inception, the percentage of orders using ‘next day’ (36.7 per cent) as the fulfilment option was higher than those using ‘economy’ (33.8 per cent). 

Head of e-logistics at IMRG, Andrew Starkey, said We’ve been tracking a general increase in the percentage of ‘next day’ orders for a while now, and in August it became the most popular option domestically for the first time.”

He continued: “There are a number of factors potentially influencing this – some retailers see delivery as a differentiator and are offering next day as standard, others offer it if the customer’s basket value is above a specific threshold and for others the charge for next day is smaller than it has been on average in previous years. A move toward faster delivery is not unexpected and, for carriers, it doesn’t represent a capacity issue during most of the year – but during peaks such as the Black Friday period, promotion of next day delivery should be handled more cautiously.”

The Index was created with the sole purpose of enabling e-tailers and industry professionals to track a wide range of key benchmark metrics, providing the capability of tracking trends and making informed strategic decisions.  

 

You can view the full IMRG MetaPack UK Delivery Index here