The online retail and delivery revolution
Britain is a nation of shopping and doing this online has seen huge growth in the last decade. according to the Office for National Statistics (ONS), online retail sales in Britain enjoyed a record year in 2018. Online spending as a form of purchasing also increased by August the same year.
The question is though, why has there been such an increase in online shopping? In this article, alongside VW Caddy dealers Lookers, we explore the role that deliveries are having across different industries.
In 2012, people were willing to wait 5.5 days for their outfit they’d ordered online if they were given free delivery. Fast forward to 2019 and now the expectancy has dropped by a day, meaning those who don’t offer a quick free delivery service may find themselves falling behind their competitors. The saturated market is even making next-day delivery the ‘new norm’. Online malls and stores go as far as contract delivery agents who have satisfied them with a fair bidding on delivery work, just to get purchased items to the buyers.
Online shopping is continuing to grow in the fashion sector, with it projected that the online fashion market will be worth almost £29 billion by 2022. This means that there’ll be much more need for deliveries. Three-quarters of online fashion shoppers stated an interest in delivery options.
Tamara Sender, a Senior Fashion Analyst at Mintel, told: “As consumers have become more accustomed to shopping for fashion online, their expectations have been raised and retailers will have to invest more in the online shopping experience to drive sales. Delivery is becoming a key online battleground and the use of delivery passes and more dynamic delivery options could raise loyalty towards a specific retailer.”
The UK food and grocery market are set for huge growth by 2023, with an increase anticipated. It’s expected that online is going to remain as the fastest-growing channel and with supermarkets currently worth £89.1 billion, they’re predicted to grow in the next four years, while discount stores, such as Aldi and Lidl, are expected to have an increase in value by Online sales are set to increase by 2023 as more established supermarkets increase their use of web analytics, so they can improve the online experience or a shopper. While click and collect services are one-way growth will be aided, there is a great emphasis on delivery time and cost. Nowadays, it’s possible to choose your time slot so that you can collect your goods at a time that suits you.
Simon Wainwright, Director of Insight at IGD, told: “Growth is increasingly being driven by recent entrants to the channel and more delivery options. But we’re seeing more ambition from the Big Four as well, making ordering easier, improving picking, new capacity and faster deliveries. Analytics are also being utilized more effectively to target customers with more personalized content. Rising customer service expectations are encouraging the development of more rapid delivery services and other technological responses such as unattended delivery solutions.”
As well as food and fashion, the entertainment industry is booming thanks to delivery services. While you can stream your favorite TV shows on the likes of Netflix, many people still like to have a hard copy of their favorite big-screen showing. Therefore, the likes of Amazon, who offer same-day delivery, are giving the public a service they desire. And it’s not just the speedy service on offer that is impressive. Amazon announced that if you have a certain car in some locations, they’ll even deliver your parcel to the boot of your own vehicle. This in-car delivery service allows consumers to relax and not worry about missing a parcel — something that affects two-thirds of online shoppers.
It’s clear that the trend in online shopping, no matter what the sector, is creating a higher demand for delivery drivers, too. Therefore, the rise in deliveries isn’t just affecting industries, but also jobs. With demand there must be supply, leading to opportunities for a career change too. Could a career in deliveries be for you?