S aying that e-commerce shipping has had an eventful two years would be an understatement. The pandemic accelerated the shift toward online retail by ve years, reports the 2020 IBM U.S. Retail Index. E-sales hit $211.5 billion in the second quarter of 2020 alone, a 44.5% increase from the year prior, according to the U.S. Census Bureau. There were notable uctuations within that trend as well. Prior to 2020, e-commerce had mostly been the purview of small items, such as books or apparel. Once consumers started working from home, however, sales in those verticals gave way to larger, more complex purchases—furniture, home of ces, exercise equipment, and appliances. A 2021 uShip survey found that 64% of Americans purchased a “big and bulky” item online in 2020 ( see chart ); 73% of respondents bought these products at a higher frequency than they had before COVID, and 45% said they would continue to shop for large products online after the pandemic ended. As online sales of large or expensive items grew, so did the challenges of steering these products through the nal mile. Unlike smaller items, the “big and bulky” delivery experience played a key role in a consumer’s decision to continue to shop with a merchant, according to uShip. More than 50% of respondents placed a premium on
Many 3PL providers, such as SEKO Logistics, oer white-glove deliveries of large and bulky items. Experienced drivers handle every step—including unloading, carrying goods to the desired room, assembling products, and cleaning up.
visibility, communication, and carrier professionalism in their decision to shop with a particular merchant. The stakes are high for large and bulky deliveries so they need to be handled with white gloves. SPECIAL DELIVERY One hallmark of the pandemic was reduced foot traf c to brick-and-mortar outlets. E-commerce lled the sales vacuum, but it came at the price of brand anonymity. Delivery upgrades can keep consumers in touch with a brand, even when they are wary of setting foot in a physical store. “White glove is an opportunity to offer amazing service beyond the warehouse,” says Brian Bourke, chief growth of cer at Chicago-based third-party logistics
provider SEKO Logistics. “It’s an extension of the in-store experience, something that consumers don’t always get with e-commerce.” There’s a lot riding on that encounter. In its Last Mile Mandate Consumer Survey , delivery management platform FarEye found that 85% of consumers won’t patronize a retailer again after a bad delivery experience. There are a few ways to manage brand representation: proactively communicate arrival times, maintain a pleasant demeanor, and answer all of a consumer’s questions. These approaches contribute to a positive delivery experience. And if a product arrives damaged, the carrier could offer a repair and maintenance service. “Fixing a scratch or a dent can go a long way toward making the customer happy and preventing the loss of a sale,” Bourke says. HOW'D WE DO? On a macro level, companies can measure delivery performance over time and nd out where improvements need to be made. For example, GoShare, a last-mile platform that connects drivers with loads, lets consumers rate their experience on a 1-5 scale and provide written feedback. “Our drivers consistently average scores around 4.9 out of 5,” says Shaun Savage, GoShare CEO and co-founder. “Retailers appreciate access to this data because it ultimately helps them improve their ef ciency over time.”
64% OF AMERICANS BOUGHT A LARGE & BULKY ITEM ONLINE IN 202 0
Compared to prior years, how often, if at all, did you purchase large and bulky items (e.g. furniture, mattresses, exercise equipment) online during the COVID-19 outbreak?
16%
36%
More often than before The same as before Less often than before I never buy large or bulky items online
31%
17%
Source: uShip survey
40 Inbound Logistics • August 2022
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