Retailers need to sell in both digital and physical spaces while meeting shopper expectations, leaving a lot for retailers to juggle. ShipStation has released their 2024 Ecommerce Delivery Benchmark report to help you plan a successful strategy for this year and beyond. 

Key takeaways  

• Retailers need both an online and in-store presence. 
• Millennials and Gen Z are more likely to use social media for product research. 
• Consider your audience when offering carrier services and delivery options. 

Download the full report 

The buyer’s path is changing 

Strictly selling online is no longer an option. 75% of shoppers have physical and digital touchpoints throughout their buying journey. That’s why unified commerce is crucial for retailers. 

Unified commerce combines your selling channels and business operations into one platform. It differs from its predecessor, omnichannel commerce, in that it doesn’t only focus on the customer experience across selling channels. Instead, unified commerce combines everything from your POS systems to your selling channels into a single platform. This gives consumers a seamless shopping experience from start to finish.

Breaking down consumer pathways 

Each shopper’s specific journey might be a little different. However, these flows are all based on four stages: 

1. Pre-Purchase 
2. Purchase 
3. Delivery 
4. Returns 

Within each part, shoppers have a couple of different options for their purchasing journey. For example, 62% of consumers browse online when researching products while 38% browse in-store. From there, consumers choose where to buy products, delivery services, and return options. 

From browsing to buying 

Your consumer base can consist of two different groups: digital natives and digital adopters. Digital natives are under 45 and mostly grew up with technology. Digital adopters are those over 45 who had to learn technology. Digital natives and adopters are aligned on their top two browsing mediums. 57% of digital adopters and 53% of digital natives use search engines for product research. Additionally, 45% of digital adopters and 41% of digital natives use marketplaces like Amazon. 

The biggest difference comes with social media platforms. 37% of digital natives use social media platforms for research compared to only 10% of digital adopters. One thing’s for certain: your business’s website and social media platforms need to shine. If shoppers find your business through search engines or marketplaces, you want them to buy your products. Not immediately click away. 

How ShipEngine increases cart conversion 

Once a shopper finds your website, the trick is getting them to complete their purchase. In fact, 36% of US shoppers said a lack of convenient delivery options keeps them from being a repeat customer. That’s why ShipEngine provides retailers with several ways to reduce cart abandonment. 

With ShipEngine, shoppers always see accurate and affordable shipping rates. You can also provide shoppers with various carrier drop-off locations. Additionally, pickup options provide a more affordable shipping option. Shoppers want low delivery costs, and ShipEngine helps your business meet their expectations. 

Learn more in the full report 

Delivery expectations vary 

Out-of-home delivery options like Amazon lockers are gaining popularity with customers. 33% of shoppers who live in towns and 29% of shoppers who live in major cities prefer out-of-home delivery options. Offering both home delivery and out-of-home delivery options can prove fruitful for businesses — especially those who see higher sales in populous areas. 

Premium delivery options 

When it comes to offering delivery options, it depends on your customer base and where you’re shipping. 66% of digital adopters said they would never pay for premium delivery. If your shoppers tend to skew 45 and over, premium delivery options aren’t a priority. But, if your shoppers are under 45, premium delivery options are worth consideration. 

However, age range isn’t the only factor to consider. The majority of US and EU shoppers expect 2-day delivery for orders, while Australian and Canadian customers expect 3-4 day delivery. As with digital natives and digital adopters, your carrier services should reflect your audience. 

If you’re shipping to the US or the EU, premium options could lead to increased sales. But, if you’re shipping to Australia or Canada, other services may be a more viable option, depending on where you’re shipping from. 

ShipEngine rate comparison and discounts 

One consistent pain point for shoppers across the globe is delivery costs. 67% of consumers in the US alone named high delivery costs as the number one reason they wouldn’t purchase from a brand again. While the expectation of delivery services might vary, shoppers across the globe want low delivery costs. 

With ShipEngine, you can access up to 89% off USPS, UPS, and other major carriers*. These discounts help combat premium delivery costs and help your business stay within the $7-$9 range. This way, you can find the best rate for every order. 

*Rates are limited to shipping from the continental U.S. only. These rates and discounts exclude shipment origins from Hawaii, Puerto Rico, and Alaska. Rates and any applicable discounts are subject to change at any time without notice.

Simplify your returns process 

It’s easy to overlook your returns process outside of peak season and other major retail holidays. However, 42% of consumers say they won’t shop with a brand again if they have an inconvenient returns policy. Additionally, 13% of shoppers said flexible returns are the most important part of the delivery journey. Conversely, only 2% of retailers named flexible returns as the most important factor. 

Therefore, creating a simplified and flexible returns policy can not only increase your sales but help your business stand out. When revisiting your returns policy, ask yourself the following questions: 

• Are returns free, or is there a fee?
• Do all of the listed support options work?
• How long do customers have to return items?
• Are the steps in the returns process to follow and understand?
• How many clicks and screens are involved in the returns process?

If the answer is “no” to any of these questions, rework your returns policy through a shopper’s vantage point. Pretend as though you’re a brand-new consumer. Would you give your store repeat business with its current policy? 

Learn more about 2024 ecommerce trends 

The retail landscape continues to change, but its future remains promising. Additionally, consumers are holding online retailers to high standards. The key to aligning with shopper expectations lies in understanding. Your business needs to understand consumer demographics and how they impact purchasing decisions. 

However, this blog post only serves as the foundation for your strategy. More valuable insights await in ShipStation’s ebook. For a more comprehensive look into consumer expectations and shopping habits, download our 2024 Ecommerce Delivery Benchmark report. 

Download the full 2024 Ecommerce Benchmark Delivery report 

The post Mapping the Omnichannel Customer Journey: The Importance of Hybrid Retail and Meeting Shopper Expectations  appeared first on Shipstation API.

What are overnight shipping services?

Overnight shipping refers to services that offer next-day delivery options for packages. However, it’s important to note that if a package is shipped later in the day or after a carrier’s cutoff time, it may be shipped the following day and delivered within a two-day timeframe. Overnight shipping differs from same day shipping in terms of delivery time. With overnight shipping, the package is delivered the day after it’s shipped. While same day shipping implies that the package is shipped on the day it is ordered, but it does not guarantee delivery on the following day.

Cheapest overnight shipping options 

Some of the most common and cheapest used overnight shipping options include USPS Priority Mail Express^®, UPS Next Day Air^®, and FedEx offerings like FedEx First Overnight^®, FedEx Priority Overnight^®, and FedEx Standard Overnight^®. The delivery timeframes for these services can be dependent on when the package is shipped, holidays, and shipping deadlines.

USPS Priority Mail Express^®

USPS Priority Mail Express guarantees next-day to two day delivery by 6PM. Additionally, USPS Priority Mail Express can be used for shipments up to 70 pounds and can be used with free USPS packaging. ShipEngine merchants can save up to 89% on retail rates and 15% off Commercial Plus Pricing on Priority Mail^®. 

UPS Next Day Air^®

UPS Next Day Air^® shipping is a next-day delivery service that reaches all 50 states and Puerto Rico. This service can be used for shipments up to 150 pounds and 108 inches long. When shipping UPS on ShipEngine, merchants can save up to 82% on international services, 73% UPS 2nd Day Air^® services, 72% on UPS Next Day Air^®, and 77% on UPS^® Ground.*

*Discounts off UPS daily rates. Rates are limited to shipping from the U.S. only. Rates and any applicable discounts are subject to change at any time without notice.

FedEx overnight shipping 

FedEx offers shippers a variety of overnight shipping options like FedEx Priority Overnight^®, FedEx Standard Overnight^®, and FedEx First Overnight^®. All three services can be used for shipments up to 150 pounds and have a length of 119 inches/ a girth + length of 165 inches (L+2w+2H). Additionally, these services run on a Monday – Friday delivery schedule.* 

*Saturday delivery for FedEx First Overnight^® and FedEx Priority Overnight^® is potentially available for an additional cost, and FedEx Standard Overnight^® is potentially available for free Saturday pickup, depending on the destination.

How to save money on overnight shipping 

• Avoid extra shipping costs and delays in delivery time by accurately measuring your shipments. 
• Round measurements up to the nearest inch or pound to align with how carriers measure shipments upon arrival.
  •  For example, a shipment weighing 70.2 pounds and a length of 47.3 inches would be considered a 71-pound shipment with a length of 48 inches. 
• Weigh and measure shipments multiple times to confirm all information is correct. 
• Utilize free shipping supplies where applicable.
  • Free USPS supplies can be ordered through guest checkout, and free UPS and FedEx supplies can be ordered after a free account is created. 

The post Guide to Cheapest Overnight Shipping appeared first on Shipstation API.

What are USPS shipping rates?

USPS domestic shipping rates are divided into two categories: Retail rates and Commercial rates. Retail rates are the prices given to shippers who purchase postage directly from USPS. Commercial rates are pre-negotiated prices available to shippers who use ShipEngine. 

Available USPS shipping options 

USPS offers multiple carrier services with tracking and insurance options, so orders can arrive to customers safely and securely. We’ve crafted a table with some of the most commonly used USPS services and features for easy comparison and selection. 

*Note: Media Mail^® can only be used for certain products, including books, test materials, CDs, and DVDs. A full list of products eligible for Media Mail^® can be found on the USPS website.

Factors that impact USPS shipping rates 

The shipping cost of a shipment will vary, depending on the shipment’s dimensions, the carrier service selected, and the distance the shipment is traveling. USPS rounds dimensions up to the nearest pound or inch, so enter rounded dimensions when calculating the shipping cost for the most accurate rates. Additionally, a shipment can be charged by actual weight or Dimensional (DIM) weight, so it’s beneficial to understand the difference between the two. 

DIM weight vs actual weight 

When a package is shipped through USPS, the billable weight can be the weight seen on a scale or a calculation of weight based on volume. The actual weight of a shipment is the number shown when a package is placed directly on the scale. The DIM weight of a shipment is calculated by finding a shipment’s volume (length x width x height).

If a shipment’s volume is under 1,728 cubic inches, the shipment will be charged by its actual weight. If a shipment’s volume is over 1,728 cubic inches, use the steps below to determine the weight that will be used in calculating the shipping cost. 

• Divide the shipment’s volume by 166 
• Compare this number to the shipment’s actual weight 
• The higher number will be used as the shipment’s billable weight 

USPS Zones

USPS has divided the US into nine zones. Each zone encompasses a range of mileage between the sender and recipient, and the shipping cost will change with the distance a shipment is traveling, as each zone has its own pricing tier. The USPS zones are classified as follows: 

• Zone 1: Non-local destinations within 50 miles 
• Zone 2: Destinations within 51-150 mile radius 
• Zone 3: Destinations within 151-300 mile radius 
• Zone 4: Destinations within 301-600 mile radius 
• Zone 5: Destinations within 601-1000 mile radius 
• Zone 6: Destinations within 1001-1400 mile radius 
• Zone 7: Destinations within 1401-1800 mile radius 
• Zone 8: Destinations within 1801 mile radius or farther 
• Zone 9: Destinations within Freely Associated States/Zipcodes assigned for exceptional network circumstances*

USPS also provides shippers with a free Domestic Zone Chart to help determine zones. 

*This doesn’t apply when shipping to between the three-digit zip codes of 962-969.

How to save money on USPS shipping 

• Order free supplies from USPS for applicable services
• Compare USPS services to find the best shipping rates for your business  
• Use ShipEngine to save up to 89% off Retail rates and up to 15% off Commercial Plus Pricing (CPP) 

The post USPS Shipping Rates Explained appeared first on Shipstation API.