luc de munck - bpost international - eretail14
TRANSCRIPT
APPLIED DELIVERY as a MARKETING tool
Increase your customer loyalty and conversion
by applying delivery
Luc De Munck – bpost International
Consumers are well informed and demanding
Social media influences online purchases
FEEDBACK
Promote & recommend
‘I share my + experience’
CONVERT
Trigger
‘I realize I need
something’
Search & evaluate
‘I decide why I want’
Buy
‘I buy what I
want
DELIVER
Delivery
service
‘I receive
what I
bought’
Consume
‘I open and use
my purchase’
Return
‘Decide I
don’t want
it’
Consumer e-commerce journey Touch points during decision moments
Trigger
‘I realize I need something’
Search & evaluate
‘I decide what I want’
Buy
‘I buy what I want’
Delivery service ‘
I receive what I bought’
Consume
‘I open and use my purchase’
Return
‘Decide I don’t want it’
Consumer decision moments
Peers/WOM
Social Media
Mass Media
Online Media
Need
Targeted Media
Spontaneous
Pro
cess t
ou
ch
po
ints
Social Media
Etailer sites
Brick & Mortar shops
Comparison / review sites
Peers/WOM
Purchase intention
Purchase made
Package reception
Satisfaction with purchase
Overall satistaction
Homepage
Landing page
Promopage
Product page
Basket
Checkout
Delivery options
Order confirmation
Dispatch confirmation
Track & trace
Home/pudo/… delivery
Unpacking
Review packing slip
Consume / use
Evaluate
Search on return process
Compare return options
Re-package & label
Return: post office?
Acceptance confirmation
Money return
Consumer e-commerce journey Touch points during decision moments
yy/mm/dd - title presentation - author - qualifier 6
Delivery and returns are main decision buying criteria's
0%
5%
20%
49%
26%
Not important at all
Not important
Neutral
Important
Very important
Shipping costs
Product information
Price
Source: Intomarkt gft research november 2012
Delivery and returns are main decision buying criteria's
Delivery and returns are also main criteria's when it comes to repeat buying
68%
80%
80%
85%
85%
89%
89%
90%
93%
Delivery next day
Track&Trace information
Confirmation shipment by e-mail …
Delivery on specific agreed day
Delivery within 2-4 days
Flexible and easy delivery
Free shipping
Flexible return solutions
Low shipping costs
Source: E-commerce and delivery. A study of play of EU parcel markets with particular emphasis in e-commerce.
Considered important
11
Free delivery = marketing
Etailers offering free shipping becomes the more and more the norm
0%
5%
10%
15%
20%
25%
30%
35%
40%
45%
Always free shipping Free shipping above specified basket value
No information on shipping costs
NL
DE
UK
FR
BE
Source: Simtrec studie : Logistiek voor webwinkels 2013
and it can increase shopping basket value with 30% at check-out
The journey starts by getting buyers to your website and CONVERTING them
Illustration
Homepage
Product overview
page, review page, service
providers page, etc
Detailed product page
Shopping basket
Check-out
100%
30%
20%
10%
5%
2,5%
70%
70%
50%
50%
50%
Information and communication on deliver price and options as well as the return process are key decision buying criteria (75%)
Peer recommandations and WOM are main traffic drivers (82%)
Shoppers use 10,4 sources of information before making a decision
Trigger
‘I realize I need
something’
Search & evaluate
‘I decide why I want’
Buy
‘I buy what I
want
And you make them LOYAL by DELIVERING your promise to them
Delivery
service
‘I receive
what I
bought’
Consume
‘I open and use
my purchase’
Return
‘Decide I
don’t want
it’
After purchasing a product the consumer builds expectations based on experience to inform their next decision journey
A customer that received the order as promised (intact, on time) will be a repeat buyer and promote your website to his peers (~influencer)
Over time ‘organic traffic’ will be self sustainable and paid traffic will be limited
Tracking item to country of destination EU28 customs clearance
No tracking
Tracking to country of destination
Tracking on item & scan at door
≤ 2
kg
Tracking on item to scan at door & signature
Tracking an item to scan at door & signature Int’l customs clearance = landed cost solution
≤ 3
0 k
g
S
E
R
V
I
C
E
B
A
S
K
E
T
V
A
L
U
E
Tracking on item & scan at door
≤ 5
kg
APPLIED DELIVERY As a marketing tool – the business case
Trigger
‘I realize I need something’
Search & evaluate
‘I decide what
I want’
Buy
‘I buy what I want’
Delivery service
‘I receive what I
bought’
Consume
‘I open and use my
purchase’
Return
‘Decide I don’t want it’
Promote & recommend
‘I share my + experience’
What is the + effect of the
right shipping and return options on
conversion
How is a good ‘physical
experience’ translated into satisfaction and loyalty
How does this translate into a
positive recommendation/
like
What is the effect on repeat sales and customer acquisition
Will I have to invest less in customer care and in online marketing
APPLIED DELIVERY As a marketing tool – the model
conversion
repeat sales
repeat sales
eyeballs
Trigger
‘I realize I need something’
Search & evaluate
‘I decide what
I want’
Buy
‘I buy what I want’
Delivery service
‘I receive what I
bought’
Consume
‘I open and use my
purchase’
Return
‘Decide I don’t want it’
Promote & recommend
‘I share my + experience’
satisfaction satisfaction recommendation like
shipping choice
shipping performance return performance
APPLIED DELIVERY As a marketing tool
At bpost International we want to invest in measuring the outcome of delivery, i.e. the positive effect on
each customer journey, rather than just measuring delivery performance
Together with our customers
Applied delivery as marketing builds organic traffic, lowers CPA and increases CLV
Time
Euro € Customer
Lifetime Value
Cost Per Acquisition
European Commission
Roadmap for cross border delivery
18 months to realise objectives
21
More information and transparency
Improved delivery solutions
Improved complaints handling
eCommerce Interconnect Program
Tracking
Delivery options
Return options
Network Performance
Technology
24 member postal operators
Delivery and returns are main buying decision criteria (75%) and main reasons for shopping cart abandonment (50%)
We intend to use applied delivery to actually measure effect on conversion, repeat sales and acquisition
Your delivery and return strategy is as important as your product – use it as a marketing tool!
Conclusions
Come talk to us: Infostand 9
bpost International
Our talented people enjoy delivering boundless
international mail and B2C parcel shipping solutions to our
customers worldwide
www.wemoveyourideas.com [email protected]
@LucDeMunck www.bpostinternational.com