In the competitive world of fashion retail, delivery can be a true differentiator. Fashion sets the bar high for customer expectations with faster delivery, more convenient click and collect, and a superior customer experience.
In our latest 2019 Fashion & Footwear Multichannel Retail Report, we explore how the fashion retail industry performs in both delivery and click and collect when it comes to cost, choice, and convenience. So what are the latest trends in delivery for the fashion and footwear industry?
#1 – Fashion retailers are more likely to offer non-store click and collect
The fashion industry is leading the way in non-store click and collect, using partners like HubBox, Collect+, myHermes etc. to offer customers the ability to order online and collect their order from convenience stores, lockers etc. A significant 41% of fashion retailers are able to offer this service, compared to only 32% of all retailers.
Being able to offer your customers the choice and convenience to shop (or, in this case, collect) when, where and how they want can be transformative for any multichannel retailer and can increase conversion rates site-wide.
#2 – Fashion retailers offer faster in-store click and collect
Not only do fashion retailers offer more diversity in their click and collect options, but they also offer faster in-store click and collect, with the majority of fashion retailers able to offer the service next day or sooner. 40% of fashion retailers can offer in-store click and collect next day or sooner, compared to only 33% of all retailers.
Fashion retailers tend to have an existing complex infrastructure for both delivery and stock check to cope with fast-moving stock and demand. It is likely that the majority are able to take advantage of this existing setup to offer immediate or same day click and collect if the product is available, or a speedy delivery to the customer’s choice of store if not.
#3 – Fashion retailers are more likely to charge more for click and collect
However, fashion retailers tend to charge more for click and collect when they don’t offer the service for free. Fashion retailers charge an average cost of £3.02 for in-store click and collect, with an average cost of £2.78 across all retailers.
Nevertheless, 80% of fashion retailers do offer the service for free, and so charging any cost at all for in-store click and collect could be detrimental for fashion brands looking to differentiate and compete with others in the industry.
#4 – More fashion retailers can offer next day delivery
Fashion retailers are also able to offer a premium service for home delivery, with the majority of fashion retailers offering faster delivery than most other industries. 88% of fashion retailers can offer next day delivery, compared to only 81% of all retailers.
In the world of fast fashion, customer expectations for delivery are at an all-time high with the majority of customers in the ‘instant gratification generation’, a term explored at our latest Ecommerce Tech Meetup from Klarna. Customers don’t want to wait for their order, but there are still many fashion retailers who can only offer home delivery after 5 working days or more.
#5 – Fashion retailers charge more for delivery
However, in order for fashion retailers to offer a superior delivery and click and collect service, the level of infrastructure increases and so does the cost. As a result, on average, fashion retailers charge more for the majority of delivery options than most other retailers.
Standard delivery has the least disparity, with fashion retailers charging an average of £4.43 compared to £4.26 for all retailers, only a 4% increase.
Same day delivery is only slightly higher too, with a 16% difference. Fashion retailers charge an average of £12.82 for same day delivery, compared to £11.07 for all retailers.
Next day delivery has the greatest difference in average cost, at 27%. Fashion retailers charge an average of £7.72 for next day delivery, compared to £6.08 for all retailers.
Whilst the fashion industry charges more for delivery options, the costs aren’t significantly higher and it seems that customers are willing to spend a little more for a faster delivery service.
Fashion is a leader in multichannel
It is clear from the analysis in our recent 2019 Fashion & Footwear Multichannel Retail Report and our previous non-industry specific reports that the fashion industry leads the way and sets the bar high for customer expectations.
This is fantastic for most fashion retailers, but those who cannot offer an above average customer experience may struggle to survive. If you are locked into old systems that don’t give you the flexibility to integrate the latest tech, you may be in need of a holistic digital transformation to give you the edge you need to boost efficiency, profits and sales in the always competitive fashion industry.