Daily Data Dive

PYMNTS Daily Data Dive: Slow Delivery’s Cost

A study by on-demand delivery platform Stuart recently found that 88 percent of U.K. shoppers want better delivery services from local retailers and that only 4 percent of U.K. retailers offer same-day delivery options.

In the U.K., 72 percent of online shoppers would spend more at local retailers if same-day delivery options were provided. This amounts to about £4.9 billion ($6.08 billion) in total annual revenue lost. The survey also found that 62 percent of U.K. customers are willing to pay a premium for same-day delivery, which could add up to as much as an additional £94 million ($116 million).

U.K. consumers will return £59 billion ($73.3 billion) worth of items each year, and an additional £3.2 billion ($4 billion) of unused merchandise remains unreturned. They take 4.2 days to begin returning items.

Here are the numbers:

88 percent | Percentage of U.K. customers who want better delivery services from local retailers

72 percent | Percentage of U.K. customers who would spend more if same-day delivery were provided

4 percent | Percentaage of U.K. retailers who provide same-day delivery

$6.08 billion | Amount that could be gained if U.K. customers were to shop more

$94 million | Additional amount that could be gained by charging for same-day delivery

4.2 | Number of days it takes for customers to begin the returns process

$4 billion | Estimated value of unused merchandise sitting in U.K. homes

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Featured PYMNTS Study: 

With eyes on lowering costs to improving cash flow, 85 percent of U.S. firms plan to make real-time payments integral to their operations within three years. However, some firms still feel technical barriers stand in the way. In the January 2020 Making Real-Time Payments A Reality Study, PYMNTS surveyed more than 500 financial executives to examine what it will take to channel RTP interest into real-world adoption. Here’s what we learned.

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