BI Intelligence
People are willing to pay for same-day delivery of gifts and big-ticket tech items.
But new consumer needs, behaviors, and expectations are changing the equation. E-commerce companies believe they can finally persuade customers to pay a fair price for virtually instant delivery, which bypasses traditional logistics channels.
In a $4, $4 takes an exhaustive look at the same-day delivery market, sizing the percentage of people who will purchase goods to be delivered the same-day this year. We uncover the demographics of same-day delivery customers, the markets where these services have the best chance of taking off, and assess how each of the many new same-day delivery entrants compares to the others.
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Here are some of the key insights as to why consumers are ready for a same-day delivery market:
- $4. More than 50% of US consumers said it's because they need a last-minute gift, according to Boston Consulting Group.
- $4: More than 40% of consumers said they would abandon an online shopping cart if they couldn't have gifts or flowers delivered the same day, according to a 2013 Bizrate survey.
- $4. Thirty percent of consumers said they would select the option simply if they didn't feel like going to a store.
- $4: Nearly 60% of US consumers said they would be willing to pay more than $10 to have furniture delivered the same day. Large appliances were a close second. These results indicate there are certain types of orders where convenience outweighs the added cost of quick delivery.
In full, the report:
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Disclosure: Jeff Bezos is an investor in Business Insider through his personal investment company Bezos Expeditions.