An eCommerce business is successful when its customers are satisfied. But what drives this satisfaction? The factors that contribute to this satisfaction may include offering a wide range of quality products at reasonable prices and ensuring quick delivery. Experts point out that on-time delivery has become a tipping point in this industry, with 52% of buyers wanting orders delivered in 2-3 days, or they will move to those that offer such shipping services.
In this article, we will discuss the causes of shipping delays, their impact on businesses and look at ways to prevent them in order to achieve customer satisfaction.
There can be many causes of shipping delays; some are more common than others. Here we will explore six of the most common causes of shipping delays and see what businesses can do to prevent them.
The most common cause of shipping delays is due to supply chain disruption. This could be due to global and economic reasons, supply chain shortages, capacity restrictions, port congestion, or vessel delays. The ideal way to prevent such uncertainties is to focus on supply chains, have a distributed inventory and ensure backup supplies at critical stages.
Shipping services are often impacted by natural calamities such as flooding, earthquakes and hurricanes. These events can cause significant damage to infrastructure, resulting in supply chain disruptions and shipping delays. Businesses should consider having contingency plans, like alternative shipping routes, in order to overcome such situations.
Recent global emergencies like Covid-19, the Russian invasion of Ukraine, and the blockage of the Suez Canal have had a significant impact on the shipping industry. While merchants cannot control these events, they should be prepared to adapt their shipping strategies to reduce the impact of such emergencies.
In many manufacturing economies, national holidays can cause delays in shipping. Shipping orders during holiday periods can be challenging, resulting in backlogs and bottlenecks that can further delay shipments. To avoid these delays, businesses should plan ahead and adjust their shipping schedules accordingly.
The shipping industry relies heavily on physical labour, from picking and packing orders to loading and unloading packages. Any labour-related issues, such as strikes or shortages, can have a significant impact on shipping times. To avoid delays caused by labour issues, businesses should maintain good relationships with their employees and have plans in case of labour disputes.
Incorrect shipping addresses can result in delays or even failed deliveries. Common errors like typos in the address or wrong phone numbers can cause incomplete deliveries. To prevent these delays, businesses should double-check shipping addresses before dispatching shipments.
Any type of shipping delay is a loss for businesses and also leads to customer dissatisfaction. The expectation of an eCommerce buyer is that the orders will reach them in a few days. Every time the shipping time limit is exceeded because of any of the above-discussed reasons, customer dissatisfaction rises, eventually resulting in a loss of sales to the businesses.
The merchant or retailer also suffers every time a shipping order is delayed. This happens in the following ways:
In order to control the impact of shipping dealers, merchants should have the following strategies in place:
Effective communication can help manage and mitigate delays. Frequent updates will help suppliers focus on potential delays and work to overcome issues ahead of time, ensuring that you have the necessary supplies and adequate inventory.
Data analysis can aid in forecasting potential shipping delays, enabling you to take proactive measures to avoid or minimise them. Additionally, analysing your shipping data can help you optimise your overall shipment process.
Conduct periodic reviews of your shipping procedures to identify inefficiencies and areas for improvement. This can include streamlining order processing, optimising packaging, and identifying potential bottlenecks in the shipping process.
Consider using shipping software to automate repetitive tasks and improve accuracy. For instance, shipping software can help generate shipping labels, track shipments, and streamline communication with customers.
Choose shipping partners who have a proven track record of timely and efficient delivery. Consider factors such as shipping speed, reliability, and cost-effectiveness when selecting your shipping provider.
While solving the problem of shipping delays is not easy, third-party providers like Fulfillment have several solutions. They offer –
Solutions by Shiprocket are in line with the expectations of retailers and merchants to deliver on time to customers. To know more about Fulfillment services, click here.
Shipping delays are not anticipated this year since most issues related to post-pandemic pressures are now eased. Shipping ports are decongested, and shipping free-flow is expected. Hence, no major delays are anticipated.
The ports that are decongested areas – Shanghai Port, Port of Busan, Shenzhen Port, Port of Guangzhou, Port of Ningbo, and Port of Qingdao. It appears that the supply chain and shipping crisis has improved in the past two years, with ports becoming less congested.
Shipping costs have increased significantly in the past year since carriers suffered from fuel surcharges. General rate increases (GRI) have led to further surcharges in shipping costs.
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