Delivery Logistics Industry
Thought and Leadership
If there is any company that is a model of efficiency, especially when it comes to deliveries, it is Amazon. It's one of it's competitive advantages - when you order from Amazon, you can be sure the package will arrive on time. However, there is one notable exception that served as a wake up call to the entire industry.
In 1991 catalog industry veteran Don Libey went on stage at the annual Catalog Conference and claimed that the country is heading towards same-day delivery models. Many seasoned catalog executives in the audience laughed. Today, retail giants like Amazon.com, Google, eBay and Wal-Mart are making same-day delivery a reality.
A survey conducted by comScore Inc. in 2013 showed 92% of consumers were willing to wait four or more days for free delivery. However, the demand for same-day delivery might be weaker than expected. According to a new Booz & Company survey of more than 1,000 online shoppers in the United States, most customers don’t necessarily need same-day delivery and, in fact, in many cases they don’t want it. Some stated they don’t want the item to arrive while they are making dinner or putting their kids to bed, let alone have it sit on their doorstep overnight.
Tech investor and thought leader Semil Shah wrote a fantastic piece earlier this year titled “The On-Demand Stack.” In the post, Semil described the paradigm shift in consumer behavior and expectations, in which they now can get what they want when they want it, and know exactly where it is along the way.