Traditional last mile delivery is known to be the most expensive leg of the journey, costing about 28% of the total delivery cost. Last mile delivery is getting the goods delivered safely to the consumers and involves interaction with the consumers. Consumers are highly likely to abandon a retailer when there are issues with their deliveries so providing a good user experience is essential in retaining them.
What should e-commerce platforms improve to ensure higher market shares?
We live in an era where almost anyone can set up online stores. The ease of setting up a website makes online stores so common that it's a struggle to stand out amongst one another. In fact, e-commerce platforms are growing at such a rapid pace that online businesses are all trying to go the extra mile to gain the highest market shares.
In 2015, how would consumers buy their groceries, meals, clothes, stationary and electronic appliance? Many customers will buy via online stores as they are too busy with work and everyday life, there is no time for them to purchase via physical store.