Introduction
Fast shipping has become increasingly important in today's world. According to a survey, 97% of online customers think that same-day delivery is fast, while 95% think that next-day delivery is also considered fast [1]. The rise in popularity of fast shipping can be attributed to several factors, including the convenience of online shopping and the prevalence of Amazon's quick delivery times. This article will explore the main reasons why people care so much about fast shipping, including instant gratification, impulse purchases, price insensitivity, competitive advantage, customer loyalty, comparison shopping, trying new products, and gifting.
Instant Gratification
People have become accustomed to getting things quickly in the digital age. With technology like smartphones, streaming services, and one-click ordering, everything is available instantly with the click of a button. This has fed people's desire for instant gratification.
Fast shipping options like same-day delivery allow consumers to satisfy their craving for immediate rewards. According to one study, "This psychological interplay between instant gratification and expedited shipping extends beyond mere material rewards. It often translates into an enhanced emotional experience for online shoppers."1 Fast shipping provides the instant dopamine hit of receiving a purchase quickly.
In a world of real-time updates and on-demand entertainment, waiting days or weeks for a delivery seems unbearable. Fast shipping caters to this mentality by enabling consumers to get their purchases as soon as possible. Marketers leverage people's impatience and need for instant gratification to promote expedited shipping options.
Impulse Purchases
Fast shipping makes it easy to buy things impulsively without waiting. With rapid delivery, consumers can get the instant gratification of having a product in their hands within 24 hours or sooner. This feeds impulse buying behavior, especially online.
One-click shopping and buy now buttons further enable impulse purchases. According to research, nearly 75% of Americans make most purchases on impulse (https://fitsmallbusiness.com/impulse-buying-statistics/). When consumers can complete transactions seamlessly with just a click, it becomes very easy to buy spontaneously without thinking it through.
The convenience of fast shipping allows consumers to act on momentary impulses to purchase something. They don't have to wait days or weeks to receive the product, which would give them more time to evaluate whether they really want or need it. Fast shipping caters to the human desire for instant gratification.
Price Insensitivity
Fast shipping makes consumers less sensitive to the price of products. When items can arrive within hours or 1-2 days, people tend to care less about finding the absolute lowest price or bargain hunting. The convenience and instant gratification of fast shipping outweighs potential cost savings from shopping around.
Research shows that when same-day delivery is available, many customers opt for it even if it costs more. The quicker fulfillment makes the higher delivery fees seem negligible. Customers also tend to increase basket sizes when expedited shipping is offered, spending more freely when purchases arrive rapidly.
Fast shipping caters to impulsive buying tendencies. When products can land on doorsteps overnight, people feel less need to sleep on a purchase or seek out discounts. The immediacy of quick fulfillment feeds into impulse purchases and diminished price sensitivity.
Competitive Advantage
Fast shipping gives retailers a competitive edge when it comes to customer acquisition and retention. Research shows that customers are increasingly likely to choose retailers that offer the fastest shipping options.
According to a recent report, 80% of surveyed consumers said they would switch to a retailer that provides faster delivery times (https://www.supplychaindive.com/spons/consumers-want-ultrafast-delivery-and-they-want-it-today/646011/). With so many options available online, shipping speed has become a key differentiator that sways purchase decisions.
Offering expedited shipping can give retailers a significant competitive advantage in attracting new customers. It also helps retain existing ones by providing a superior customer experience. Customers appreciate the convenience of getting their purchases quickly, which builds brand loyalty.
Retailers that fail to provide fast shipping options risk losing business to competitors. The ability to get products to customers faster than others can be a make-or-break factor in today's e-commerce landscape.
Customer Loyalty
Fast shipping increases customer loyalty and retention. Delighting customers with quick delivery encourages repeat business. According to a survey by Dotcom Distribution, 87% of online shoppers say shipping speed significantly influences their likelihood to buy from the same retailer again (https://fastercapital.com/content/Shipping-and-delivery--The-Impact-of-Fast-Shipping-on-Customer-Loyalty-and-Retention.html). Speedy shipping conveys a message of respect for the customer's time and urgency. It builds trust, showing that the business is committed to getting purchases into customers' hands as soon as possible.
When customers receive orders faster than expected, it creates a positive impression and emotional response. Rapid delivery exceeds customer expectations and makes them feel valued. This strengthens brand loyalty and increases the chances of return purchases. Customers are more forgiving of other small mishaps when shipping is fast. Next-day or same-day shipping can act as a competitive advantage to win over customers from rival brands.
Comparison Shopping
Fast shipping enables easier comparison shopping between sites. When shipping is expedited, customers can order items faster from multiple retailers and directly compare factors like price, product details, and delivery time. As per a marketing study guide, fast and convenient shipping experiences make comparison shopping easier by allowing customers to evaluate different buying options.
With quick delivery times, customers don't have to wait long to receive orders from different websites. This facilitates ordering products from multiple stores in a short timeframe. According to Baymard Institute research, the estimated delivery date should be visible alongside shipping costs to further enable comparison shopping across retailers.
Trying New Products
Fast shipping makes customers more willing to try new items and brands. When shipping is slow, customers tend to stick with familiar purchases since there is lower risk. With fast shipping, the wait time for an unproven product goes down, so customers feel more comfortable experimenting.
According to research, 62% of shoppers say delivery speeds influence their purchasing decisions (source). Fast shipping allows them to conveniently try new products and brands. If the product doesn't meet expectations, they can quickly return or exchange it.
Without fast shipping, the risk is higher that the customer will be stuck with an unsatisfactory product for a long time as they wait for a return or exchange. But with expedited shipping, that risk is minimized. This gives customers more confidence to step outside their comfort zone and sample new items.
In summary, fast shipping directly enables customers to conveniently try new products and brands. The lower risk of waiting a long time for an unknown item makes customers more willing to experiment.
Gifting
Fast shipping is especially important when it comes to gifting. Many people rely on fast shipping options to ensure gifts arrive on time for birthdays, holidays, anniversaries, and other special occasions. According to research from Retail TouchPoints, the rise of ecommerce has reshaped gift-giving, with more people purchasing gifts online up until the last minute (How Ecommerce Shoppers are Reshaping Gift Giving, 2023). Offering expedited shipping gives procrastinators and last-minute shoppers the ability to still purchase thoughtful gifts for loved ones, even just a day or two before the occasion.
Fast shipping provides flexibility for those gifting on a tight timeline. Rather than being limited to whatever physical stores have in stock, online shoppers can browse a much wider selection of gift ideas and know the items will arrive on time thanks to expedited shipping options. This allows for more personalized, meaningful gift-giving. Additionally, fast shipping gives peace of mind that gifts will not arrive late and disappoint recipients. By providing reliable expedited shipping, ecommerce retailers can cater to the growing last-minute gifting segment and enable joyful gifting experiences even when shoppers cut it close to the deadline.
Conclusion
In conclusion, fast shipping is important to many consumers for several key reasons. First, it provides instant gratification and the ability to get purchases quickly. People increasingly expect and demand rapid fulfillment of their orders. Second, fast shipping enables impulse purchases without having to wait long for the item to arrive. It makes buying spontaneously more feasible.
Additionally, some customers are less price sensitive when faster shipping is an option. They will choose expedited delivery even at a premium cost. Retailers can also use fast shipping as a competitive advantage to attract and retain customers. Providing free next-day or same-day shipping is a way brands try to build loyalty. Comparison shopping is easier when shipping is fast, allowing people to try more products with less lag time. Fast shipping also makes gifting more convenient at the last minute.
Looking ahead, expectations for even faster fulfillment will likely continue rising. Same-day delivery could become the norm in more areas as logistics networks expand. Retailers will need to invest in supply chain capabilities to keep up with demand. Overall, fast shipping looks poised to be an increasingly important service that consumers factor into their shopping experience.
