Phil Muncaster

E-commerce success is all in the delivery

Online businesses that earn a reputation for reliable service throughout the transaction process will be the ones best able to ride out the slump

Written by Phil Muncaster

It had to happen in the end. “Green” has been replaced on the list of most overused terms employed to sell IT by “economic downturn”. The list of vendors prepared to reinvent their products to highlight just how much money and time they could save you, and how much more efficient they can make your staff, has reached critical mass. The world’s going to hell, but before we get there, you might as well save your firm some money and get a promotion by buying a new piece of IT kit.

Actually, can I shock you for a moment? E-commerce is doing pretty well. Among all the talk of recession, depression and economic regression, there is a success story out there, and used in the right ways, the web channel could be a godsend for retailers. It could help public-sector bodies too. Get citizens to request and pay for council services online, for example, and imagine how many drop-in centres you could close.

A recent report by affiliate marketing firm Linkshare found that shoppers are increasingly turning to the web for the best bargains or to do research before shopping in store. Sites that feature peer reviews of products are also reporting healthy rises in traffic. While 56 per cent of consumers said they are planning to decrease offline spending, only 46 per cent said the same about online buying.

The message is clear get your online store in order, preferably before Christmas, although by now it’s probably too late for this year’s festive period. Improving your online store involves a range of different factors, including a search engine optimisation strategy to ensure you rank high on Google, as well as usability, availability and performance testing. Another key consideration is the integration of online, bricks and mortar, and call centre channels.

But the mistake many in the e-commerce sector seem to make is paying too much attention to the bells and whistles on their web site and spending too little time on the back-office stuff that can make or break the business. They might not be as sexy as web design, with its Ajax this and Flash that, but supply chain management and other disciplines are just as important. You might have made the check-out process as smooth and the site navigation as effortless as possible, but if a customer’s order is left unfulfilled because you’ve run out of stock, you can kiss your next sale goodbye.

It has become something of a truism these days, but in the world of e-commerce the customer truly is king; retention is difficult when switching suppliers is so easy, and prices are so competitive. That’s when factors such as delivery become extremely important.

Industry body IMRG last year launched a new initiative ­Internet Delivery is Safe (IDIS) ­ to combat the woeful levels of delivery service provided by most e-commerce firms. Very few allow you to choose delivery times, or if they do it will come at a premium price.

Retailers displaying the kitemark have to ensure they provide clear information on deliveries before an order is placed, delivery within an agreed timeframe, and clear charges. The emphasis is on convenience and reliability.

Recently, I had the pleasure of ordering a new bed from the Co-op ­like your typical Web 2.0 shopper, I have no loyalty to this company, I just found it through Google ­ and noticed the IDIS emblem proudly displayed.

Available delivery dates were shown on an easy-to-read calendar display, three-hour time slots were offered, then follow-up phone calls to check the address, and finally a text to confirm details. It’s not rocket science, but these things could help your customer retention at a time when, as you know, we’re all headed for economic disaster. Oh, and the bed was delivered on time too, by the way.

reader comments

related articles

Barclays logoSoftware

Barclays Capital boosts e-commerce

Investment bank opts for latest internet application tools 20 Oct 2008

 

E-commerce to thrive in credit crunch

Consumers seek bargains online as economy falters 14 Oct 2008

Tough times mean IT must fight to survive

The financial services turmoil will have an inevitable effect on IT professionals 25 Sep 2008

Borders goes solo online

The bookstore chain ends Amazon partnership as new website launches 16 Jan 2008

Online sales bolster Domino's Pizza results

Online orders double 21 Jul 2008

E-commerce to thrive in credit crunch

Consumers seek bargains online as economy falters 14 Oct 2008

Retailers put IT to the test over Xmas

'Pure-play' retailers please online buyers, but traditional retailers with web presence rank first in availability, says research 22 Dec 2008

related whitepapers

today's top stories

Lack of enterprise appeal takes shine off Chrome OS

Enterprise buyers unlikely to ditch Windows for Chrome OS in the near term, say experts 09 Jul 2009

How Satyam cleaned up its act

Chief executive CP Gurnani tells Angelica Mari why Tech Mahindra opted to keep the Satyam brand after it bought the scandal-hit services firm, and explains what the deal means for existing and prospective customers 09 Jul 2009

Open source bites back

Recession-hit companies are tired of vendors holding a gun to their heads over software licensing, says CEO of Ingres 09 Jul 2009

"We will ensure Britain remains at the forefront of the digital revolution"

As new trials of superfast broadband get under way, minister Pat McFadden explains the government’s digital vision 09 Jul 2009

Put social networks to work on your career

Increasing numbers of IT professionals using sites such as LinkedIn to grow contacts and find jobs 09 Jul 2009

Advertisement

Newsletter signup

Sign up for our range of FREE newsletters:

More available - click 'submit' to view

Existing User

Newsletter user login:

Advertisement

Jobs

Related jobs

Job of the week

Job alerts

Sign up here

Find your next job

IT Salary Checker

Check salary here

Advertisement

White papers

Search white papers

Top categories

VPN, Extranet and Intranet Solutions

WAN/ LAN Solutions

Network Security

Interoperability-Connectivity

Grid/ Utility Computing

Latest poll

Would you use social networking sites to look for a job?

Would you use social networking sites to look for a job?

Tell us what you think about job hunting through LinkedIn, Facebook, Twitter etc

View poll results

Latest audio and video articles

network cablesVideo

How to maximise the value of your IT networking investment

A panel of experts discuss networking strategies that deliver real value to business 03 Jul 2009

green footprintsVideo

How to manage enterprise energy use - and the role IT can play

A panel of experts explore how firms can get to grips with their carbon footprint and make smarter use of energy 01 Jul 2009

Latest in-depth articles

Google ChromeAnalysis

Lack of enterprise appeal takes shine off Chrome OS

Enterprise buyers unlikely to ditch Windows for Chrome OS in the near term, say experts 09 Jul 2009

Satyam CEO CP GurnaniNews

How Satyam cleaned up its act

Chief executive CP Gurnani tells Angelica Mari why Tech Mahindra opted to keep the Satyam brand after it bought the scandal-hit services firm, and explains what the deal means for existing and prospective customers 09 Jul 2009

Advertisement

Primary Navigation