I say this with 100% sincerity: how you respond to these findings could be the difference between death and life for your company.
Multichannel Merchant produced a staggering article on the shipping options customers expect based on their age.
The best part? This is all quantified data, not just guesses based on gut feelings or stereotypes about the different generations.
Here are the facts:
63% of customers across the board want their items to arrive within three days.
50% have completely abandoned a shopping cart due to the price of shipping.
43% have completely stopped shopping at an online retailer because of unwanted shipping costs!
If your N.Y.C-based business makes solid gold, mango-shaped paperweights, and your target audience is in L.A? That might put a little shiver in your step.
But it doesn’t mean customers aren’t willing to pay for an upgrade!
Customers who expect an option to take their mail from snail to roadrunner are:
47% of Generation Z (Born 1995-2010)
43% of Millennials (Born 1980-94)
39% Generation X (Born 1960-79)
26% Baby Boomers (Born 1940-59)
Obviously, most nine-year-olds aren’t doing their own online shopping. But keep this in mind...they’re not getting any younger!
It’s refreshing to see that a decent number of consumers are okay with your business passing the extra shipping costs along to them—even if it’s not a wide majority in any group!
Here’s where we get to the next dip in the rollercoaster.
Most of these customers are online with the expectation that their shipping cost starts at $0.
“The report found that 75% of U.S. consumers expect free shipping, even on orders under $50, up from 68% in 2017.” - Daniela Forte
Free shipping is expected as par for the course from:
76% of Gen Z
61% of Millennials
77% of Gen X
88% of Boomers
The numbers don’t lie, warrior. Everybody wants it ‘Fast ‘n Free’! And these numbers have only been trending upwards.
You might find yourself wondering...
“What platform could I possibly sell my products on that allows for fast, free delivery?”
I’ll give you a hint, it’s named after a famous river. And there’s no room for “De Nile”.
Amazon’s FBA services allow for your products to be shipped directly to Amazon’s fulfillment centers across the country, so that Prime customers have the option of free shipping, and other customers can save the wait if they’re miles away from your headquarters.
That means if you’re dealing with a storefront slump on platforms that leave shipping in your hands, an Amazon setup may be something to consider as a supplement or substitute to your current operation!
Do you see what happened here, by the way?
Conventional “wisdom” might say that Millennials and Gen Z as the youngest groups would want free shipping the most. But mature customers top the charts by over a 10% margin!
Your gut could also say Boomers and Gen X, as the oldest generations, might expect free delivery by leaps and bounds because they assume too much of modern shipping logistics. But the youngest generation with the least independent purchasing power is only barely in third place!
This is why you have to look at the hard numbers every time.
Continue to flow and adapt to your customers needs, and you’ll see the rewards!
If these stats have you ready to dive headfirst into the world of Fulfillment By Amazon, my team and I are here to help! All you need to do is step up to the plate.