Archive for the ‘Multichannel retail’ Category



Shutl makes shoppers 2.4-2.8 x happier

Tuesday, February 1st, 2011

I’m told our retailer pitch is a tad long… so thought would distil down to what really matters over a series of blog posts.

Why does happiness matter?

Delivery is usually the last step in the customer journey, and therefore the final touch point of a retailer’s brand.  If a retailer wants that customer to keep coming back, they need to make ensure that interaction is a happy one.

We see  Shutl as a key means for a retailer to improve the loyalty of their customers (more on this in a future post), and with this in mind we are dead keen on making shoppers happy.  After all, we have a vested interest in doing so… shoppers must actively choose Shutl over other standard delivery options which are rarely branded.  They are very much our customers too and we must therefore make them happy if we want to keep them coming back.  Normal courier companies do not have this alignment; they treat the retailer as their customer.  Yes, I know the retailer obviously wants happy customers however the alignment is not direct, especially when the retailer is unaware of the shopper satisfaction.

Measuring happiness @Shutl

When I read about the UK government’s plans to measure the happiness of their customers,  it struck me that if the coalition were capable of achieving such an ephemeral ambition, then surely so must we.

Lo and behold… Shutl has a series of satisfaction questions which we send to Shutl shoppers via email as soon as they have received their delivery.  Whilst we do not pretend that it is a good indicator of how happy they are in life, we feel it is a decent indicator of their delivery satisfaction.

34% of Shutl customers have provided feedback since August (when we started asking for it) and that proportion is increasing month on month.

Over the same period, our average satisfaction score has been 94% across Ease of use, Value for money, Speed of delivery & the delivery person.

Since we started asking a Net Promoter Score question in September, Shutl’s NPS has been 80%.   This means that 85% of shoppers are rating themselves a 9-10/10 for the likelihood of them recommending Shutl to a friend or colleague.

There is also a free text field on the feedback form where shoppers can leave general feedback. These comments are posted automatically, live and unedited, onto www.shutl.co.ukTwitter and Tumblr.

We want our service to be transparent so that shoppers (not just retailers) will want to trust us with their orders.  We want to know if there are problems and what these are so that we can fix them while we are still small and flexible.  In many ways we are fortunate to be starting from scratch so that we can do this from day 1 (well day 150 give/take).

How happy does non-Shutl delivery make shoppers?

Unfortunately we don’t possess like-for-like data from conventional delivery companies… in fact I am not aware of any conventional courier firm that actively requests this feedback from all of their customers, let alone shares it with the rest of the world.  Until such time as conventional courier companies are providing this data,  I thought a good (enough) way of judging satisfaction would be to look across social media channels to see what consumers are saying about normal delivery.

Yes, I am aware that we’re not comparing apples and apples.  Consumers tend to only broadcast extremes of opinion.  Albeit to a lesser extent, the same can be said of consumers that respond to feedback surveys…  My point is that we are aware of the bias, however we believe that we are still talking fruit.

We used Ubervu’s awesome product to analyse what consumers have been saying about their non-Shutl deliveries over the last 30 days.   We took the 10 largest delivery companies – the ones that retailers currently use. We looked only at blog posts, comments, Twitter & Facebook posts that mentioned the name of the delivery company and the term “courier” or “deliver” or “delivery” and then measured the sentiment.   We ended up excluding the Royal Mail because the volume was just too large and we also do not consider them a direct competitor.  We also excluded DHL, UPS & TNT because a lot of conversations were not coming out of UK and Ubervu did not have the means of effectively filtering this out.  The remaining companies we ended up including in the sample were: Home Delivery Network / Yodel, City Link, DPD, Interlink Express, UK Mail & Parcel Force.

I was expecting it to be bad based on my own anecdotal experience… but I had no idea just how bad.  For the month of January, 52% of all comments were negative,   41 % of all the feedback was neutral and only 7% was positive.  If that was a Net Promoter Score it would be negative.  Really negative.  -45% to be precise.

I then tried to equate this sentiment to our satisfaction score.  Assuming a negative to be 25%, neutral 50% and positive 90%, their weighted satisfaction score would be around 39%.  Again this is really best guess since we are not comparing like for like.

Given that I am not exactly a neutral observer, I have put together a pack containing all this data and our (basic) analysis for anyone to play with.

Conclusion

We already know that almost 2/3 shoppers that drop out of checkout cite delivery factors as a reason for not completing their purchase. And those are the shoppers that are considering purchasing online – who is counting the people whose experiences are turning shoppers away from the internet? One can only guess as to the true extent of delivery’s impact upon online retailers.

I don’t know about you but if I were a retailer wanting to improve customer experience & loyalty, ergo sales & profitability, I would look to find ways of making customers happier about delivery. We are not the only company innovating in this space. ByBox & Collect+ have been at it for years. “Click and Collect” (allowing customers to order online and collect in store) has been offered by Argos for the best part of a decade.

As a starting point, I would want to know just how big of a problem this was. Maybe its time to start asking your customers how happy they really are about delivery?

I can suggest an email template for anyone that wants it.  If Dave/Nick are listening, I suggest they don’t send it out at the end of the month…



Shutl goes mainstream with Magento!

Wednesday, January 5th, 2011

A lot of the people we speak to think about Shutl in the context of Argos – our ‘big’ client.  Whilst this is entirely forgivable, it is also somewhat problematic for us for 2 reasons:

1)      Whilst we are very proud of our work with Argos, the implementation is not exactly a poster-child for our service since Shutl is currently only offered to shoppers who have made a reservation from a participating Argos store.

2)      Since Argos is a very very very large retailer, some SMEs are under the impression that implementing Shutl is beyond their means.

Over the last few months we’ve been working with our friends over at POD1 to develop a shiny new Shutl module for Magento, the world’s fastest growing ecommerce platform.  The module, which shows off the full capabilities of Shutl, will allow Magento customers (mainly SMEs) to quickly,, easily and cheaply offer Shutl.

If you would like to be one of the first retailers to try out the module, please comment below or drop us an email to: info@shutl.co.uk

(Screenshots below are taken from our demo environment).

About POD1

POD1 are a creative digital agency who specialise in designing beautiful, commercially focused websites that optimise the online customer experience. They have a dedicated ecommerce design team who are all specialists in getting the maximum from the Magento platform.
POD1’s e-Commerce clients include: Uniqlo, Kurt Geiger, Jigsaw, Coast, Links of London and Matthew Williamson to name but a few…

About Magento

Magento is a feature-rich, professional open-source ecommerce solution that offers merchants complete flexibility and control over the look, content, and functionality of their online store. Magento’s intuitive administration interface contains powerful marketing, merchandising and content management tools to give merchants the power to create sites that are tailored to their unique business needs. Completely scalable and backed by an extensive support network, Magento offers companies the ultimate ecommerce solution.  Magento is the world’s fastest growing ecommerce platform with 60,000 merchants!



Snow? What snow?

Wednesday, December 22nd, 2010

This was the view from Shutl HQ as the deluge began on Friday 17th Dec. Needless to say it got a lot worse...

The recent snow has put retailers across the UK into a state of panic, their customers shying away from shopping online for fear of not receiving their gifts in time for Christmas.  With transport affected, stores have also been seriously impacted and the peak sales period has taken a serious blow to the chest.  The snow may be beginning to thaw now (here in London at least), but it’s impact may be felt for some time to come.  And it gets worse; there’s possibly more to come… maybe even in time to thwart the post Xmas sales period…

Delivery companies have struggled to cope in the conditions, with many retailers having to release warnings that certain parts of the UK would not be receiving their presents in time for Christmas.   Shutl by contrast has succeeded in operating a full service.  At the height of the bad weather, only a handful of our customers faced minor delays; however these could be measured in minutes and hours rather than days and weeks.  Where we were unable to deliver within the original timeframe, customers were given the option to book a new delivery window at a convenient time later that day or the following day.

Our carriers have done an incredible job of keeping Shutl customers happy – in many cases exceeding expectations – and we’d like to take this opportunity to thank them for the fantastic work they do.  Just check out some of the fantastic feedback comments we’ve been receiving!  As a result of the great service they provide, we’ll be offering both “Shutl Now” (delivery from within 90 mins) and “Shutl Later” (choose a 1 hour delivery window) options right up until the last moment on Christmas Eve. So, as far as we’re concerned, there’s HEAPS of time left to do your remaining Christmas shopping…

What’s more, Shutl delivery is currently FREE from Argos for all reservations over £50!

Retailers need to sit up and start thinking hard about how they’re going to cope with similar situations in the future.  We’ll always be more than happy to help out…

Snow?  What snow?

Have a very merry Christmas!

Useful links:



Thinking about replacing your eCommerce platform? Think again…

Wednesday, September 22nd, 2010

Some interesting observations recently by Andrew McGregor, CEO of eCommera, in the MultichannelRetailer.com.

“The recession has been bad news for the high street but online retailers have seen real growth because of the benefits they offer to consumers. Price is an obvious benefit of shopping online as it’s far easier to shop around online for a bargain by visiting multiple retailers’ websites or using price comparison sites. But greater choice, a flexible range of delivery options and the convenience of shopping at any time of day and taking delivery without ever having to queue in-store or seek for a parking space, is also critical and clearly driving growth in online sales.”

This is certainly an opinion that we at Shutl would subscribe to. Improved delivery options, amongst many other elements, are attracting more and more people to shop online. The marked progress in this area is slowly but surely overcoming the major hurdle of having to wait days for inconvenient delivery windows, and ultimately presenting potential shoppers with a major barrier to completing their online purchase.

As our friend Huw Thomas of Paul Mason Consulting mentioned in his presentation at the Retail Systems Multichannel Retail Summit, now is a time when many retailers are wrongly spending time and effort evaluating costly upgrades to their e-Commerce platforms so that they can have all the ‘whistles and bells’. The shrewd ones, by contrast, are focusing on improving the last mile of the customer journey. Why? Because any retailer’s web experience can be mindblowingly good. It can win heaps of awards, and it can be stand head and shoulders above any of its competitors. However, the better that online experience, the higher the expectation that is set in the mind of the shopper… and it goes without saying that if that expectation is ultimately savaged by a poor delivery experience (and let’s face it – we all know what that is), it does nothing but leave a very sour taste in the mind of your customer. And for all those ‘whistles and bells’ on the front end, customers will vote with their feet. And they won’t return. And they’ll tell their friends.

For retailers looking at giving their online sales a further boost, the number one issue you should be looking is the delivery options that you currently offer to your customers and how well they’re communicated as part of your core value proposition. Offering a truly customer-centric delivery service will not cost your business a penny, and will put an end to the two thirds of your shoppers who are currently abandoning their shopping carts because of costly and inconvenient delivery options. It’ll also increase your existing conversion rates and AOV by as much as 35% (often much more…)

Of course, that’s not to say that the front-end web experience is not important! It absolutely is. Just that retailers looking to get the best bang for their buck should maybe readdress their priorities.



What does ’same day delivery’ mean? It depends where you shop…

Wednesday, August 25th, 2010
August is usually a slow news month for retailers.  This August has been a bit of an exception – at least when it comes to delivery – with both Argos and Firebox launching new same day services.
It may not come as a surprise for me to tell you that delivery is a subject of some interest at Shutl HQ.  What we find particularly intriguing is that whilst there are currently only a handful of retailers offering “same day” delivery, these services can vary a great deal depending on the retailer.

You might be surprised to hear that a ’same day’ service from one retailer could in-fact take up to 36 hours to arrive and cost almost £20… whilst the same service at another retailer could take just 90 minutes and yield change from a fiver?   On the face of it, some ’same day’ services might appear to be rather more equal than others…

With delivery becoming an ever more important differentiator (topic for another post) we expect many more retailers to launch ’same day’ services in the build up to Christmas.  Whilst these offerings will all be labelled ’same day’ we also expect them to vary quite considerably.

Given this, we felt now would be an opportune moment to shed some light on what we believe ’same day’ delivery currently means to retailers and their customers.  It is our intention to use this data to enable a ‘like for like’ comparison of these services particularly as they develop , and promote discourse that might lead to standardisation and, eventually, universally improved customer offerings.
To this end, we are actively seeking feedback from shoppers, retailers and delivery providers in the hope that we can make this table as accurate and useful as possible. If you’d like us to cover your same day service then please get in touch!


NOTE: We have compiled the below table from UK retailers that we are aware currently offer a ’same day’ delivery proposition and the terms of service advertised within their websites.


DISCLOSURE:  Shutl powers Argos’s same day delivery offering and acknowledge this makes us somewhat unbiased… We are therefore very happy to pass the torch on to someone more appropriate should they put themselves forward.



What Jimmy Carr likes about internet shopping….. (NSFW – Liberal use of the English language!)

Wednesday, August 25th, 2010

Internet shopping from Rupert Greenhill on Vimeo.



How to shutl from Argos?

Wednesday, August 4th, 2010

Central London-based visitors to www.argos.co.uk can now get their orders delivered within as little as 90 minutes, or pick a one-hour delivery window between 9am and 9pm. The service is offered seven days a week and costs from £4.95, which means that getting your purchase exactly when you want it can be even cheaper than a standard 2-3 day delivery charge.


Which stores is Shutl delivery available from?

The service is currently available from 75 Argos stores in and around London. Click to see list.
Altrincham Retail Park
Balham
Beckton
Bexleyheath
Bletchley
Brixton
Bromley Market Square
Bromley The Mall
Camden
Catford
Charlton
Colliers Wood
Cowley Retail Park
Cricklewood
Croydon Church Street
Croydon Purley Way
Dagenham Merrielands RP
Dalston
Dartford
East Ham
Edgware
Edmonton Ravenside Retail Park
Edmonton Green
Eltham
Enfield De Mandeville Retail Park
Enfield Town Centre
Erith
Feltham
Hammersmith
Haringey
Harlesden
Hayes Station Road
Holborn
Holloway
Hounslow
Ilford
Kensington
Kilburn
Manchester Ancoats
Manchester Arndale
Manchester Fort
Manchester Hulme
Marble Arch
Mill Hill
Milton Keynes
New Oxford Street
North Finchley
Old Kent Road
Old Street
Peckham
Romford Market Place
Romford Gallows Corner
Sale
Salford Regents Park
Salford Shopping City
Shepherds Bush
South Ruislip Victoria Retail Park
Staines
Staples Corner
Stratford
Streatham
Stretford
Sutton
Swiss Cottage
Tottenham Hale
Uxbridge
Victoria
Walthamstow 50 High Street
Walworth Road
Wembley
Whitechapel Road
Wimbledon
Wood Green
Woolwich
Wythenshawe



How do I order Shutl delivery?
Ordering Shutl delivery is unbelievably easy. Just follow these simple steps:


1. Find the product(s) that you want to buy online and reserve for collection from store.




2. Check stock at your local store and place your reservation.



3. Enter your e-mail address and click “Place reservation”.



4. When presented with the Shutl delivery option, click “Shutl it”.


5. Get your free delivery quote and complete online payment for your item(s).





Shutling from Laithwaites

Saturday, May 1st, 2010

We are very excited to announce that Laithwaites, the UK’s leading wine merchant, recently launched the Shutl delivery service from its flagship store, ‘The Arch’, at Vinopolis in Borough Market.

Set on the verges of the bustling food market and right next to the Vinopolis wine tour, the Laithwaites occupies an absolutely prime location. With hordes of foody clientele shopping nearby and wine buffs (and winos) walking straight into the store having been inspired by their tastings, there is certainly a ready market to tap into. However, the lack of nearby parking and the ever-so-slight inconvenience of public transport means that the real challenge the store faces is in promoting sales of cases (rather than simply single bottles of wine/spirits).

After a bit of head scratching, Shutl came up with the perfect solution; we developed a point of sale (POS) application that enables purchases to be delivered immediately (within 90 minutes) or at a time of the customer’s choosing. Laithwaites staff now promote the Shutl service in-store, giving customers the option to buy larger/heavier consignments of wine without having to worry about getting it home.

The service is only available from the store itself, so customers must either ring the store (0207 407 6378) or visit in person to benefit from the great deals that are on offer.



How many channels do your customers use?

Thursday, April 8th, 2010

According to a recent survey by eCommerce giant ATG, 78 percent of shoppers claim to use two or more channels to browse, research and make their purchases. 30 percent said they use three channels or more.

The access to information and 24/7 commercial availability provided by the internet has fundamentally changed the way we shop. Take me for example (I consider myself an average shopper). I will regularly research a product online (check reviews, price, etc.) before going and buying it in my local shop at the weekend. If the shop is any further than walking distance from home, I’ll probably ring and check that they have it in stock before I bother traipsing down on my Saturday afternoon off. One simple purchase from one shop exploiting three channels. All of which, as a customer, I expect to be staffed and ready to cater to my every whim. Man is an unforgiving beast…

As a retailer, a more effective solution – both in terms of cost and burden to the business – would be if I were to buy the item directly from their website.

Why don’t I just buy it online?
The answer is that I’m a suspicious, miserly, impatient and lazy consumer like everyone else. I still have doubts about the product (it looks too big and I’m still not sure if the colour is quite right?). I don’t want to shell out additional money for a slow delivery service and still run the risk of missing the delivery. And I really don’t want to have to spend my Saturday morning trekking out to the Royal Mail depot and queuing up…

So what do I want?
I want it all and I want it now! And if not now, then at a time that is convenient and doesn’t involve me having to leave the sofa.
Convenience is a concept that by definition implies “at a time and place that suits me”. It is hard, if not impossible, to offer shoppers a “convenient” retail proposition and only operate a single channel to market. Accessibility should not be confused with convenience.

How many channels do you need?
CAUTION: the answer is not as many as possible! In order to maximise sales and build a platform for sustainable growth you need to operate as many channels as YOUR customers habitually use. Obviously this calls into question the cost and effort required to maintain those channels, hence why an integrated multichannel strategy and underpinning solution should go hand in hand.

Ultimately it boils down to knowing what your customers expect and what they want. Top tier retailers invest huge sums in making this type of research a foundation of their decision making, however understanding your customer needs to be at the heart of every retailer’s business, whether a high street giant or a local boutique. And it doesn’t require millions. Just be sympathetic and spend some time  in your shopper’s shoes and live the experience that you offer.



Sounds great…but what about the high street?!

Wednesday, March 17th, 2010

shoppingAccording to Forrester’s Western European Online Forecast, over the next 5 years online retail across the EU will grow at a compound annual rate of 11% YoY  - outstripping our American cousins across the pond (set to grow at 10% YoY).

The predicted numbers are huge and meaningless: the US is the larger market and is set to hit £164.3 billion by 2014. The EU lags at a forecasted total of £103.6 billion. What’s more palatable is seeing what thas means at the human level. Last year, 2009, Europeans spent an annual average of approximately €483 (£439). This amount is set to rise to €601 (£546) in 2014. A very significant change in spending behaviour.

With more than half of all consumers shopping online, the UK is the largest online retail market in Western Europe. Our online retail sales will apparently rise to some €40 billion (£36.3 billion) by 2014.

What’ll be interesting is to see how the predicted rise in online sales impacts sales across other retail channels. As high speed internet becomes ubiquitous, people will increasingly research product reviews, ratings and information online before purchasing elsewhere. Will the predicted growth in online activity cannibalise or fuel sales across all other channels? And what about the high street…?!

At Shutl we believe there is a real need for deeper cross-channel integration. In order to improve service and drive down costs, consumer demand for the convenience offered by online shopping increasingly needs to be fulfilled with stock that is located local to the consumer. The internet and the high street are therefore intrinsically linked. One cannot truly evolve without pulling the other along with it.

Let’s hope that these numbers have the happy ending that we’re expecting…