Skip to content
Generic header image 1600x800-v4
Back to Blog

March 4, 2022

How Fast Shipping Can Have a Direct Effect on Customer Acquisition

This is Flexport's mark (alternative). It's the Flexport mark with white.

This blog post was originally published by Deliverr, which is now Flexport. The content has been adjusted to fit the Flexport brand voice and tone, but all other information remains unchanged. With the merging of Deliverr’s services (DTC fulfillment, B2B distribution, and Last Mile delivery) into Flexport’s existing international freight and technology services, we’re now able to provide merchants with true end-to-end logistics solutions spanning from the factory floor to the customer’s door.

Acquiring new customers requires retailers to stay competitive in a booming eCommerce market. Online shopping provides shoppers with endless opportunities to “shop around” for products to determine the best offer they can find. While this is an ideal scenario for the consumer, it makes it increasingly difficult to stand out as a retailer. A key to shoppers’ decision-making is how fast the item will arrive at their doorstep. In fact, 87% of online shoppers identify shipping speeds as a key decision to shop with an eCommerce brand again. By prioritizing fast shipping, your team can grow your customer base and create a positive experience. 

Customer Expectations Drive the Need for Fast Shipping Options

Regardless of how your team feels your delivery speeds compare to other merchants, ultimately it’s the expectations of the customer that determines whether your shipping options are fast enough. With the convenience of online shopping comes the expectation of products to be delivered within a day (or sometimes even within hours). Buyers not only expect a quick delivery from popular marketplaces like Amazon and Walmart, but also from DTC businesses both big and small. 

Convenience drives people to buy almost everything online. Aside from not having to visit a brick-and-mortar store, the turnaround time for the item’s arrival is a high priority for online shoppers. As much as a shopper gets satisfaction from a great deal, they also value the speed at which they can have that item in hand. It’s what keeps online shoppers coming back to their device to shop rather than trek out to a traditional store. The thrill of the chase—for a great deal, delivered at a desirable speed.

Fast Shipping Keeps Your Brand Relevant

Competition is growing as it becomes easier for retailers to create online shopping opportunities. Between live shopping events on social media, targeted ads, and video marketing, consumers are bombarded with options when it comes to where to shop online. If your brand can’t offer fast shipping, it will quickly be replaced by a business that can accommodate these quick turnaround times. 

Take advantage of fast shipping programs to guarantee your items will arrive on time; then it’s time to broadcast your capabilities to entice would-be shoppers. Optimizing ads with fast shipping tags can draw in a potential buyer by spotlighting your product as one that can arrive with same-day, next-day, or 2-day shipping options (in business days).

This feature can set your brand apart from others by highlighting your ability to ship out orders faster than the competition. It makes the decision simple since the shopper can see estimated arrival dates before even adding the item to their cart. Making fast delivery part of your eCommerce strategy is essential to get new customers engaging with your brand.

Cost Per Acquisition (CPAs) Decrease for Merchants

As your marketing team works to attract new customers, let’s consider how they’re spending ad budget. By adding fast shipping options to your campaigns, more sales are generated as shoppers are guided right to your landing page from the delivery tag. When you can promise fast delivery, your ad spending decreases. Companies can leverage their speedy shipping capabilities to positively impact their conversion rates.

Offering fast shipping helps your bottom line by increasing sales. By utilizing delivery fast shipping badges on Instagram, Facebook, and Google Ads, your product listings are more visible and increase the likelihood of a browsing shopper becoming a buyer. As conversions increase, your CPA decreases—allowing you to reallocate funds in your budget for other areas to grow your brand.

Results in a Positive Customer Experience

Showing that you are committed to meeting the expectations of potential buyers is important when connecting with new customers. Offering shipping options, even if they cost more for expedited services, shows that you can accommodate shoppers’ needs. When a shopper sees positive reviews and high ratings on your website, they know your brand values the experience of the customer.

It’s also worth mentioning that fast shipping options attract a younger generation of shoppers who have never had to compromise when it comes to getting a product within a few days. Consumers set the standard for fast shipping, and there is a generation of buyers who have never known a world without Amazon’s lightning speeds (we’re talking about you, Gen Z). In order to stay competitive, consider partnering with a third-party logistics provider to give your buyers options when it comes to shipping speeds. 

How Your Business Can Take Advantage of Fast Shipping

In today’s market, it’s not a matter of whether or not your business would benefit from offering expedited shipping. Consumers thrive on getting items delivered same-day, next-day, or with 2-day shipping. Anything beyond that and you run the risk of a shopper going elsewhere to find a faster fulfillment option. So how can you make fast shipping a reality for your business?

When making claims for fast shipping, it’s imperative that you can guarantee your arrival times. In order to do that, partner with a 3PL that can take the headache out of fast delivery. Flexport can help your team keep the promise of fast delivery by offering optimized warehouse networks which localize your inventory. Moreover, Flexport merchants using fast shipping badges can see an upwards of a 34% increase in sales on average compared to those not using them, according to a recent analysis.

When your brand can offer same-day, next-day, and 2-day shipping guarantees, you give the shopper an incentive for shopping with you. Combine this with excellent customer service, your team can turn this newly acquired buyer into a repeat customer. 

Final Thoughts

Faster shipping speeds really can make a difference when it comes to attracting new customers. Even with impeccable products, businesses need to compete with the need for speed when it comes to delivery. Your fulfillment strategy should include ways to offer fast shipping options to incentivize shopping with your business over a competitor. When you feel confident that you can guarantee fast fulfillment, it’s up to your marketing team to make sure this is a focal point of your advertising. 

Investing in fast delivery badges is a great way to put a spotlight on your shipping capabilities while keeping buyers engaged with your brand. The increased visibility of ads encourages more clicks, increases conversions, and decreases CPAs making it a logical and lucrative next step for your business. Don’t underestimate the power of fast shipping to grow your customer base.

The contents of this blog are made available for informational purposes only and should not be relied upon for any legal, business, or financial decisions. We do not guarantee, represent, or warrant the accuracy or reliability of any of the contents of this blog because they are based on Flexport’s current beliefs, expectations, and assumptions, about which there can be no assurance due to various anticipated and unanticipated events that may occur. This blog has been prepared to the best of Flexport’s knowledge and research; however, the information presented in this blog herein may not reflect the most current regulatory or industry developments. Neither Flexport nor its advisors or affiliates shall be liable for any losses that arise in any way due to the reliance on the contents contained in this blog.

About the Author

This is Flexport's mark (alternative). It's the Flexport mark with white.

Talk to a Fulfillment Expert

About this author