E-commerce has changed the game of how parcels are transported and delivered to customers. With the help of advanced technology, the days have become shorter. We no longer have to wait for to the sun rise and set a few times before we receive that box of meat pie that’s probably not safe to eat anymore. What once felt as if a pack mule was used to deliver a package, now seems like a teleportation device is involved in the delivery.
This massive improvement has set high standards in the logistics and supply chain industry, with consumers now expecting a fast delivery service from businesses so they can patronise their products. With both next day and same day delivery service currently available, customers are left happy and satisfied with their entire buying experience.
There is a fast-growing trend for both next day and same day delivery, thanks to the thriving e-commerce industry. Even traditional retailers have followed suit, offering these two kinds of delivery services to take advantage of the positive effects they have on businesses and keep up with customers’ expectations. The demand for quick delivery services has led to 15% of global retailers offering same day delivery to meet those expectations. With the help of technology and a more effective process, many more are expected to follow suit.
Despite the conveniences offered by next day and same day delivery service, it doesn’t come without challenges, which mostly involve costs, logistics, and manpower. The good news is this kind of on-demand service is something customers are willing to pay extra for. In fact, 60% of US consumers would pay $10 more to have furniture delivered on the same day it was ordered.
Check out this infographic for a more detailed look at both services:
What It Is
Next day and same day delivery are now highly sought-after services by consumers who want their packages shipped instantly. Both are faster than the traditional courier service that takes much longer—around 2 to 3 days—leaving many consumers antsy to get their hands on the goods they’ve purchased. With shoppers used to the retail buying experience of instant gratification, it’s not surprising many would prefer these two types of delivery services and their differences are pretty straightforward.
Next day delivery involves packages that reach their recipients the next day after being received by the courier tasked to deliver them.
Same day delivery is exactly what it is: consumers receive their packages within the day after purchasing them from the retailer. This is a much quicker option, but relatively more expensive and poses a lot more challenges and hurdles for the courier service provider.
Cut-off time is the specific time orders must be placed to qualify for either next day or same day delivery. This gives couriers enough time to make their deliveries within the bounds of the specific service they opted for. Naturally, next day delivery has a different cut-off time than same day for fairly obvious reasons.
Next day delivery has a bit more leeway in terms of cut-off time since couriers have until the following day to complete the delivery. Companies generally have until the end of office hours, which is around 5 pm, to do what’s necessary to comply.
Same day, on the other hand, has an earlier cut-off. Depending on the area, the time usually lands at noon. This gives couriers plenty of time to deliver the goods for the rest of the afternoon or evening.
Collection time for both services varies, too, and is relative to when the goods need to be delivered. Next day delivery is usually set at the end of the day or after office hours. With same day delivery, collection time is strict to avoid delays. This gives enough time for both retailers and couriers to prepare the packages and load them onto the delivery vehicles.
Cost also varies for both next day and same day delivery, with the faster option being more expensive. In the case of e-commerce giant Amazon, members of Amazon Prime who have paid $99 for an annual membership fee are entitled to free two-day delivery, with discounted rates for same day.
Surprisingly, customers are willing to pay more for a faster delivery service, pushing courier companies to create a quicker and more accurate solution to fulfill their needs.
Pros and Cons
There isn’t much of a big difference between the pros and cons of next day and same day delivery. Both are still relatively faster than traditional shipping, which takes two to five business days. In today’s standards, this takes forever, particularly for consumers who are used to the instant gratification of brick-and-mortar store shopping.
With an effective system in place, retailers and logistics companies can rise to the challenges involving a faster delivery service. Next day delivery gives a little more flexibility, allowing couriers to be more precise in delivering the goods to the buyers.
On the other hand, same day delivery is faster. Consumers can get their hands on their purchased items in just a few hours, which is excellent for rush orders. However, the service can cost more.
While both are relatively fast delivery services, it all boils down to the cost. Many can still wait a day or two to receive their items as long as the rate is reasonable. But with consumers who need their orders to arrive as soon as possible, they are willing to pay the price.
The faster the delivery, the bigger the challenges for the business. They would need to have an organised inventory management system in the first place to fulfill the immediate needs of their customers. Along with this, there should also be a quick courier service that effectively delivers on time. Ultimately, a technologically augmented process can boost the pros of both services, while addressing all the cons and lowering the costs.
Both next day and same day delivery are fast becoming an important option for consumers who prefer to have their purchased goods arrive at their doorstep at the soonest possible time. Thanks to technology and innovative strategies, we can now benefit from these on-demand services with just a few clicks of a button.
The need for instant gratification is rife, but the choice between going for next day or same day delivery rests in the hands of the consumer and will depend entirely on their needs and the goals of your business. Ultimately, what matters is you deliver the goods on time, so you can keep a growing customer base happy and satisfied with what your business offers.
If your business still isn’t jumping on the opportunity to offer these services, it’s high time you start planning on how to integrate them into your process. You can either invest in the tech and transport equipment or go for the more cost-effective route of acquiring the help of a third-party service provider to fulfill this need. Based on the numbers we’ve provided, the effect to your business is going to be staggering.
Jake Smith works as the National Sales Manager for Go People. He’s excited about the prospect of e-commerce, and how Go People can deliver the courier service of the future to businesses all around Australia. His ultimate dream is to meet the one and only Ronnie Coleman.