Overstock 4th Quarter Sales Low, But Same-Day Delivery Can Create Growth

online shoppingIt takes a lot for online companies to remain steady and have revenue success with their business model.  Overstock.com has been just like other big e-retailers, seeking after capturing more market share, not to mention competing with the likes of Amazon.  The numbers show that Overstock didn’t have quite the big year it desired, yet it still did grow.

Overstock.com grew revenue last year, being at an increase of 10.7%.  This equated to of $1.66 billion, up from $1.50 billion in 2014. However, sales growth was slower during the fourth quarter, going up by only 2.1%, a difference of $480.3 million from $470.4 million the prior year.  This is found to be interesting being that the fourth quarter is the highlight for retail sales, especially to make up for any quarter losses in the prior quarters of the year.  Overstock could have been looking to have generated more revenue between Black Friday and Christmas.

What could be at the source of the low revenue was due to Overstock’s increasing popularity of its’ multi-tiered Club O loyalty program.  The article stated that per the e-retailer’s filing with the U.S. Securities and Exchange Commission, it changed Club O into a two-tiered system, silver and gold, that allows shoppers to earn rewards instead of coupons, which may have hurt Overstock’s short-term numbers.  A key figure was that the company’s gross profit in the fourth quarter went down 2.7%, equating $83.1 million, which is down from $85.4 million in 2014.

Overstock.com did comment in the article regarding the impact of its’ shift from coupons to a rewards system for its’ customers.  Overstock stated, “We believe that the shift from coupons to rewards will benefit us in the long term, but we have experienced some difficulties with the transition, and in the short term we believe it slowed our revenue growth as customers take time to become accustomed to this change.  We are continuing to test and refine our approach in this transition.”

Also during last year’s fourth quarter, Overstock.com’s partner revenue went up to $446.7 million.  This was a 4.4% jump from $427.8 million the year prior.  Partner revenue involved Overstock orders that were fulfilled by other retailers that sell through its’ website.  Many companies are finding that what can boost sales is the offer Same-Day Delivery as an option for shoppers to get their online items faster.  Retail leaders like Amazon, Google, Macy’s, and more all have the perspective that to grow in today’s market, the delivery aspect of online retail is becoming just as vital as the actual customer purchase itself.

With online shopping is expected to reach to $500 billion by 2018, companies like Overstock.com which will result in more and more companies seeking after delivery companies that have the technology to literally get customers online items where they are.  1-800 Courier is a Chicago Courier that is a viable option for any retailer to partner with for optimal same-day solutions.  The Same-Day Courier uses the latest in courier technology to help companies deliver nationwide, from in-store pick ups to fulfilling orders online.

Reference: 2.10.16, www.internetretailer.com, Matt Lindner, Overstock.com’s sales grow 2.1% in Q4, 10.7% for the year

Technology Driving Same-Day Delivery for Online Retail

courier serviceNo one is taking lightly the innovation that technology has brought to online retail.  The advances have amounted to shoppers having instant access to what retailers are offering, and to meet the rising demand to get items into their hands fast, Same-Day Delivery is being coupled with technology to make it happen.  Various apps are now being incorporated by delivery companies that are performing the transportation piece of online order fulfillment, such as Uber’s application programming interface (API) into its’ app in order to provide last-mile deliveries.

It has been reported by Multichannel Merchant that Uber is looking to expand its’ current UberRUSH program for retailers, which is its’ model of same-day delivery.  Uber was initially set up for picking up and transporting people, yet now the delivery company has extended its’ services to delivering online products.  A crowdsourcing approach allows everyday people to be drivers, stationed nationwide to do delivers for its’ retail partners.  This cannot be effective without the technology of Uber’s API system.  Uber’s app is used by several retail and delivery partners, which include T-Mobile, 1-800-Flowers, Nordstrom, Rent the Runway and Google Express.

Curbside is another company that has added the UberRUSH option via the API.  Company co-founder and CEO Jaron Waldman mentioned in the report that it was a logical extension of Curbside’s bread-and-butter offering, giving retailers more options for fast delivery.  For example, someone could order an item for pickup from Curbside, change their mind for whatever reason and have it delivered via Uber.

Waldman talked more about same-day delivery further stating, “This was driven by interest from our retail partners, one in particular who was very focused on Uber.  With the growing interest in same-day delivery for retail, integrating the UberRUSH API into our core offering is a seamless way to hook into a fantastic same-day offering for consumers. If you save 10 minutes for customers by extending our store pickup option in this way, it’s pretty powerful.”  Some Curbside clients include Target, Best Buy, CVS and Walgreens.

Uber also talked what delivery providers have found a niche in adding value and saving on transportation costs for retailers and businesses.  Uber stated in a blog post, “We’re excited about how (UberRUSH) supports local businesses, but we also know that a lot of companies – and their customers – are looking for an easy way to get items delivered more quickly.  Many companies rely on automated operations, have complex logistics networks or are in need of a more flexible solution that can fit their business and customers’ needs.”  Every delivery company, such as a Same-Day Courier like 1-800 Courier, is able to use technology to streamline supply chains and connect omnichannels for retailers to fulfilling online orders.

Technology will be driver for the forecasted online retail growth to come.  Online shopping is expected to reach to $500 billion by 2018, which will result in more and more companies seeking after delivery companies that have the technology to literally get customers online items where they are.  1-800 Courier is a Chicago Courier that is a viable option for any retailer to partner with for optimal same-day solutions.  The courier uses the latest in courier technology to help companies deliver nationwide.

Reference: 3.2.16, Multichannel Merchant, Mike O’Brien, UberRUSH Gains Retail Partners with New Same-Day Delivery API

Shoppers Comfort Level Grows In Europe Online

Courier ServiceIt’s time for online shopping to become more of staple in the business world and the numbers show it.  Retailers in the US are going forward with innovation and strategy to take e-commerce higher, yet the driver behind it all is the shopper demand.  Internet Retailer has reported that shopper demand is not only growing in US, but also abroad in Europe.

The article discussed how 53% of consumers in Europe bought something online in 2015.  It mentioned that the proportion of consumers age 16-74 who made a purchase online within the 12 months prior to the survey stood at 53% last year, compared with 43% in a 2012 via the EU statistic agency Eurostat report.  This means that online shopping increased10% in three years there.  The percentage represents a high-water mark and exceeds the European Commission’s Digital Agenda goals for technology adoption in the region.

Eurostat also found in the survey that 81% of individuals in the target age group in the 28-country European Union used the Internet in the 12 months prior to a new survey, and 65% of those regular internet users bought or ordered goods or services for private use.  This means that there are repeat shoppers that are buying online more and more on a regular basis confirming Europe likes it.  This is an increase of 15% since 2007.  Also, Eurostat found that 30% of European online shoppers purchased goods or services from sellers in other EU countries, which is up from 25% in a 2012.  18% of shoppers bought from sellers outside the EU, compared to 13% in 2012 as well.

Retailers realize the magnitude of making their products accessible and convenient online.  Shoppers have mobile devices at their disposal to be able place an online order in an instant.  This is the store that retailers are pouring investments into to make sure they capture the market that isn’t step foot into their physical doors.  Online retail is forecasted to reach $500 billion by 2018, and retailers are getting their position set, as e-commerce is shifting how we do business, just like cell phones shifted way we daily communicate.  Big name retailers are even now taking their web presence farther by offering same-day delivery, not only in the US, but also globally.

For example, Amazon has not only expanded with same-day delivery in the US, but it is establishing its’ delivery foundation in England via acquisitions.  Wal-Mart engages in some same-day delivery.  Last year, Wal-Mart has fully acquired Yihaodian to establish its’ online retail presence in China.  Amazon is looking compete in China also, which same-day delivery will probably be utilized also.  Online retail is expected to hit $1 trillion by 2019 there.

Macy’s is one physical store retailer that has seen where online shopping is headed and made strides since 2013 to offer one of the highest levels of convenience with same-day delivery.  The department store leader partnered with delivery company Deliv a few years ago and has consistently expanded since within several major US cities.  Last year, Kohl’s rolled out same-day delivery in six more major US cities, including Los Angeles, Brooklyn/Queens, Northern New Jersey, Boston, Philadelphia, and Miami.  E-commerce has grown 40% annually and same-day delivery is forecasted to grow to $987 million by 2019.  It appears the stage is set for retailers to provide the optimal online sales and delivery model ever for customers in years to come.

Online shopping is increasing in Europe, as trust in technology only adds to customers becoming more comfortable.  The convenience factor is what retailers want to bring to the table with same-day delivery and a Same-Day Courier like 1-800 Courier is helping them do so. The Phoenix Courier is a viable option to join comfort with convenience to meet US shopper demand.

Reference: 1.22.16, www.internetretailer.com, Bill Briggs, Europeans grow more comfortable shopping online

Technavio Research Forecasts Same-Day Delivery Growth By 2019

Courier ServiceWe’ve known that same-day delivery was on the incline, yet now we are beginning to here about it more frequently.  It is getting the type of notoriety that it deserves.  As technology steers demand higher for more convenience for shoppers and businesses, same-day delivery is being forecasted to grow right along with it.

In fact, the service is estimated to reach over $987 million by 2019 says Technavio market research.  E-commerce has grown by 40% annually, which is the catalyst to expected growth and the increasing use of it.  Online retail is where most businesses are seeing that customers are conducting their search for new products, discounts, shopping, and more.  With the competition so heavy within several industries that engage in e-commerce, retailers and a variety of companies are in hot pursuit to separate themselves with providing a last-mile service that is attractive to customers online.  The forecast also mentioned how  a good same-day service delivers within 4-5 hours also.

Same-day services growing is not only a result of business-to-customer demand, but also business-to-business and customer-to-customer as well.  Primarily same-day delivery is used for businesses via online to get shoppers their items to their front door.  In the year’s ahead, customers may get more involved in getting things delivered to other people the same day.  Home-based businesses could have same-day delivery begin to be a staple service for them, especially if they are involved with e-retail.

The article discussed in detail about same-day delivery in relation to business-to-customer markets and that the e-commerce marketplace is the biggest revenue generator for this segment.  One of the main companies spearheading the charge is retail leader Amazon.  The retailer offers the service in several   majore US cities, including the San Francisco Bay Area, Seattle-Tacoma, San Diego, Phoenix, Boston, Baltimore, Dallas-Fort Worth, Indianapolis, New York, Philadelphia, Tampa Bay, Washington DC, and Atlanta.  Chicago and Orlando were added late last year as cities that Amazon would provide same-day delivery to its’ Prime members free.

Other companies are all in with same-day delivery as well and will be key competitors to Amazon in the years to come.  Macy’s continues to partner with delivery company Deliv to provide same-day delivery in several US cities.  Every year Macy’s has expanded into more markets, and even now the department store leader has surpassed Amazon in markets that it offers the service.  Last year, Kohl’s added six more major US cities, including Los Angeles, Boston, Brooklyn/Queens, Northern New Jersey, Miami, and Philadelphia.

Well-known Uber is testing same-day delivery in several US cities.  Etsy ASAP is rolling out more the service and newcomer Roadie is matching travelers with cargo also.  Since same-day delivery will be a vehicle to ultimately increase sales, retailers and businesses can partner with a Same-Day Courier like 1-800 Courier to transport items for them. The Houston Courier is a viable option for providing fast deliveries nationwide and can be a vital asset to seize the emerging markets.

Reference:  1.14.16, sbwire.com, Same-Day Delivery Market in the US 2015-2019

Coat Retailer Triple F.A.T. Goose Goes Same-Day Delivery

Courier ServiceWhen it comes to the weather, you don’t want a coat to be hard to come by, especially in the big apple–New York. Like  number of big name retailers, one company has decided to capitalize on same-day delivery and make it easy to get one when you need it the most.

The New York Daily News has recently released an article showing how Triple F.A.T. Goose is helping New Yorkers beat the cold with offering free on-demand same-day delivery for their premium coats.  The temperature in the big city is beginning to drop, hitting the middle of the winter season.  It is ingenious for the retailer to take advantage of a market that is thriving, seizing a prime moment right after the holiday season.  This also keeps Triple F.A.T. in front of shoppers, making it known to be an aggressive retailer and competing with a service option that so many well-known retailers are utilizing to increase their sales.

Triple’s same-day delivery service will begin this Wednesday, January 13th. for its’ coats anywhere in the Manhattan area.  This is one of the big city areas known for business and has high traffic.  The company’s coats are popular for their durability and built to handle arctic temperatures, exclusively available on its’ website.  One of Triple F.A.T. Goose’s coats that it will deliver on-demand will be the Ovstyn coat. This is not a regular coat, selling for $400.  Another item among the retailer’s product line will be the Hesselberg coat, regularly priced at $450 at triplefatgoose.com.

Just as other retailers have their same-day delivery time frame for orders, so does Triple.  Shoppers will have to place their online order by 11 am to receive their quality coat the same day.  All orders after 11am will be received the following day.  Also, the retailer will be offering a 10% discount on its’ coats between the the start date of the 13th., until the 22nd. of this month.  This gives enough time to advertise the company’s same-day delivery and get a good gauge on the demand by customers for it.  More than likely, Triple F.A.T. Goose will analysis whether it needs to spread the service into other parts of New York as well.

Anytime that same-day delivery is initiated, there has always been a testing phase for the service.  Then, if the pieces fit, the retailer moves forward with implementation.  Several retailers usually test same-day delivery in San Francisco, and then, launched it in other major US cities. It will be interested to see if Triple does the same if the on-demand service is successful in Manhattan.  If so, the retailer could spread the service into other boroughs, even other cities in New York.  Even beyond New York, other cold big cities could use big coats fast too during this time of the year.

Most retailers that offer same-day delivery don’t conduct the service on their own.  A Same-Day Courier like 1-800 Courier partners with several retailers to help implement last-mile deliveries nationwide.  The New Jersey Courier has the logistical expertise to create a variety of same-day courier solutions to help retailers elevate their online business.  If Triple desires to expand with same-day delivery, 1-800 Courier will be a viable option to turn to in the months to come.

Reference: 1.8.16, www.nydailynews.com, Tracy Brock, Jackets on demand delivery service offers New Yorkers an easy way to escape the cold

Can Companies Keep Up With Same-Day Delivery?

Courier ServiceThere are a number of tests that have gone into getting same-day delivery on the map as a true dynamic service option for retailers, even to the point of being a marketing magnet for shoppers.  These days, customers want their online items faster than they can order them, as businesses in the US and globally are looking for answers to consistently meet this level of demand.  The companies that can keep up, will thrive; those that can’t, will end up falling far behind within the transformation of e-commerce as we know it.

The New York Post released an article about how companies are aiming to make shopping easier for customers.  With today’s online business, retailers are having to bridge the gap between getting their website in front of people on their ipad or tablet, and what they order into their hands in a convenient, simple way.  One of the best times to roll out same-day delivery has been before the holidays.  Macy’s did so in 2013 and aggressively launched the service in 8 major US cities, while sister company Bloomingdale’s started in 4 cities also.  Now, Macy’s has same-day delivery in more markets then even Amazon, and some experts have stated that the department store leader is probably the biggest competitor against the global robust leader.

“People are getting more and more accustomed to getting what they want, when they want it,” stated Deliv Founder Daphne Carmeli, which handles same-day delivery for department store leader. This has led to e-retailers like Amazon and Google to take their online presence to the next level to compete with physical stores. For example, Amazon first began with two-day shipping for Prime members, then to Prime Now in which it can deliver online items within hours. Yet, Amazon is going for it all with launching free same-day delivery last year in several major US cities, forcing even companies like BestBuy, Ace Hardware, Uber, Toys-R-Us, and more to keep up.

Recently, there have been big name companies that are rolling out the last-mile service, coupled with an online store pick-up option.  Brick-and-mortar stores know they have to reach every market segment, including the shopper that says I’ll come to the store to pick it up, but not the shop for it.  Their tech gadget is the store now.  Carmeli made known in the article that one third of purchases were made online and picked up in-store.  Online retail is forecasted to grow to $500 billion by 2018, which gives us a clear view on a certain level of expansion for store pick-ups.  Cameli’s additional point made was that stores should be able to deliver the same percentage of items that are picked up at the store.

It takes time to build a solid same-day program, along with accurate delivery models.  A Same-Day Courier like 1-800 Courier is increasing its’ reach in the US, partnering with various retailers and businesses to implement same-day delivery.  The Houston Courier has a nationwide footprint and the driver expertise to deliver online items efficiently, even within a few hours.  With same-day delivery, 1-800 Courier is indeed helping businesses keep up with the innovation occurring within the e-commerce world, and door-to-door delivery will continue to be a growing demand.

Reference: 12.27.15, www.nypost.com, Catherine Curan, Companies aim to make shopping even easier

Here Comes Bus Same-Day Delivery In Berlin & Hamburg

Courier ServiceIt hasn’t been that long that same-day delivery has been thriving and all types of businesses have begun to implement it.  When big companies like Amazon, Macy’s, Google, Wal-Mart, BestBuy, and more all dive into the service right before the holidays, it shows that it is becoming a huge commodity for other industries like carriers. Deutsche Post DHL Group has come on board in the carrier industry to offer same-day delivery, not by car, but via bus.

It is not strange when a carrier recognizes that buses are traveling a wide range of the same routes that packages, boxes and small parcels are intended to arrive at. It actually is a great idea for the Deutsche Post to have decided to test and see if it can indeed be successful. Post and Parcel recently released an article where the Deutsche Post DHL Group will begin testing same-day delivery in Berlin and Hamburg.  They will be the first cities to try out the service, with hopes to expand into other city markets next year.  It is necessary for same-day delivery to be incorporated into an industry where shipping by bus will work. The carrier business has the vast customer base to get the volume needed to generate a profit performing same-day delivery.

The article discussed how the Postbus service will occur.  The customer will first print out their shipping documents, which they have the option of completing online. Then, they drop off their parcels to the Postbus Courier pick up point at the main omnibus station in Berlin or Hamburg. They then give their parcels to a service staff member, who places the item in a bag, seals it and stows the bag securely in the Postbus.  Recipients can personally pick up items at the arrival destination, or have third party collect the items after proving their legitimacy through identification or providing the right parcel TAN.

“Postbus Courier is a new same-day delivery option that gives our customers another choice, using our intercity bus network for shipping particularly urgent items”, said Achim Dünnwald, CEO of Mail Communication at Deutsche Post and designated head of DHL Parcel.  When a customer has a time-sensitive item or package, same-day delivery for a company has to be on time, even when it is via bus.  On a normal basis, bus travel is not a preferred mode of delivery, however, PostBus will be an intercity option that will provide the convenience that customers are looking for.

All same-day delivery programs begins testing with certain charges to the customer to use the service.  As Postbus introduces their service, the cost will be 20 Euros, which is to $27.54 US dollars.  Customer have something that will give them the convenience and the pricing that they want.  With Christmas around the corner, customers are going to need a Same-Day Courier like 1-800 Courier to get their products to their recipient’s door bell on time. The Dallas Courier has the ability to cover short and long distances for companies that need it in their delivery model. A number of big name retailers that offer same-day delivery in the US charge anywhere between $5 – $15.00 for their service.  The bus service may cost a more, yet covers longer distances.

Reference: 12.7.15, www.postandparcel.com, Deutsche Post DHL Group trial same-day delivery via its bus network

Pricing Becoming A Driving Factor With Same-Day Delivery

Courier ServiceIt takes time to get a good delivery system going for a retailer to begin to see a profit with same-day delivery.  It also take the right demographics and infrastructure to fit like a puzzle to make the service last.  Some retailers are marketing it just right to be attractive to customers.  However, the Denver Post is commenting that the fee for same-day delivery is what has shoppers talking.

According to an article by the Denver Post shoppers are enjoying the service aspect of same-day delivery, but not the price for it.  More than likely, retailers are seeking after a way to make their deliveries free, such as Amazon.  The retail leader has launched free same-day delivery in 14 Los Angeles metropolitan cities earlier this year, as wells as recently adding Chicago and Orlando.  This makes Amazon’s total of same-day markets is 16, and they are anticipated to grow even more throughout the US.  Same-day delivery is free for Prime members for all orders over $35.

To make the service free is an idea from Amazon, which appears to have the model that shoppers want.  Since Amazon has broken the barrier, it has the retailers are trying to beat the retailer at something it appears to be mastering.  Shipping industry expert Satish Jindel stated in the article, “Retailers trying to compete with Amazon on the road Amazon created will always be at a disadvantage”.  Where Amazon is going, other retailers take notice and are making striders to keep up.

Macy’s is one the biggest competitors of Amazon when it comes to same-day delivery, partnering with Deliv to make it happen.  Deliv CEO Daphne Carmeli said, “Over the past 18 to 24 months, Amazon has been pushing the bar” for fast and cheap delivery.  If you’re in retail, you have to step up to the new bar.” The crowdsourcing approach by Deliv causes its’ delivery model to work for Macy’s.  The department store leader has 17 US markets that it is providing same-day delivery, which is more than Amazon.  It has over 800 stores that makes pick up and local delivery easy.  For all orders over $99, shoppers can get same-day delivery for only $5.

Most retailers are charging between $5 and $20 for their same-day delivery service.  Etsy and Apple are both working with Postmates in New York for door-to-door service for a $15 flat fee.  Wal-Mart, Kohl’s, BestBuy, Ace Hardware, and others are all engaged in some form of same-day delivery.  It takes a good driver fleet to get deliveries to their destination within hours on a consistent basis.  Yet, the service charge is what handles driver costs, fuel and infrastructure.

The demand for same-day delivery will continue to grow, and retailers will have to find the right mix between being cheap for the customers and making a profit for themselves.   A Same-Day Courier like 1-800 Courier can help retailers develop an optimal same-day solution to accomplish both.  The Houston Courier has the courier delivery expertise to get your online items to your customers fast.  For retailers, this is a fitting time to quickly implement same-day delivery to capture holiday sales.

Reference: 11.29.15, www.denverpost.com, Mae Andersen, Everyone loves same-day delivery, until they have to pay

Deliv Acquires Zipments To Grow Same-Day Delivery Services

Courier ServiceIt takes a lot of coverage area in order to handle deliveries for big companies like Macy’s and BestBuy.  With the way same-day delivery is growing within the retail industry, a startup like Deliv has to be able to handle multiple locations throughout the US all at one time successfully.

This is why Deliv has made strategic moves to establish itself on a greater level in big cities.  It was recently reported that Deliv has announced an acquisition of same-day delivery company Zipments in New York.  This is the second acquisition by Deliv this year.  The first was WeDeliver in June, which was to give them a stronger presence in Chicago.  Both New York and Chicago are two of the biggest retail cities nationwide, and with Deliv’s current customers, these buyouts make sense.  Going by the trend, there probably will be more big city acquisitions to come.

Deliv utilizes a crowd sourcing approach to performing its’ deliveries and acquiring Zipments only helps it be able to handle a big city like New York.  Deliv is making some serious moves to expand right along with its’ partners, which include Kohl’s, BestBuy, Express, Pottery Barns, and others.  Same-day delivery is sourced for mall-based retailers directly from their stores, which Deliv picks up and delivers to their customers for them.  A Same-Day Courier like 1-800Courier is a partner to a number of big retailers as well.  The New York Courier has a nationwide footprint and is able to quickly implement same-day delivery on a large scale, especially as businesses are looking to capture more sales this holiday season.

New York is one of the most popular cities for shopping for one of its” biggest partners–Macy’s.  With over 17 markets in the US, Macy’s has aggressively rolled out same-day delivery for its’ customers in several major US cities.  Some of those cities include San Francisco, Los Angeles, San Jose, Houston, ,Seattle, New Jersey, Washington DC, and Chicago.  Its’ sister company Bloomingdale’s has also launched same-day delivery in some of those cities, which Deliv is probably servicing also.

Founder and CEO Daphne Carmeli did comment in a press release about why Zipments fits into Deliv’s overall strategy.  “Zipments has established itself as the leader of same-day delivery in New York City, and the team has done a magnificent job building up its profitable business in this prime and complex market,” Carmeli said. “When you consider that one of the keys to our business is route density, joining forces enhances operational inefficiencies. We also share a similar philosophy, similar business model, and similar clients, so Zipments is a great match for us on multiple levels.”

Deliv has the holiday season to deal with, which is right around the corner.  As Black Friday arrives, many retailers are in pursuit to see who can meet the online demand of consumers desiring different ways to shop this year, including using same-day delivery.  Instead of having to fight through parking lot traffic, as well as traffic within stores, there is market of shoppers who would like to just order their gifts from their couches.  Home shopping not only is convenient, it can save a bunch of your time.  So now it’s just not about having the best online deal, but also having the best online deal with the best order fulfillment service.

Reference: 11.9.15, www.bizjournals.com, Delivery startup Deliv acquires New York-based same-day delivery company Zipments

BestBuy Goes Same-Day Delivery Before The Holidays

Courier ServiceRetailers know that the holiday season is the best time to gain additional sales, or at the least recoup some of the below average sales month during the year.  It takes a good retail company to figure out what will work for them and BestBuy is one of them.  It has come to the conclusion that same-day delivery is something that isn’t going away, and it’s best for BestBuy to dive right in, or get left behind.

BestBuy has decided to begin testing same-day delivery in San Francisco and its’ surrounding areas.  Since Black Friday is almost here, BestBuy is seeking to have it rolled out prior to it.  The electronic retailer isn’t doing it alone.  Deliv will be the new partner of BestBuy that will be handling the actual deliveries for them.  It utilizes a crowdsourcing approach to meet online order fulfillment and the pick ups will be directly from BestBuy stores.  With BestBuy having over 400 stores nationwide, the service being from stores will be very effective and convenient.

Macy’s is another big name retailer that partnered with Deliv as well to perform store-sourced deliveries.  In 2013 before the holiday season, Macy’s launched same-day delivery in 8 major US cites: San Francisco, Los Angeles, San Jose, Houston, ,Seattle, New Jersey, Washington DC, and Chicago.  Bloomingdale’s also launched the service that year in Los Angeles, San Francisco, San Jose, and Chicago.  Now, Macy’s offers same-day delivery in multiple US markets, exceeding even the service areas of Amazon.

The e-retail leader Amazon currently has less service areas; however, it has launched free same-day delivery in 14 Los Angeles metropolitan cities earlier this year.  Last month, Amazon expanded its’ Chicago and Orlando.  The service is free for Prime members for orders over $35.  Amazon now has free service in 16 markets.  No other big name retailer that has same-day delivery is offering if for free. Nationwide same-day delivery is definitely where Amazon is headed, yet the question is will free service follow.

Demand is growing for faster service by shoppers online and companies like Amazon, Google, Macy’s and more are targeting same-day delivery to meet it.  A Same-Day Courier like 1-800 Courier has a number of companies that is provides last-mile deliveries for throughout the US.  The Memphis Courier has a nationwide footprint and has the ability to grow its’ delivery logistics as your business grows.  When a service like same-day delivery is a dependable option for shoppers to use to get their online items fast, this opens the door for increased sales in other markets.  A customer that likes your same-day delivery service when they need something fast, will be more inclined to buy from your company when they don’t.

Online retail is forecasted to reach $500 billion by 2018 and retailers are using same-day delivery to gain that segment of shoppers they want convenience.  It makes companies have the versatility that technology demands to conduct a higher level of e-commerce.  BestBuy is doing just that, as well as store retailers like Kohl’s.  The clothing store has had same-day delivery and by Black Friday, Kohl’s will have same-day delivery in Los Angeles, Philadelphia, Brooklyn/Queens, Northern New Jersey, Boston, and Miami.  We’ll see what BestBuy does after the holidays.

Reference: 11.3.15, PYMNTS.com, Best Buy Jumps On Same-Day Delivery Bandwagon