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Is your company wasting its time (and money) offering same-day delivery?

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Recent studies show that same-day delivery services have lost their gleam for different demographic subsets of online shoppers. Who do you market to, and are they willing to shell out the extra dough?

small business delivery

Consider your demographics

Over the last few years, digital shopping in American has steadily grown as more and more consumers want the convenience of buying from their home. Companies have adapted to these changes and capitalized by offering online deals and other buying incentives. Many big companies offer same-day delivery services as one such incentive, believing that people will spend more to get their items right away.

However, recent studies urge companies to first consider their target buying audience, as older demographics don’t value same-day delivery services like they used to.

Numbers going down

The number of digital consumers in the U.S. is increasing, but the importance of same-day delivery is not. According to a study by Bizrate, 22 percent of buyers thought the service very important in 2013, while only 18 percent agreed in 2015.

When Bizrate broke down their survey results, they found that all age groups cared less about same-day delivery in 2015 than in 2013, but older generations in particular cared less over time.

Millennials care the most

For whatever reason, millennials still continue to care the most about same-day delivery in 2015. 31 percent of millennials thought same-day delivery was important in 2013, and 30 percent still believed this in 2015. Meanwhile, senior citizens saw a 50 percent decrease over the last two years in people that care about same-day delivery, while Generation X decreased by 17.5 percent and baby boomers by 23.5 percent. While millennials emphasized same-day delivery less in 2015, they still highly value it– especially when compared to older digital buyers that have seemed to lose interest with age.

Special occasions vs. routine purchases

Despite these trends, data from PricewaterhouseCoopers (PwC) divulges that 61 percent of online customers in 2014 were still willing to pay for same-day delivery. Perhaps digital buyers still see same-day delivery as a useful option for shopping emergencies, though it’s less of a key selling feature for older generations.

Most likely, older generations are willing to pay more for a speedy delivery when the have forgotten a spouse’s birthday, or started the Christmas shopping a bit too late—but the millennial generation is utilizing same-day delivery for their day to day purchases.

Still might be worth your time

Though many digital buyers are still willing to pay for same-day delivery, Bizrate’s study suggests that we are less impressed by the service overall than we were two years ago. Same-day delivery services may not be worth offering for products that target an older demographic, but they are definitely worthwhile for millennial shoppers.


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