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Why Retailers Should Consider ‘On-Demand’

June 24, 2017

The Straits Times have reported that many brick-and-mortar retailers in Singapore have been pushed out of business. It is mainly attributed to the rise of e-commerce, competition from overseas destinations, and weak consumer sentiments. In order to increase competitiveness, it is important for retailers to remain relevant and sensitive to changes in consumers’ demands.

One way to do this is to offer ‘On-Demand’ Delivery services to your customers. Leveraging on technology, customers can be given the option of receiving their items on the same day of purchase. However, many retailers have yet to consider this service for various reasons, including several misconceptions.


 

1. “On-Demand is for food deliveries”

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Due to the popularity of food delivery apps, the term ‘on-demand delivery’ have been strongly associated with food deliveries. But on-demand delivery is, in fact, beneficial to all forms of deliveries. Accenture’s study revealed that 64% of internet shoppers deem speed as critical to their e-commerce experience, in which 6 out of 10 are willing to pay extra for same-day delivery.

 


 

2. “Not everyone is embracing it”

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This is a major misconception. In fact, many retail giants have already ventured into e-commerce. An example would be high street fashion label, Zara, which has already launched its own web store in Singapore, in additional to their physical outlets. For these retail giants, the next logical step would be to improve customers’ buying experience through speeding up their delivery process. Why let your business be left behind when you can be a step ahead of your competitors?

 


 

3. Too costly and difficult to implement for my business

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On-demand delivery is cheaper and easier than you think. In fact, on-demand delivery can help your business become more cost-effective. It reduces the need for inventories, warehouses and central storage systems, which also translates into cost-savings in the long run.

GOGOVAN offers GOGOVAN For Business, a customised logistics solution for businesses. We provide a range of services, including On-Demand/Same-Day Delivery at corporate rates and API integration, to satisfy your business needs.

WATCH: Learn more about the GOGO Business delivery platform

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