Article

Same Day Delivery: Viable or Not?

by Dave Carleton
US Practice Director, Manufacturing & Distribution, TARGIT,

Human beings are not well known for our ability to exude an air of patience at all times. In fact, I'm sure that there were complaints about the wait for dinner on the day that fire was discovered. One initiative that's been gaining momentum with business owners in the retail environment is same-day delivery.

Delivery times have been dropping for years, and companies are beginning to take notice of the potential to not only offer more customer convenience, but to find another way to set themselves apart from their competition. Companies are looking at a wide variety of options for same day delivery, which range from traditional delivery methods to (strangely enough) the use of drones. Though it would seem that the convenience of same-day delivery would be a major selling point to increasingly demanding and time-crunched consumers, most don't seem to be buying into the concept, yet.

A recent survey by The Boston Consulting Group found that among 1,500 U.S. consumers, only nine percent noted that same day delivery was "a top factor that would improve their online shopping experience." That's compared with 50 percent who said that lower prices and 74 percent who said free delivery would be an improvement.

In today's economy, the cost factor of a service, no matter how convenient it may be, is still a sticking point with many consumers. There is one market segment that seems to like the idea: affluent millennials (18 to 34-year-olds with household incomes over $150,000). That seems to be enough to make large corporations begin to take notice.

The trick to making same-day delivery work and succeed is not just in selling the idea to consumers, but in making sure ...

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About Dave Carleton

Dave is the U.S. Practice Director for Manufacturing and Distribution at TARGIT, www.targit.com. Dave has spent his entire career, over three decades, providing business solutions to the Manufacturing and Distributions industries. His practical experience includes program development, marketing, and sales with an education in accounting.

Dave's passion is twofold, providing and assisting individuals to reach their potential and helping businesses reach their potential through technology implementation.

Dave has spent the last five years consulting with Microsoft Dynamics ISV's to expand their businesses through channel development, branding, marketing, and direct sales. Prior to that, he was the founder and President of Maximum Business Solutions. Max Biz, as it was known as, was one of the fastest growing and recognizable ISV's in the Microsoft Dynamics eco system with solutions in WMS and Route Accounting. He proudly wears the title "Godfather of WMS."

Dave is married with three adult children.    

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