The post-pandemic landscape shows many positive signs for customers and retailers alike, accelerating the adoption of online shopping and vast improvements in the online user experience. Inflation concerns are still on many minds globally.

However, Australian consumers are the most optimistic about the situation. The resilience of Australians, mixed with growing interest in sustainable shipping and supporting a circular economy, gives merchants new avenues to pursue.

That’s according to the E-commerce Delivery Benchmark report 2023 which helps retailers discover how to navigate the evolving e-commerce landscape of the year ahead. 

Cost is the biggest delivery factor

Economic concerns may be waning, but delivery costs rose in our recent report – as retailers cite delivery as their most critical concern at 31 per cent this year – up from 27 per cent last year. 

Online leaders like Amazon continue to shape consumer buying habits and perceptions around affordable and free shipping. Fortunately, however, consumers continue to shift their priorities and expectations on the back of the pandemic.

Delivery speed is less important

While customers expect low delivery costs, our report uncovered that convenience and speed of delivery are becoming less important. A possible cause is a pandemic impact – the ensuing supply chain delays caused customers to become more patient. And now that we’re beyond many of the shipping delays that plagued us, fulfilment and delivery are noticeably faster. 

Shoppers expect free returns

Customers increasingly expect free returns, with 76 per cent of those surveyed globally citing that they expect returns to be free. This expectation also rises with age. Seventy-eight per cent of boomers expect free returns, compared to 61 per cent of Gen Z. Charging for returns may increase cart abandonment – this is especially true since 6 per cent of respondents expected to return more items than they have in previous years. As online shopping grows, customers expect websites to have the same user experience features used by leading retailers. 

Green delivery is favourable

Seventy-nine per cent of respondents consider green delivery. However, many don’t want to pay more for more environmentally-friendly options such as offsetting. Most respondents cited that they would opt for standard delivery over express delivery to reduce their environmental impact. These findings present ways to position standard delivery as the greener alternative and can increase customer confidence.

Last-mile delivery options can increase pollution. Instead of having to deliver to each recipient, out-of-home delivery options are growing in popularity. Advantages of having customers collect their shipments include a lower environmental footprint, reduced delivery times and reduced risk of porch pirates stealing packages from the recipient’s doorsteps. 

Second-hand goods are more popular than ever

Second-hand goods are growing in popularity globally for their affordability and reduced environmental impact, and sellers are embracing this shift. Our research showed that Gen Z is again leading the pack for buying second-hand goods online. 

Download your copy for all the global insights here.

About the author: Sonia Heinrich is marketing manager at ShipStation.