Descartes’ Ecommerce Study Reveals Mixed Consumer Sentiment on Retailers’ Home Delivery Performance

Rhea-AI Summary

Descartes Systems Group (Nasdaq: DSGX) conducted a consumer sentiment study involving over 8,000 consumers across Europe and North America, focusing on ecommerce home delivery. Key findings reveal that while consumers plan to increase online purchases, 73% experienced delivery failures in the past three months. This issue significantly affects retailer loyalty, with nearly 25% of respondents stating they would not shop from a retailer again after a delivery failure. The study emphasizes the importance of delivery performance for ecommerce success and highlights Descartes' logistics solutions aimed at improving customer experiences.

Positive

• Increased consumer intent to purchase via ecommerce.
• Study provides critical insights for retailers to enhance delivery performance.
• Descartes' logistics solutions can help retailers improve customer experience.

Negative

• 73% of consumers reported delivery failures recently, impacting retailer reliability.
• Nearly 25% of consumers may stop ordering from retailers after delivery failures.

ATLANTA and LONDON, April 06, 2022 (GLOBE NEWSWIRE) --  Descartes Systems Group (Nasdaq: DSGX) (TSX:DSG), the global leader in uniting logistics-intensive businesses in commerce, released the results of a consumer sentiment study of ecommerce home delivery. The study of over 8,000 consumers across ten European and North American countries provides retailers and logistics organizations with critical insights into consumer purchase and delivery preferences and concerns.

“Ecommerce and home delivery present opportunities and challenges to retailers and logistics organizations. In our study, consumers indicated they will increase their ecommerce purchases in the future, but 73% of them said they experienced a delivery failure in the last three months (see Figure 1),” said Chris Jones, EVP, Industry and Services at Descartes. “The results of poor delivery performance can be catastrophic for retailers with almost one-quarter of the respondents in our study citing that they did not order from that retailer again.”

Figure 1: https://www.globenewswire.com/NewsRoom/AttachmentNg/dc7088a4-9ba2-44d2-8c4c-ed956ecca213

The study analyzes consumer ecommerce buying behavior, what is causing ecommerce purchases to increase or decrease, the kinds of goods purchased, their frequency and which ones are being delivered. In addition, it provides insight into delivery services, charges and performance. Most importantly, it analyzes the importance that consumers place on delivery performance and the impact of delivery failures on future purchases. To learn more, read the full study: Descartes Research Report: Ecommerce—Is Retailer Fulfillment and Delivery Performance Keeping Up with Sales Growth?

Descartes’ ecommerce logistics solutions help retailers and logistics services providers deliver a superior customer experience. The home delivery solution covers a wide range of critical capabilities including delivery appointment booking, route planning, mobile applications and customer communications. They engage the customer at the point of purchase through order fulfillment and the successful completion of the delivery, provide opportunities to upsell value-added delivery services and keep customers up-to-date with the status of their delivery. The warehouse management and integrated parcel shipping solutions help small-to-midsize retailers to use the right carrier and service to minimize shipping costs as well as to scale their ecommerce business by improving fulfillment reliability, speed and productivity.

About Descartes

Descartes (Nasdaq:DSGX) (TSX:DSG) is the global leader in providing on-demand, software-as-a-service solutions focused on improving the productivity, performance and security of logistics-intensive businesses. Customers use our modular, software-as-a-service solutions to route, schedule, track and measure delivery resources; plan, allocate and execute shipments; rate, audit and pay transportation invoices; access global trade data; file customs and security documents for imports and exports; and complete numerous other logistics processes by participating in the world's largest, collaborative multimodal logistics community. Our headquarters are in Waterloo, Ontario, Canada and we have offices and partners around the world. Learn more at www.descartes.com, and connect with us on LinkedIn and Twitter.

North America Media Contact
Cara Strohack                                                                     
Tel: +1(800) 419-8495 ext. 202025                                 
cstrohack@descartes.com  

UK Media Contact
Andrew Tavener                                                                     
Tel: +44 (0)7833 444047
atavener@descartes.com  

Cautionary Statement Regarding Forward-Looking Statements

This release contains forward-looking information within the meaning of applicable securities laws ("forward-looking statements") that relate to Descartes' solution offering and potential benefits derived therefrom; and other matters. Such forward-looking statements involve known and unknown risks, uncertainties, assumptions and other factors that may cause the actual results, performance or achievements to differ materially from the anticipated results, performance or achievements or developments expressed or implied by such forward-looking statements. Such factors include, but are not limited to, the factors and assumptions discussed in the section entitled, "Certain Factors That May Affect Future Results" in documents filed with the Securities and Exchange Commission, the Ontario Securities Commission and other securities commissions across Canada including Descartes most recently filed management's discussion and analysis. If any such risks actually occur, they could materially adversely affect our business, financial condition or results of operations. In that case, the trading price of our common shares could decline, perhaps materially. Readers are cautioned not to place undue reliance upon any such forward-looking statements, which speak only as of the date made. Forward-looking statements are provided for the purposes of providing information about management's current expectations and plans relating to the future. Readers are cautioned that such information may not be appropriate for other purposes. We do not undertake or accept any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements to reflect any change in our expectations or any change in events, conditions or circumstances on which any such statement is based, except as required by law.

 

FAQ

What did Descartes Systems Group's recent study reveal about ecommerce delivery failures?

The study highlighted that 73% of consumers experienced delivery failures in the last three months.

How many consumers participated in Descartes' ecommerce study?

Over 8,000 consumers across ten European and North American countries participated.

What impact do delivery failures have on consumer behavior according to the study?

Nearly 25% of consumers stated they would not order from a retailer again after a delivery failure.

What is the significance of delivery performance for ecommerce businesses?

Delivery performance is crucial as it can significantly affect customer loyalty and future purchase decisions.

What solutions does Descartes Systems Group offer to improve ecommerce delivery?

Descartes provides logistics solutions like delivery appointment booking, route planning, and customer communications.