Insights to Help Your Business

Top 3 Ways to Prioritize Customer Experience in the Post-Purchase Journey

Let's dive into each of these trends to understand how they’re shaping the future of customer experience.

In the increasingly competitive world of eCommerce, companies of all sizes are realizing that elevating the post-purchase experience is key to winning the hearts (and wallets) of consumers. Merchants are adopting innovative strategies to enhance customer loyalty and satisfaction even after a sale is complete, such as offering incentivized loyalty programs, customized shipping options, and streamlined returns processes. Let's dive into each of these trends to understand how they’re shaping the future of customer experience.

Male handing a bottle of wine to a female in a shop

Building Trust with Loyalty Programs

Loyalty programs have become a cornerstone for businesses looking to foster lasting connections with their customers. A recent UPS Capital report revealed that 49% of surveyed consumers find loyalty programs to be one of the most appealing benefits offered by retailers, second only to free shipping at 81%. Merchants are aligning closely with this notion too, with more than half of those surveyed expressing readiness to offer exclusive discounts, rewards redeemable in the next purchase, and early access to new products or services.

Customers are more likely to forge deeper and meaningful connections with businesses when they feel appreciated and rewarded for their brand loyalty. Rather than viewing the brand as merely a one-time transactional entity, they’ll perceive it as a genuine partner in their shopping journey.

Winning Retention with Personalized Shipping

Consumers are increasingly seeking a tailored shopping experience. This has spread to the post-purchase phase as they want greater control over their delivery experience, seeking flexible and personalized delivery options. Specifically, 3-in-4 (76%) surveyed consumers expressed a preference for retailers who provide customized shipping options, such as the ability to choose delivery speed, dictate delivery date and time, and offer a variety of return options.

Merchants have taken notice of the power of choice, as those surveyed stated personalized shipping plays a crucial role in driving customer retention (93%) and enhancing customer satisfaction and loyalty (96%). While surveyed merchants acknowledge varying levels of difficulty in implementing personalized shipping options, they still feel confident in their ability to deliver them. As a result, most merchants surveyed (89%) plan to offer more personalized shipping options in 2024 to win over customers.

Understanding Preferences in Returns

Returns are an inherent part of online shopping, with 60% of surveyed merchants acknowledging that over 10% of their orders end up being returned. Despite most expressing confidence in their returns logistics, surveyed merchants acknowledge challenges, such as processing time, reverse logistics costs, root cause identification, and the impact returns have on the overall customer experience. Most notably, return fraud is a significant concern as it impacts business profitability.

As merchants seek to revolutionize their returns processes, it becomes imperative to understand and cater to customer behaviors and preferences. Surveyed consumers highlighted pre-paid return labels as their favored and most frequently used return method. This inclination presents a significant opportunity for merchants to leverage data analytics and automation to optimize return shipping processes for both customers and the business, while concurrently shrinking return processing costs.

The Significance of the Post-Purchase Journey

As the eCommerce landscape continues to grow, prioritizing the customer experience through offerings such as loyalty programs, personalized shipping options, and streamlined returns processes is becoming one of the key drivers for retention and brand loyalty.  By understanding consumer preferences and leveraging innovative solutions, merchants can truly make customer experience king in their business strategy.

UPS Capital Insurance Agency, Inc. can help bolster your business’s reputation and enable you to deliver a premium customer experience.  Protect your bottom line by protecting your packages. InsureShield® Shipping Insurance covers your packages in the event of loss or damage, allowing you to make things right for your customers. DeliveryDefenseTM Address Confidence leverages enriched shipping data to help you make proactive shipping decisions designed to ensure the safe delivery of at-risk shipments. 

Download our whitepaper now to embrace the future of shipping and customer experience.

The Future of Shipping Report
Download the complete report for essential insights into the current state of shipping and key drivers that will help shape the future of logistics by:
  • Protecting packages and building loyalty
  • Integrating technologies to streamline shipping operations
  • Elevating the returns process

For more data on post-purchase trends and insight into how merchants can master the shipping experience, get the full report.

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