Is Expedite Shipping Worth For Ecommerce Business? These days, consumers would like everything fast. This is evidenced by the rise of quick shipping options such as next-day delivery, 2-day delivery, and even same-day delivery. As an eCommerce business, expedited shipping is one of the most popular delivery options you can offer. But what is expedited shipping exactly and, more importantly, how fast is it?
In this guide, you will get acquainted with everything there is to know about expedited shipping so you can decide if, when, and how you should offer it for your business. Read on to learn more.
In the strictest sense of the world, expedited shipping is a way of prioritizing shipments so that they take less time than usual to go from point A to point B. Expedited shipping is relative to how long usual shipping takes.
This then begs the question: What is “usual” in shipping? Well, it varied as per the transportation company, where the goods are being shipped from and to, and how.
Shipping covers everything, from the long-distance intercontinental ocean and air freight shipments to domestic land transportation and last-mile delivery on bicycles. Standard shipping times can take days, weeks, or even months, based on the mode of transport and distance. Since expedited shipping is relative to standard shipping, it can range from hours to days and weeks – as long as it is faster.
The second key characteristic of expedited shipping has to do with intent. For a delivery to be considered expedited, a clear decision must be made to speed up the transport time, which tends to incur added costs.
How fast is expedited shipping?
So, how fast is expedited shipping?
Expedited shipping means faster than usual. How long it takes still depends on a host of factors – distance and mode. Remember, it is relative.
For instance, on an international scale, if an ocean fright shipment of a 20-foot container from Shanghai to Lon Angeles typically takes 18 days, a 14-day shipping option can be considered expedited.
Standard shipping typically takes 5 to 8 business days when shipping domestically within the United States. Delivery options that take three days or less would be considered expedited. This includes next-day, 2-day, and same-day deliveries.
Do not confuse expedited shipping with express shipping. While both take less time than standard shipping, express shipping usually means a next-day or 2-day delivery. As a general rule of thumb, express shipping is usually quicker when both express and expedited shipping options are available.
Is Expedite Shipping Worth For Ecommerce?
Now you have the answer to “what is expedited shipping,” it is time to consider whether it is worth it for your eCommerce business.
The following are some of the critical delivery statistics in eCommerce:
- Approximately 1 in 5 (22%) US consumers have abandoned their carts due to long delivery times.
- 7% of consumers shop online due to free delivery options.
- 4% do so due to the next-day delivery.
- Around 60% of shoppers have paid for faster delivery, with more than 2/3rd having paid more for next-day delivery.
These numbers show that even though there is a clear demand for fast shipping from online shoppers, many of them are also lured in by “free delivery” options.
So, while expedited shipping should undoubtedly feature in your shopping strategy, it should not be the only option. You may even want to cushion the financial impact it has on your business by offering it to orders that hit a minimum spend – ideally more remarkable than your average order value.
Furthermore, with more and more consumers willing to pay extra for faster deliveries, you can even consider passing down at least some of the added cost of expedited shipping to your buyers.
Pros of expedited shipping
- Speed & guarantee – The biggest perk of expedited shipping is its speed and guarantee. It is also the most reliable way to ensure that your buyers receive their packages on time. In addition, one fantastic by-product of this timeliness is increased customer satisfaction, which boosts loyalty and sales.
- Lower risk of damages – Because expedited shipments make fewer or no stops along their delivery route, there is less handling, which means packages damage in transit is lower than in standard shipping. This advantage makes expedited shipping an attractive option for businesses selling fragile or high-ticket items.
- Reduces storage space – If storage is an issue for your business, offering expedited shipping may be an excellent way to help clear out some space as your items are shipped out as quickly as possible. This is especially advantageous if you sell high-value and bulky items.
In short, expedited shipping is a delivery method that makes sure shipments arrive at their destination faster. It is characterized by its faster-than-usual speeds and a clear intent.
Even though the speed and guarantee of expedited shipping are attractive perks, they come at a pretty high cost. They may not make monetary sense for all eCommerce businesses. However, there are ways to lower the cost of expedited shipping. By offering it to orders that hit a minimum spend and/or passing some or all of the added cost on to your buyers, you can ensure it does not eat too much into your profit margin.
If you are also searching for a leading company that offers expedited shipping, do not hesitate to get in touch with C5 Expedite. To find out how we can help you, feel free to call us at 715 887 3500 today!