Failed deliveries cost firms £770m

Online retailers are set to lose more than £770m worth of business due to missed deliveries this year, despite a raft of new services – including click and collect – leading to major improvements in the sector.
According to e-commerce industry body IMRG, the actual costs associated with delivery failure have fallen by almost 50% in the last two years when compared with the huge rise in volumes.
But the retail industry cannot afford the pace of innovation in this area to slow, says IMRG head of e-logistics Andrew Starkey. “Recent innovations in e-retail delivery have already reduced this cost and provide shoppers with more choice, more information about when and where they can expect their deliveries,” he said.
“Giving the customer the ability to fully engage in the delivery process allows them to make more informed decisions about the service they want and then to help manage the ‘final mile’ – co-operating with the delivery company to be in the right place at the right time. The result is reduced costs to all stakeholders and a greater customer satisfaction.”
The report shows the market has been helped by the rising popularity of “click and collect” services in retail outlets as well as the growth in out-of-store parcel locker terminals.
Earlier this month, the Government announced its intention to streamline the planning rules for retailers wanting to set up click and collect lockers within their premises.