The reason why Amazon is heavily investing in faster delivery
Amazon shoppers who get same-day delivery are likely to spend and shop more on the e-commerce site compared with shoppers who don’t get same-day delivery.
The survey data, collected by the investment firm RBC Capital, shows why Amazon is heavily investing in shortening delivery time, reports CNBC.
Here are some takeaways from the survey, which covered more than 1,900 people:
Higher spending: 48% of same-day delivery customers said they spend over $800 a year on Amazon, compared with 33% of those without the same-day shipping option.
More frequent purchases: Same-day delivery users also shop more frequently on Amazon, with 77% of them saying they use Amazon at least two to three times a month versus 50% for customers who don’t use same-day delivery.
More loyalty: Same-day delivery shoppers also turn out to have a higher intent to spend on Amazon in the next 12 months, while having a much higher satisfaction rate as well.
“The clear takeaway is that with One-Day and Same-Day Delivery, and Prime Now (1-2 hour delivery), Amazon is creating more convenience and greater selection for shoppers, which enhances the value proposition”, said RBC Capital representative.
More Amazon news
Amazon lifts ban on shipping of non-essential products
Amazon is going to start accepting all non-essential products again Amazon has started to allow third-party sellers to ship non-essential items to its warehouses. Starting later this week, the company will begin to accept more products in its warehouses,...
Amazon halts its Shipping Program
Amazon to halt third-party delivery service that competes with UPS and FedEx Amazon is taking a break from its two-year-old Amazon Shipping pilot program in the U.S.—in a move seen as potentially benefiting package giants UPS and FedEx. The company...
Amazon Pauses Merchant Loan Repayments
Amazon suspends loan repayments amid coronavirus Amazon announced that it would temporarily suspend seller loan repayments, in the prospect of declining sales during the coronavirus pandemic. Repayments under the Amazon Lending program will be paused until...
