The Consequences of Failed Deliveries and How to Avoid Them

In the e-commerce industry, there’s nothing more important than a successful delivery. Your customers count on your products being delivered on time, everytime.

The Key Consequences of Failed Deliveries

A late or undelivered order can lead to more than an inconvenienced customer. A recent study details how a failed delivery can lead to several other costly consequences for your business. Let’s discuss how failed deliveries impact you, and what you can do to improve your delivery accuracy. One of the most obvious consequences of a failed delivery is unforeseen costs. There are several hidden costs associated with a failed delivery including:

-Refunds
-Shipping fees
-Customer service and employee time
-Lost customer loyalty

1 in 20 orders never make it to their intended destination. How many deliveries is that for you in one month? A Year? Small mistakes can really add up.

Poor Customer Experience and Lost Loyalty

Another consequence of failed deliveries is a negative experience for your customer. 34 percent of consumers assume that it was the fault of the retailer if there was a mistake with their delivery. Regardless of if this is true or not, your customer may lose trust in your company. In fact, over 50 percent said they would be reluctant to trust a brand after a delivery mistake. Customer loyalty is key to a thriving retail business, so cutting back on delivery mistakes is crucial.

How to reduce failed deliveries

Most consumers have experienced a failed delivery at some point. This type of mistake can negatively affect your business and hurt your brand’s reputation. For these reasons, it is vital to mitigate the number of failed deliveries your customers experience.

Use address verification

Address verification is one of the best ways to reduce failed deliveries. AddressComplete enables your shipping department to verify that online orders are addressed to correct and deliverable addresses. Ensuring this will increase successful deliveries, delight your customers, and improve trust in your brand. Capture the right address, every time. Try Canada Post’s address verification technology.