Logistics in fashion: driving eCommerce success

In today’s unstable economic times, brands are grappling with how to capture fashion’s share of constrained consumer spending while, at the same time, meeting rising customer expectations for service and sustainable business practices.

To help brands adapt and find new ways to drive commercial value as well as drive down costs, we undertook a survey of 12,000 online shoppers across 24 countries, to reveal the changes happening in online shopper behaviour and how expectations of the eCommerce experience are changing.

The new front door for fashion: mobile shopping

Mobile and social commerce has now reached a level of maturity that it’s no longer just a shop window. Half of UK consumers are making purchases directly through social platforms, with Facebook, TikTok, and Instagram leading the way, and 72% have made a purchase in retailers’ apps, citing the ease and exclusive deals and offers that brand apps provide. These shifts show that social and mobile commerce is about more than brand visibility, it should be a seamless shopping experience from discovery to delivery.

The research also found that while the role of voice assistance in online shopping is relatively small, with 5% of global shoppers using it to make a purchase, it’s growing. According to Statista, voice search is expected to grow 630% between 2020 and 2025, with the UK being among the top three European countries leading the way. As consumer behaviour continues to evolve, meeting consumers where they are is essential.

Overcoming abandoned baskets by addressing delivery cost

In the battle for the share of wallet, delivery costs are an important factor in earning that spend. With the cost of living clearly front of mind for shoppers, the research found that high delivery charges were the number one frustration. In fact, 41% of respondents stated they abandoned their basket due to high delivery costs, and 67% said that free delivery would improve their online shopping experience. While there’s no such thing as truly free delivery, incorporating the cost into the product price is an effective way for brands to help avoid basket abandonment.

Minimising the impact of returns

A compounding factor in today's strained financial environment is returns. The drive to offer consumer convenience has created a beast and, according to KPMG, the returns process is costing British retailers around £7 billion a year - a figure that’s continuing to grow. Some brands are attempting to tackle this with returns fees but 45% of respondents in the research are frustrated by these charges.

While some of the biggest brands may have strong enough loyalty to weather this kind of dissatisfaction, others are wary of alienating shoppers. To minimise the cost of returns, brands can benefit from leveraging the logistics process. According to the research, 44% of UK shoppers prefer to have their returns collected from home which comes at a significant cost, but by offering ultra-local and convenient locker and drop-off points, brands can significantly bring down transport costs.

Cross border opportunities

As social platforms break down borders, cross-border trade is becoming a gateway to global growth for eCommerce brands, allowing them to reach new audiences with ease. However, international deliveries are presenting a similar set of challenges.

The vast majority of international shoppers are cost conscious. The research shows that 54% of consumers shop abroad for better prices, while 46% seek a wider selection of products. For UK shoppers, factors like simple, free returns (44%) and secure payment options (44%) are essential when making international purchases.

Still, complex returns often deter shoppers. By drawing on expertise in cross-border shipping, brands can make it simpler for shoppers and recapture revenue through duty drawback. This is particularly relevant for many small and mid-size brands that are losing money by failing to recoup duty from international returns. These logistics processes can significantly reduce overheads without compromising the customer experience.

Catering to fashion's time poor, style hungry shoppers

Flexibility is the watchword for online delivery. Today's consumer values the freedom to tailor their delivery options, whether it's redirecting a package to a neighbour, a parcel shop, or even a locker.

For brands, this means ensuring customers have the ability to choose and control their experience, from the day it will arrive to having the option to redirect it when plans change. Using the delivery experience as an extension of the overall brand experience will boost customer satisfaction and loyalty.

Sustainable fashion: partnering to meet consumer demand

There’s no doubt that consumers’ expectations of brands to operate sustainably are increasing. To achieve long-term sustainability goals, brands need to consider the entire supply chain from materials sourcing to production, there’s no quick fix. But, there are immediate changes that can make a positive impact now and cater to consumers looking to make more thoughtful choices. The research shows that 73% of shoppers would like to know the C02 emissions, or other information about how climate friendly their delivery is, and 43% would be willing to accept a longer delivery time to make their delivery more sustainable. While the final mile in the supply chain is just one element in the sustainability journey, it matters to today's shoppers.

Brands that extend their customer first focus throughout the entire eCommerce experience can unlock significant opportunities for growth and loyalty. When retailers and brands deeply understand consumer delivery preferences, they transform the final mile into a powerful moment that reinforces the entire shopping journey. By optimising fulfilment around customer preferences, retailers can turn logistics into a true competitive advantage that drives repeat purchases, unlocks savings and adds new commercial value.