We use cookies to provide you with a better experience. By continuing to browse the site you are agreeing to our use of cookies in accordance with our Cookie Policy.
  • ::COVID-19 COVERAGE::
  • INDUSTRY PRESS ROOM
  • ABOUT
  • CONTACT
  • MEDIA FILE
  • Create Account
  • Sign In
  • Sign Out
  • My Account
Free Newsletters
  • MAGAZINE
    • Current Issue
    • Archives
    • Digital Edition
    • Subscribe
    • Newsletters
    • Mobile Apps
  • TRANSPORTATION
  • MATERIAL HANDLING
  • TECHNOLOGY
  • LIFT TRUCKS
  • PODCAST ETC
    • Podcast
    • Webcasts
    • Blogs
      • One-Off Sound Off
      • Global Logistics and Risk
      • Empowering Your Performance Edge
      • Analytics & Big Data
      • Submit your blog post
    • Events
    • White Papers
    • Industry Press Room
      • Upload Your News
    • New Products
      • Upload Your Product News
    • Conference Guides
    • Conference Reports
    • Newsletters
    • Mobile Apps
  • DCV-TV
    • DCV-TV 1: News
    • DCV-TV 2: Case Studies
    • DCV-TV 3: Webcasts
    • DCV-TV 4: Viewer Contributed
    • DCV-TV 5: Solution Profiles
    • MODEX 2022
    • Upload Your Video
  • MAGAZINE
    • Current Issue
    • Archives
    • Digital Edition
    • Subscribe
    • Newsletters
    • Mobile Apps
  • TRANSPORTATION
  • MATERIAL HANDLING
  • TECHNOLOGY
  • LIFT TRUCKS
  • PODCAST ETC
    • Podcast
    • Webcasts
    • Blogs
      • One-Off Sound Off
      • Global Logistics and Risk
      • Empowering Your Performance Edge
      • Analytics & Big Data
      • Submit your blog post
    • Events
    • White Papers
    • Industry Press Room
      • Upload Your News
    • New Products
      • Upload Your Product News
    • Conference Guides
    • Conference Reports
    • Newsletters
    • Mobile Apps
  • DCV-TV
    • DCV-TV 1: News
    • DCV-TV 2: Case Studies
    • DCV-TV 3: Webcasts
    • DCV-TV 4: Viewer Contributed
    • DCV-TV 5: Solution Profiles
    • MODEX 2022
    • Upload Your Video
Home » RILA show: Retailers need ROI in rush to same-day delivery

RILA show: Retailers need ROI in rush to same-day delivery

Companies should measure consumer revenues in regions where they offer expedited fulfillment, McKinsey speaker says.

ice cream small IMG_8321.jpg
February 21, 2022
Ben Ames
No Comments

Retailers nationwide are overhauling their fulfillment networks to meet spiraling customer demands for rapid home delivery, real-time order updates, and free product returns. And those overlapping strategies often force companies to make choices as they prioritize new investments, according to a panel Monday at the Retail Industry Leaders Association (RILA)’s supply chain conference, called LINK 2022.

One critical way to balance those sometimes-conflicting demands is for each company to make sure that it gets full “credit” for its investments, as measured by customer spending, John Barbee, a partner with the consulting firm McKinsey and Co. Inc. said during the panel “Next Week, Next Day, Next Hour: Meet Ever-Increasing Customer Demands.” 

Specifically, he advised retailers that offer expedited delivery such as same-day or next-day service to measure whether they get greater conversion rates between online shopping and final purchases in those areas than in regions where they offer standard delivery terms. “That’s one way to decide how to deploy your capital as you build your network of the future,” Barbee said.

Another way that companies can target their investments to generate the greatest retail success is to look beyond pure speed and respond to customer demands for better transparency throughout the fulfillment process. For example, sheer speed may be less important than predictable, scheduled shipping for items like frozen ice cream, since an early home delivery would simply melt on a consumer’s doorstep, Barbee said.

Supply Chain Strategy
KEYWORDS RILA
  • Related Articles

    Survey: 99% of retailers will offer same-day delivery by 2025

    Delivery Solutions and Stuart Partner to Expand Same-Day Last-Mile Delivery Capabilities in UK

    Survey: consumers demand same-day delivery, but don't want to pay for it

Benames
Ben Ames has spent 20 years as a journalist since starting out as a daily newspaper reporter in Pennsylvania in 1995. From 1999 forward, he has focused on business and technology reporting for a number of trade journals, beginning when he joined Design News and Modern Materials Handling magazines. Ames is author of the trail guide "Hiking Massachusetts" and is a graduate of the Columbia School of Journalism.

Recent Articles by Ben Ames

Walmart expands orders for warehouse robotics from Symbotic

Warehouse robots provide shields against cyberthreats

FloorFound lands $10.5 million backing for its large-item returns network

You must login or register in order to post a comment.

Report Abusive Comment

Most Popular Articles

  • Now's the time to be a logistics professional

  • Autonomous trucking firms launch partnerships with freight transportation providers

  • Demand for piece-picking robots gains steam

  • Report: Delivery expectations intensify

  • Empty shipping containers stack up at U.S. port depots

Now Playing on DCV-TV

5480fb3e eabb 4d19 8c47 2e6c8724563d

“With Freight Rates More Stable, Why Do My Freight Costs Keep Going Up?”

DCV-TV 4: Viewer Contributed
Lately people have been asking me a pressing question: “Mike, if there’s a freight recession headed our way, shouldn’t we be seeing freight rates and our freight costs going down?”Ideally the answer to that question would just simply be “yes.” However, these are not simple times. Which is why the answer to this...

FEATURED WHITE PAPERS

  • Guide to Proven Warehouse Solutions

  • Five common misconceptions about running a private fleet

  • Optimize AS/RS With Advanced Warehouse Execution Software

  • The Value of Genuine Parts and Service

View More

Subscribe to DC Velocity Magazine

GET YOUR FREE SUBSCRIPTION
  • SUBSCRIBE
  • NEWSLETTERS
  • ADVERTISING
  • CUSTOMER CARE
  • CONTACT
  • ABOUT
  • STAFF
  • PRIVACY POLICY

Copyright ©2022. All Rights ReservedDesign, CMS, Hosting & Web Development :: ePublishing