Retail is currently facing one of the greatest opportunities and challenges in its history: the shift to digital channels. Across the entire retail landscape, online sales continue to increase while store-based retail sales stall or decline. In fact, according to a survey done by UPS, consumers made more purchases online than in stores in 2015…
Recent initiatives by eBay, Google, Wal-Mart and the U.S, Postal Service, coupled with the growth of Amazon Fresh, which boasts "same or next-day delivery of almost everything you want to buy — from fresh produce, meat and seafood to diapers, DVDs and toys," have made it clear that same-day delivery is here to stay. In fact, it's increasingly become an option consumers not only turn to and pay a premium for, but now expect to see. To stay competitive in this new market, here are the seven key steps retailers must take to begin a functional same-day delivery program:
Weighing the revenue generated by subscriptions against the cost of shipping, Amazon.com has clearly lost money on Prime. And let's be honest: Prime isn't about the Kindle lending library or the on-demand videos; it's about the fast, "free" delivery. So it's no surprise that Amazon's recent announcement of a price increase for Prime was welcomed by investors, who foresee improved margins in the coming years. Retailers should treat the announcement as good news too. Why?