Sorted fact file: Lowering final mile costs
Based on a bonus episode of the Sorted Retail Sessions podcast, this guide gives you all the need-to-know about post-purchase tech and how it can save you money.
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What’s the challenge?
Retailers are facing pressure to reduce spend on the post-purchase experience without compromising on customer experience or competitive advantage.
What metrics do retailers monitor when they’re optimising final mile costs?
‘Where is my order?’ contacts (WISMO)
‘Where is my return?’ contacts (WISMR)
First contact resolution
Time to resolve
Customer retention (including NPS and CSAT)
Top tip #1
Warehouse, CX, Marketing, Logistics and finance should work together to address this challenge.
The cost of the WISMO problem
Most WISMO contacts average at around £4-£6 per resolution. One retailer told us they pay up to £14 per contact which, during peak periods, could cost them up to £250,000 per week. A very expensive problem to have.
How do retailers cut costs with post-purchase tech?
Sending branded delivery updates via email or SMS and pushing customers to self-serve their own WISMO queries with branded parcel tracking pages; two ways to lower call centre costs.
Agents with holistic dashboard views of delivery operations can answer queries faster and therefore at a lower cost.
The solution?
Cutting final mile costs shouldn’t be detrimental to the customer experience. WISMO is continually the largest driver of customer dissatisfaction as well as post-purchase spend for retailers, so driving contacts, and costs, down with delivery tech is crucial.
Top tip #2
Want to see post-purchase technology in action. Click this link to get access to an on-demand, no-obligation demo.
Which retailers are taking action over final mile spending?
Useful resources.
- A Session on reducing final mile costs, Sorted Retail Sessions Podcast. Link here.
- Sorted Retail Sessions Podcast, 15+ episodes. Link here.
- The Science of Delivery Experience, Sorted.com. Link here.
- Customer stories, Sorted.com. Link here.
Stats and facts.
- 93% of consumers recognise the significance of the customer delivery experience.
- 83% of consumers think the post-purchase experience could be substantially improved, whereas only 18% of retail leaders do.
- 87% of consumers would trust a brand more if they communicate delivery status more effectively.
- 71% of consumers changed brands at least once in the last year for better deals or superior customer service.
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Want to hear more?
Get in touch to discuss your budget efficiency goals, or to hear about how post-purchase tech can improve your customer experience.