Increasing fuel prices changes E-tailing affordability perception
Increasing fuel prices changes E-tailing affordability perception
In-store shopping remains the go-to option.

Along with the steady progression of the internet, new ways of shopping have begun to evolve and today online shopping is a worldwide phenomenon. Although the number of people who have access to the internet is increasing every year, the cost of internet access in South Africa is still significantly higher than in other countries.

Unfortunately, in our current unstable economy, online services are becoming increasingly more expensive. For retailers, this means that traditionally designed stores are leaving many online competitors in the dust. One of the biggest reasons for this? The cost of being online is furthermore affected by the rising fuel prices.

Due to the dramatic increase in fuel costs, e-retailers are compiling numerous quotations from different delivery companies to save on delivery costs. In turn, these delivery companies are similarly affected by the rising fuel overheads – causing a domino effect.

The convenience of online shopping is the draw in, however, the fact that fuel prices are continuing to rise, this may no longer be the case. For example, if unsatisfactory merchandise is delivered, customers will have to fork out additional costs for an exchange or return. With fluctuating delivery charges, getting products to customers in a timely and cost-effective manner is not always a possibility. Consumers may prefer to travel to get their products instantly, rather than waiting for them to be delivered to their doorstep.

The big question here is, what happens when customers are dissatisfied when they receive products which were not accurately portrayed? Are retailers ready to incur double costs on returns and deliveries? As a retailer, it is your duty to consider the disadvantages that come with new disruptive innovations.

With fuel prices continuing to soar, this means more expensive consumer goods and higher delivery costs. These exorbitant fees begin to force customers to go back to more traditional ways of shopping, having them ultimately end up in-store.

Many customers prefer an experience that allows them to hold and touch physical products, and for this reason, in-store remains the go-to option. Money otherwise spent on delivery costs should be proficiently invested in a physical shopping experience, a journey that comes with the enjoyment of social interaction, brand discovery and product purchases.

At Smollan, we believe in making the customers life simpler. From inception to the basket of the shopper – we take care of it all. Behind the scenes, we support brands through our active involvement in stock management at DC and in store, as well as driving the introduction of new product innovations. Our people execute brand strategies in store for many of the world’s most loved brands, just one of the many reasons we are making sure that in-store shopping is here to stay.

Tell us how we can make your shopper journey less stressful and deliver more of what you really want?