77% of etailers think postal strikes will put customers off online shopping

An IMRG survey of its retail members has revealed that 77% of them believe that strike action by the Communication Workers Union may discourage consumers from shopping online in the run up to Christmas.
“Ecommerce sales are set to top £50bn in 2009, even through the recession, but a strike of this nature has the potential to do significant harm to online retail sales,” says David Smith, IMRG’s director of operations. “Up to now 86% of the retailers surveyed have used Royal Mail for at least some of their deliveries but this option is being taken from them and 60% have already made alternative arrangements to bypass Royal Mail to protect their customers. For Royal Mail the impact of this industrial action is going to be disastrous”.
The survey also found that 79% of those retailers offering alternative delivery arrangements would be absorbing any additional costs in an effort to minimise the impact on their customers, whilst 67% were taking steps to fully inform their online shoppers of potential delays on their websites at the time of order.
The research also revealed that 61% of the retailers have already received specific enquiries from concerned consumers about delivery arrangements in relation to the strike action.
With the first national strike set to bite on Thursday, IMRG has made practical advice to help minimise disruption for online retailers available on its website.
Related news
- Postal strike hits online sales and visitor numbers
- Postal strikes cost online retailers £53 million, says IMRG
- ‘Ceasefire’ sees mail strikes put off until after Christmas
- John Lewis assures customers Royal Mail strike won’t affect deliveries
- Mail strike — 75% of businesses plan to drop Royal Mail
- Royal Mail strike could cost retailers £270 million, says Kelkoo


2 Comments »
It is a shame that with the tough trading conditions thrown up by the economic downturn and slow recovery, another barrier to online trading should rear its head.
With media coverage of the planned disruption it is inevitable that some people may be dissuaded to shop online in the weeks immediately before Christmas. I think pure play etailers will be harder hit – multi-channel players can at least direct people to their local store, so the large multiples will therefore have an advantage over regional based business.
Retailers should use their homepage and delivery pages to reinforce the message of reliable delivery and alert customers to the postage alternatives that they have lined up. Perhaps an email to the opt-in database (as suggested on the IMRG advice page) based on this subject would be a worthwhile investment and help manage customer expectations through the industrial action.
thanks
james
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