With Prime Now, the American giant has further shortened its delivery times and offers 18,000 items, including 4,000 food items, to its “Premium” subscribers. Prime Now positions Amazon in two key sectors: food and ultra-fast delivery.
66.5% of people living in the Paris region would consider paying for a 1-hour delivery service
Frédéric Duval, the director of Amazon France already predicts “Prime Now in Paris, it’s going to be fantastic“. The Toluna survey for LSA seems to prove him right.
A new service far from unanimous
However, not everyone shares this enthusiasm. In fact, as soon as it was launched, the Paris City Council denounced the consequences of Prime Now on “the commercial balance in Paris”. The French Federation of Retailers’ Associations (FFAC) is also concerned about the impact of this new competitor on local shops and craftsmen.
Between 2005 and 2015, convenience stores and other local formats increased by 39%
Although these concerns are well-founded, physical commerce has already undergone many changes and has always been able to adapt. Local commerce has been modernised to better meet the expectations of its urban clientele. It is also experiencing a revival.
Is this an opportunity for traditional trade?
Benjamin Chemla, co-founder of Stuart, sees this new demand and the arrival of Prime Now as an opportunity for consumers but also for local shops. Thanks to online sales and marketplaces, local shops can now compete with drive-through or delivery offers from large retailers without incurring exorbitant entry costs.
In addition, they have considerable advantages: stock, proximity, product knowledge, and local reputation and trust.
E-commerce counter-attacks… in dispersed order
Moreover, these changes are no longer limited to traditional commerce, as some online retailers have begun their transition with offers similar to Prime Now: Showroomprivé, Fnac…
Patrick Robin: “Amazon Prime Now will be the tombstone of many French retailers”
Other initiatives are more innovative, such as EasyLife Premium, a subscription offer launched by Patrick Robin that brings together several e-retailers for which buyers benefit from free shipping and returns, regardless of the amount of their order.
On the food side, Cdiscount stands out, thanks to its membership of the Casino Group. Orders are prepared in shop and then delivered by Stuart. This double partnership highlights the emergence of new players and above all the explosion of a sector: that of last-mile delivery.
Thierry Spencer: “Amazon Prime Now, a new standard of customer experience
Their success underlines the new expectations of consumers. Thierry Spencer, a defender of quality of service, makes the immediacy of both the order and the delivery one of the most important criteria for a successful customer experience.
Packaging and delivery, central elements of customer satisfaction
Increasing order volumes and shorter lead times regularly lead to errors. Customers are now volatile and dissatisfaction quickly leads to disaffection.
There are many logistical irritants that can damage your turnover: late deliveries, damaged or poorly packaged parcels, etc. Delivery and packaging are central elements of customer satisfaction.
“Damaged parcels: 73% of consumers are unlikely to recommend an e-tailer” – Package Insight
Packaging is the key to the customer experience
This is why at RAJA we strive to support e-retailers, local shops, craftsmen, etc. in the evolution of their business. This support is based on three fundamental principles
- Protecting and securing goodsin all circumstances
- Increasing the speed of order preparationand the productivity of logistics teams while improving working conditions
- Improving the customer experience through specific packaging solutions and personalisation of packages
We are at the beginning of the “all e-commerce” era for everyday products. Faced with intense competition, it is important for companies to do everything possible to win the loyalty of increasingly volatile consumers. Getting your product quickly is great, but if it arrives in poor condition, the consumer will quickly turn away.
In e-commerce as in the local supermarket, it is the customer experience that will make all the difference. Think about taking care of your packaging!