DNB, category focused players top customer delivery satisfaction: Survey

The RedSeer-Shadowfax Delivery Delight Index survey found that in CY2020, direct-to-consumer brands grew three times faster than overall e-commerce in India

Helped by improved delivery experience, digitally native brands (DNB) and vertical market players have risen to the top of the logistics value chain, according to the third edition of RedSeer-Shadowfax Delivery Delight Index survey.

In calendar year 2020, direct-to-consumer (D2C) brands grew three times faster than  overall e-commerce in India, the survey found. The major growth drivers for this segment include the sizable set of mature customers and an enabling infrastructure.

Across different categories, the report found different winners. In the e-tailing marketplaces segment, Amazon, Firstcry, Myntra, Nykaa and Purplle led the pack,  while Dunzo led in the hyperlocal marketplaces side, followed by Flipkart Supermart, and Swiggy. Among traditional brands and retailers, Lifestyle was the clear winner,  while among digitally native brands (DNB), Mi, Mamaearth, Wow, Bewakoof, and Boat led the pack.

The report surveyed around 10,000 consumers to assess the delivery experience of 38 logistics players, based on satisfaction across speed of delivery, pre-delivery experience, during delivery experience, and the post-delivery experience.

“The index reinstates our belief that customer expectations are moving towards faster and faster deliveries today. On the other hand, brands who are investing behind speed and delivery delight for consumers are gaining market share and consequently emerging as leaders in the index,” said Abhishek Bansal, co-founder of Shadowfax.

DNB platforms have improved speed of delivery by launching micro-warehouses in partnership with third party warehouse aggregators and providing same day or next day deliveries in key metro and tier-1 cities. DNB platforms have also improved overall delivery experience by enabling deeper integration with the logistics partners leading to a reduction in refund time and ensuring pro-active communication to consumers at various stages of deliveries.

The study further found that there is high importance of express delivery among consumers with higher willingness to pay for these service in online pharma deliveries.

“The study has shown that  despite the phenomenal growth of the D2C brands in recent times, these brands have been able to provide a superlative delivery experience with the support of third-party logistics players. Further, the specialised players in the warehousing and logistics space are enabling these new- age brands to fulfill the growing demand with a quality experience,” said Anil Kumar, founder and CEO of RedSeer.