APS Fulfillment, Inc Responds to Study: Warehousing Major Driver of Consumer Loyalty

Miami, FL, October 15, 2013 – Advanced Production Solutions (www.APSFulfillment.com), one of the nation’s leading cost-effective fulfillment and integrated direct mail marketing companies, is responding to a recent survey showing that an investment in e-commerce infrastructure is key for driving long-term customer loyalty.

It has long been held that consumers who shop online do so because they expect to find the lowest prices, according to APS Fulfillment, Inc. But according to a new survey by Simon-Kucher & Partners, most shoppers do not cite “lower prices” as the main motivating factor for shopping online. While low, competitive prices are crucial, warehousing infrastructure was found to be most important thing for driving long-term customer loyalty. (Source: “Retailers win with best warehouse network, not lowest prices,” Simon-Kucher & Partners web site, October. 1, 2013; http://www.simon-kucher.com/sites/default/files/press_release_retailers_win_with_best_warehouse_network_not_lowest_prices_simon-kucher_october_1_2013.pdf.)

“While businesses often try, they can’t use lower prices to correct a weakness in another area. If their warehousing, packaging, and shipping procedures are flawed, lower prices aren’t necessarily going to close the gap,” says Charles Aultman, president of Advanced Production Solutions. “Low prices are important, but customer satisfaction is even more important.”

That doesn’t mean price isn’t important to online shoppers, says Aultman; it just varies by product group. That said, the vast majority of respondents did not cite ‘lower prices’ as their main motivation. Roughly one quarter (24%) said lower prices were most important when it came to books, consumer electronics, and entertainment, while only 18% said lower prices were the main reason they purchased health and beauty products, toys/sports/hobby-related products, clothing, and furniture. Respondents also noted that the more they shopped online, the less emphasis lower prices played in the decision-making process. (Source: Ibid.)

“In an effort to increase their competitive edge, major retailers aren’t making lower prices the centerpiece of the marketing strategy—they’re increasing their fulfillment and services,” Aultman adds. “Businesses looking to get a competitive edge this holiday season need to understand that nothing is more important than delivering the best value. After all, what shoppers remember most about their e-commerce experience is not how much they paid, but whether or not they received what they ordered and if it was delivered on time.”

APS Fulfillment, Inc is one of the United States’ leading cost-effective fulfillment and integrated direct mail marketing companies, offering affordable and real-time fulfillment services to small, medium, and large companies. Our state-of-the-art technology provides turnkey solutions for high-volume perfect-match mailings, personalized direct mail, snap-pack mailers, postcards, and triple-tabbed booklets. APS Fulfillment, Inc also provides critical document design, on-demand printing and publishing, and warehousing.

More information on APS Fulfillment, Inc is available by visiting the firm’s web site at www.APSFulfillment.com or by calling 954-582-7450.