Skip to content
Search AI Powered

Latest Stories

E-commerce giants leave room for smaller brands offering personalized, eco-friendly experiences

Amazon and big box retailers are taking the lion’s share of e-commerce business, but are creating consumer guilt along the way, survey shows.

ecommerce-3563183_640.jpg

Consumers want the speed and convenience of online shopping with the leading e-commerce companies, but feel guilty taking business away from smaller companies that offer local, more personalized service, according to a survey from third-party logistics services provider (3PL) Kenco Logistics, released this week.

The company’s 2021 E-Commerce Consumer Survey identifies trends and preferences in e-commerce shopping habits, sustainability, delivery, and more. Kenco polled 1,300 consumers this spring and found that most value convenience and sustainability and will reward brands that can deliver a mix of both. The personalization of shopping with smaller businesses also ranked high. Combined, these factors are creating room at the table for smaller companies, they said.


“While 81% of consumers still shop online most frequently with Amazon and big box retailers for their low prices and convenience, today’s e-commerce consumers are conflicted in aligning their principles with their purchases, creating new market opportunities,” the survey authors said.

Among the survey’s findings, online shopping trends that were accelerated by the pandemic are here to stay. More than 40% of consumers said they make online purchases once a week; nearly 20% said they make online purchases multiple times per week; and 84% said they expect their online purchases to increase or remain the same post-pandemic.

The survey also found that the e-commerce giants will continue to get the majority of consumers’ online purchasing spend: 81% of consumers said they choose to shop online with the larger players, citing price, user-friendly experiences, and product availability as top reasons. But that convenience comes with a price: 36% of consumers said they associate shopping online at Amazon or big box retailers with feelings of guilt. Of those, nearly three-quarters said they feel like they are taking away from small businesses when purchasing from larger e-commerce companies; 68% said they think they are contributing to unsustainable practices involved with packaging, manufacturing, and labor by doing so; and half say they feel guilty that they are not supporting more socially responsible companies—particularly ethical, minority-owned, and environmentally conscious firms.

“The data [reveal] that these feelings of guilt associated with making Amazon or big box purchases increase as consumer age decreases, showing trends toward environmentally and/or socially conscious shopping will only continue to gain momentum,” according to the survey.

Sustainability practices also ranked high with consumers surveyed, many of whom said they will wait longer for personalized, eco-friendly buying experiences. Although nearly half (49%) of consumers said they prefer two-day delivery, most said they are willing to wait longer for deliveries of more personalized and sustainable products and experiences: 74% said they are either highly likely or likely to wait longer for such deliveries from smaller, more unique brands, and 69% said they are either highly likely or likely to forgo faster delivery options for more sustainable options, such as delaying deliveries by grouping orders or combining orders with others on the same route.

“The expectations levied toward Amazon and big box retailers are being eased for smaller, unique, and sustainable brands that more closely align with consumer values,” David Hauptman, chief commercial officer at Kenco, said in a statement. “While consumers demand low prices and fast delivery times from national and global chains, they’re more forgiving when they know their dollars are contributing to sustainable or socially conscious practices. Small-business owners can worry less about providing instant gratification if they’re offering quality, unique, and sustainable products.”


Recent

More Stories

reagan national DCA airport photo

Reagan National airport plans to reopen today after deadly crash

All flights remained grounded this morning at Washington, D.C.’s Reagan National Airport (DCA) following the deadly mid-air crash last night between a passenger jet and an Army helicopter.

In a statement, DCA airport officials said they would open the facility again today for flights after planes were grounded for more than 12 hours. “Reagan National airport will resume flight operations at 11:00am. All airport roads and terminals are open. Some flights have been delayed or cancelled, so passengers are encouraged to check with their airline for specific flight information,” the facility said in a social media post.

Keep ReadingShow less

Featured

Jump Start 25 conference opens in Atlanta

Jump Start 25 conference opens in Atlanta

Artificial intelligence (AI) and the economy were hot topics on the opening day of SMC3 Jump Start 25, a less-than-truckload (LTL)-focused supply chain event taking place in Atlanta this week. The three-day event kicked off Monday morning to record attendance, with more than 700 people registered, according to conference planners.

The event opened with a keynote presentation from AI futurist Zack Kass, former head of go to market for OpenAI. He talked about the evolution of AI as well as real-world applications of the technology, furthering his mission to demystify AI and make it accessible and understandable to people everywhere. Kass is a speaker and consultant who works with businesses and governments around the world.

Keep ReadingShow less
trends in robotics

IFR: five trends will drive robot growth through 2025

As the global market value of industrial robot installations passes its all-time high of $16.5 billion, five trends will continue to drive its growth through 2025, according to a forecast from the International Federation of Robotics (IFR).

That is important because the increased use of robots has the potential to significantly reduce the impact of labor shortages in manufacturing, IFR said. That will happen when robots automate dirty, dull, dangerous or delicate tasks – such as visual quality inspection, hazardous painting, or heavy lifting—thus freeing up human workers to focus on more interesting and higher-value tasks.

Keep ReadingShow less
graphic of cargo in motion

Disruption events to global supply chains rose 38% over 2023

Overall disruptions to global supply chains in 2024 increased 38% from the previous year, thanks largely to the top five drivers of supply chain disruptions for the year: factory fires, labor disruption, business sale, leadership transition, and mergers & acquisitions, according to a study from Resilinc.

Factory fires maintained their position as the number one disruption for the sixth consecutive year, with 2,299 disruption alerts issued. Fortunately, this number is down 20% from the previous year and has declined 36% from the record high in 2022, according to California-based Resilinc, a provider of supply chain resiliency solutions.

Keep ReadingShow less
chart of cargo theft in 2024

Cargo theft activity set new highs in 2024

Cargo theft activity across the United States and Canada reached unprecedented levels in 2024, with 3,625 reported incidents representing a stark 27% increase from 2023, according to an annual analysis from CargoNet.

The estimated average value per theft also rose, reaching $202,364, up from $187,895 in 2023. And the increase was persistent, as each quarter of 2024 surpassed previous records set in 2023.

Keep ReadingShow less