Omnichannel Fulfillment: Retailer Insights on Last Mile Delivery and Post- Purchase Strategies

In today’s retail landscape, crafting a seamless omnichannel fulfillment experience has evolved from being a bonus to a business necessity. Customers expect to engage with brands across various channels seamlessly, blurring the lines between online and offline interactions. Knowing how retailers navigate these complexities and address their inherent challenges is essential for long-term stability.  

Enter Retail TouchPoints®, a trusted online publisher for retail executives, and their annual Omnichannel and Fulfillment Benchmark Report. Created in collaboration with Walmart GoLocal, this year’s benchmark survey report delivers invaluable responses from 215 retailers and brands. It offers a robust view of current omnichannel fulfillment strategies for success, revealing a growing emphasis on the post-purchase experience and last mile delivery.

Aligning with market shifts and creating seamless experiences 

The report reveals that adapting quickly to market changes and providing a seamless customer experience are top of mind for retailers. These intertwined objectives drive the prioritization of omnichannel fulfillment tactics that empower business leaders to align product offerings, inventory levels, and fulfillment strategies with evolving consumer expectations. 

The rise of new engagement channels and technologies 

The report highlights the prevalence of new customer engagement channels. Retail media advertising, phone/text chats with store associates, and messaging apps rank as the top three investment areas. 

A standout insight from the report is the rapid adoption of AI-powered chat bots. Usage surged from 31% in 2023 to 40% in 2024, reflecting the industry's commitment to leveraging technology for efficiency and tailored customer interactions. This data reflects the growing role of personalized communications strategies in strengthening brand loyalty across the customer journey. 

Optimizing delivery and transparency 

The report also reflects a focus on last-mile delivery (LMD) optimization. With 70% of respondents reporting increased doorstep deliveries, efficient fulfillment solutions remain paramount. Retailers are prioritizing technologies that improve delivery times and provide real-time package tracking, ensuring customers stay informed throughout the process. 

The challenges and benefits of outsourcing  

Rising shipping costs remain a significant fulfillment challenge, with 56% of retailers citing it as a top concern. Other challenges include managing customer inquiries, meeting expectations for free or low-cost shipping, and ensuring timely deliveries.

Outsourcing last mile delivery and fulfillment services is emerging as a key strategy. Retailers increasingly rely on third-party providers for courier/delivery services, instant delivery platforms, and customer service operations. Benefits include cost–effectiveness, expanded product offerings, and improved alignment with customer expectations.

A deeper dive awaits

The 2024 Omnichannel and Fulfillment Benchmark Report by Retail Touchpoints and Walmart GoLocal paints a vivid picture of an industry in transformation. From adopting AI-driven chatbots and retail media advertising to tackling fulfillment cost challenges, retailers are embracing innovative solutions to stay competitive. 

Explore how last mile delivery and fulfillment have become omnichannel differentiators by downloading the full report. Access the Full Report Here →

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