Amazon is now offering free same-day delivery to its Prime members in Toronto and Vancouver. The company introduced same-day delivery for a fee in these cities two years ago.
In the Canadian market, same-day e-commerce delivery is still in its early stages. During the 2013 holiday season, Walmart Canada introduced same-day deliveries in a pilot project with Canada Post in the Toronto area, but has since dropped it.
According to Danielle Doiron, director of parcels market development at Canada Post, there is a growing demand for same-day delivery, especially when consumers see it available in other markets. That being said, competition for online shoppers has raised the expectations of Canadian consumers. Canada Post’s research has found that 16 per cent of online shoppers abandoned their cart as a result of delivery times displayed at the checkout being longer than desired. Moreover, four per cent of online shoppers would choose to pay for same-day service.
As this trend continues, major chains and online retailers must figure out how to quickly and efficiently get items to their customers. With retail giant Amazon starting the wave, other companies must follow suit to avoid being overtaken.