More Ship-From-Store Deliveries For Target

There is so much that store retailers are doing online to compete with web-based retailers like Google and Amazon. Target has made strategic improvements to its' e-commerce and the numbers show it. Yet, it is doing something that web retailers can't do, which is utilize their physical stores for shipping.

Internet Retailer reported how Target is now planning to expand its' ship-from-store capabilities, as second quarter sales have thrived. The same time last year, Target's e-commerce accounted for only 2.2% of its' overall sales, versus 2.7% in 2015. This doesn't appear like much, however, it equates to an almost $100 million jump from last year, resulted in increased web sales of 26.1%. With all of the online growth, Target is setting itself to triple the number of stores that will fulfill online orders in the second half of the year from 140 to 450, more than likely to gear up for the holidays.

“Ship-from-store capabilities allow us to balance inventory across the network, leverage the capital and labor already in our stores, and reach guests more quickly", said Target CEO Brian Cornell. Store shipping allows products to be sourced from any store, but get it to the customer in the same request time frame. A few more duties are added to the retail clerk to get items picked, packed, and shipped out. Speed is the element that Target will benefit from the most, adding the versatility that satisfies customer delivery needs, even with same-day delivery. Shipping from stores within a close radius makes last-mile delivery execution easy. This could be an underlying driver for Target.

Macy's is like Target, yet the retailer since last year has made a strong push to make ship-from-store delivery a core service product. However, Macy's is out front primarily with same-day delivery from its' stores. Prior to the holiday season last year, Macy's launched same-day delivery in 8 major US cities, including San Francisco, San Jose, Los Angeles, Houston, Seattle, Chicago, Washington DC, and New Jersey. Customers can get same-day delivery with Macy's for all online orders placed daily by 1pm and by 11 am on Sundays. Now, the popular retailer is expanding into 14 new markets this year, making its' span larger than Amazon.

Target already works with Google Express in several cities to handle its' fast online pick up from stores. The question is will it heavily expand like Macy's? Increased online sales show that Target could go in that direction. Same-day delivery works with volume and it would fit, as Target is just about everywhere in the US. Nationwide retailers like Ace Hardware and Petco have also jumped into the race of same-day delivery. A same-day courier like A-1 Express is ideal for brick-and-mortar retailers to thrive and do it quickly. A-1 Express has a national footprint and is capable of implementing same-day solutions fast. The Dallas Courier is equipped to handle robust delivery programs.

If Target focuses on 2-3 day, ship-from-store options for some of the market, the other market of shoppers that enjoy fast, convenient delivery will need Target's attention too. As companies like Google and Amazon expand online to meet these customers at the door with same-day delivery, Target knows it must venture out farther with same-day services in order to continue growth.

Reference: 8.19.15, www.internetretailer, Matt Lindner, Target goes full speed with ship-from-store

Alibaba Goes 3-Hour Delivery For Healthcare Products

In the US, we think of big name retailers like Google, Amazon, Wal-Mart and others that have implemented various models of same-day delivery. However, the service isn't only thriving in the US, but also in other countries, namely China. Retail giant Alibaba can attest to this, especially with its' recent announcement that shows it is making same-day delivery a core competency in all that it does.

Reuters recently reported that Alibaba Group Holding has announced it is rolling out a three-hour same-day delivery service for healthcare products in five Chinese cities. The five cities will include Beijing and Shanghai. This will only be the beginning, as Alibaba plans to expand the healthcare delivery service to 19 cities by the end of this year. The retailer is wasting no time with offering the service which makes sense due to economies of scale and volume profitability created by servicing more cities.

"This service is ideal for consumers who need non-prescription drugs and other healthcare products quickly," said Xu Hui, head of Cainiao Ji Su Da. "This service effectively mobilizes resources at both online and offline stores, which in turn brings the customers a seamless shopping experience." Cainiao is an Alibaba affiliate operating in partnership with logistics firms, collects and delivers orders. This is similar to a same-day courier like A-1 Express and what it does for hundreds of retailers. The nationwide courier performs same-day delivery for time-sensitive items, such as daily prescriptions and other health care goods.

Alibaba works via a partnership with five pharmacy chains that sell their healthcare products on Alibaba's Tmall.com. This shows Alibaba has a working relationship with the pharmacy chains, and as expansion became more feasible, it made sense for the pharmacy chain to join up with Alibaba. The goods are sold from several online stores within the Tmall. Ji Su Da, or "fast delivery", is what the service is referred to as. Currently, deliveries includes more than 1,500 drugstores. The article mentions how shoppers now have access to these stores and can request the new service. Ji Su Da is a part of a broader trend called "online to offline". This means Alibaba's pursuit is to bring online various offline services, from flagging a taxi to finding nearby restaurant discounts. Shoppers can use their smartphones to find someone's location and the nearest service provider also.

Rival JD.com is out to gain more share of the online market as well, with a strong logistical network and a fast delivery service similar to Amazon. In the US, Amazon has its' one-hour Prime Now service in various major US cities. The e-retailer recently launched same-day delivery in Baltimore and Miami. Right before the holiday season last year, Amazon rolled out the service in New York City, Indianapolis, Washington DC, Atlanta, Dallas, and Philadelphia. Amazon also is moving forward with same-day delivery via drones, which the FAA approved its' usage.

Same-day delivery is very beneficial for the healthcare industry, both in China and in the US. A-1 Express is a Dallas Courier that can successfully transport time-sensitive healthcare goods, including pick up and delivery from local drugstores, hospitals, residences, nursing homes, and other facilities.

Reference: 5.12.15,www.reuters.com, Paul Carsten, Alibaba rolls out 3-hour delivery service for healthcare goods

Ace Hardware Announces Launch To Test Same-Day Delivery

Many retailers are going same-day delivery, and even now you can get your tools fast. Ace Hardware has decided to branch off from just being a brick-and-mortar tool store and test some last-mile deliveries of its' own.

Ace announced that it will be testing same-day delivery in 33 of its' 4,400 stores in select cities in the US, including Arizona, Illinois, Colorado, Maryland, Texas and Florida. Express delivery service will be available for customers to customers within 5 miles of a participating store and place their online order by 1pm. For an additional $5 fee, an Ace store associate will fulfill the online order and deliver it. The new program, which began January 26th, is an extension of Ace's online order and pick up in store service, which is currently available at 1,600 Ace stores. Retailers are being more innovative to get their products to the customer, since maybe there is a probability shoppers will spend more if they can get their products to their front door instead.

Per the Chicago Tribune, the hardware store does have one pilot store in Chicago for same-day delivery. This is one of the popular cities known for the demographics necessary to implement the high demand service. Malls such as Woodfield Mall and Water Tower Place were mentioned in the article as providing an on-demand car service for shoppers last year. Customers can make their purchases at the store, and instead of dropping them of to their cars, they can have them delivered to their homes, as they continue to shop.

A wide range of well-known companies have launched same-day delivery. To position itself for last year's holiday season, Macy's launched the service in 8 major US cities, including San Francisco, Los Angeles, San Jose, Seattle, Houston, Chicago, Washington DC, and New Jersey. Sister company Bloomingdale's followed suit in some of those cities as well. Macy's same-day delivery fees are comparable with other big name retailers. It's service is priced at a flat fee of $5 for orders over $99. Shoppers with smaller orders pay standard shipping rates, plus the flat rate.

Unexpected Petco launched a few same-day delivery pilot programs for pet food items last month, one in San Francisco and another in Boston. Petco has teamed up with food delivery company Instacart, as other retailers partner with a same-day courier like A-1 Express to perform the actual deliveries. Instacart will pick up and deliver items for Petco, such as dog food, birdhouses, kitty litter and more. Petco's service will deliver to their customer's front door as fast as an hour for fees between $3.99 and $5.99.

Wal-Mart is another retail leader that offers same-day delivery in multiple US cities and also in Canada. In some areas in Canada, Wal-Mart's service is free, as it competes heavily with Amazon. Wal-Green's, Toys-R-Us, American Eagle, Banana Republic, and more have all decided to deliver their products to their online shoppers. This allows product to move, even while the consumer doesn't. Online retail is expected to increase to $500 billion by 2018, which many . A-1 Express is assured to be a Dallas courier retailers can partner with now in the beginning stages of this same-day service growth.

Reference: 2.17.15, Chicago Tribune, Alexia Elejalde-Ruiz, Ace Hardware tests same-day delivery near some stores

Postmates Using iPhone App For One-Hour Same-Day Deliveries

Many retailers are currently testing and implementing same-day delivery, not only in the US, but globally. One plus about same-day delivery is it has enabled customers to receive their online products within one day. However, depending on the company, its' same-day delivery could take hours and cost a pretty good penny to use it. Upcoming online retailer, Postmates, is looking to change that and offer customers a same-day delivery service that competitors will have to take notice of.

Internet Retailer reported Postmates is setting out to take mobile commerce to another level, offering product deliveries within one hour. Postmates plans on using an iPhone app to do it. The app will allow customers in San Francisco and Seattle to order goods from local retailers and restaurants to start with. The cost for the one-hour delivery will range from $5 to $12. This one-hour service, if done effectively, will definitely get the attention of shoppers and online retailers.

The service via the iPhone is a premium service and customers will have this option if they so choose. Kristin Schaefer, Postmates Director of Growth stated in the article, “It is an on-demand service. You request a delivery via our iPhone app and a courier—on bike, scooter or in a car—is then dispatched to buy and deliver your item. You can track your courier, get real-time estimated times of arrival and pay seamlessly using your phone.” It appears Postmates will utilize same-day couriers like A-1 Express to perform the one-hour deliveries on their behalf. This is effective, considering Postmates will need a partner that has an expertise in fast deliveries, which couriers do have.

The way the service works is a Postmates courier arrives at the restaurant or store the customer has used the iPhone app and buys the goods just as the shopper would. They then deliver the customers' app purchases to the destination. This eliminates the need to sign up merchants to participate in the delivery service program. Schaefer also stated, “You can get anything you want delivered in under an hour. Food from any restaurant, groceries, beer, wine, Nikes, make-up and electronics.” Shoppers will be able to rate their courier as well, which will help manage an optimal delivery personnel.

Since Postmates use of the app, they have experienced great results. The company has processed more than $1 million worth of deliveries from merchants in San Francisco and Seattle within the last three months. It's delivery volume is growing at 20% per month. Another statistic that is helping the growth is Postmates user growth is at 40% per month as well. This appears will ultimately end in nothing but positive results in the months ahead for Postmates, especially with the holiday season on the horizon.

iPhones, iPads, smartphones, and other mobile devices are going right in line with growth of online shopping. It is easier now than it has ever been to for customers to make purchases online, right from their homes and have an online product delivered their doorsteps. Online sales have increases by 16% consistently over recent years and mobile-commerce increases at the same time. With this type of iPhone app and the popularity of Apple, fast deliveries is sure to continue to grow.

An iPhone with the ability to create deliveries of online products is essentially what same-day delivery is being provided by same-day couriers like A-1 Express. This Dallas Courier is a viable option for online retailers to partner with gain the ground they need to be competitive in mobile commerce. With the continued growth online, A-1 Express can quickly implement a courier logistics solution that will help any online business keep up and soar in the years ahead.

References: 5.30.13, Internet Retailer, An iPhone app enables delivery within an hour

Senate May End Tax-Free Online Shopping, Lower Costs With A Same-Day Courier

Online shopping is growing at a very fast pace. From mobile phones to ipads, people have become more comfortable with shopping online in the recent years. There are a number of issues that have risen regarding online business and one of those is online sales tax.

Currently, states collect sales taxes only if the e-retailer has a physical store within that particular state. However, based on the beginning debate regarding the issue, this could very well change. Yahoo News reported an online sales tax debate has started this week, after the Senate passed a test vote yesterday. The Senate passed the test bill by a wide margin of 74 to 20. With this level of support continuing, the real bill could actually pass as early as this week.

Instead of online sales being tax-free for online retailers and having an advantage over brick-and-mortar stores, supporters feel it will level the playing field. "I believe it is important to level the playing field for all retailers," said Senator Mike Enzi, Republican of Wyoming, who sponsored the bill. "We should not be subsidizing some taxpayers at the expense of others." It will generate lost revenue on the state level. Also, President Obama supports the bill as well.

Opposers of the bill feel it will impose complicated regulations on retailers. EBay is one of them. To rally opposition to the bill, EBay president and CEO stated, "I hope you agree that imposing unnecessary tax burdens on small online businesses is a bad idea. Join us in letting your Members of Congress know they should protect small online businesses, not potentially put them out of business." Others in opposition are Senators representing states that have no sales tax.

EBay wasn't the the only online giant mentioned in the report. Amazon also weighed in and is in favor of the bill. "Amazon.com has long supported a simplified nationwide approach that is evenhandedly applied and applicable to all but the smallest volume sellers," Paul Misener, Amazon's vice president of global public policy wrote in a letter to senators. The bill will ultimately bring more revenue to the states in which the shopper lives in. Businesses that make less than $1 million per year will be exempt for the bill.

Whether the bill to end online tax-free shopping passes or not, e-retailers will need to continue to seek for ways to manage their costs. One way is using same-day delivery. Same-day courier services like A-1 Express are a viable option keep their shipping costs down, in the event online sales taxes do increase. This Dallas courier can perform same-day deliveries at a lower cost because of route optimization and transportation expertise. A-1 Express can create a courier logistics solution specific for any online retailer's same-day delivery needs.

Reference: 4.22.13., YahooNews, Stephen Ohlemacher, Senate bill jeopardizes tax-free online shopping