![]() ![]() If you notice your on-time delivery performance starting to slip, it’s usually a symptom of other problems in your business that you need to address.Ĭommon causes of poor on-time delivery include: ( Source)īut these key metrics are also relevant because they reveal inefficiencies or bottlenecks in your fulfillment or delivery processes. When you deliver on time, your customers are happy, and they come back to buy more. Your on-time delivery metrics matter because they’re key to building customer retention. 1, your business can consider it an on-time delivery if it arrives between Sept. Most companies measure OTD with a date range, typically spanning five days before the delivery due date. For example, if an item is due by Oct. To calculate OTD rate, you divide the total number of orders delivered by the number of deliveries that arrived after the promised delivery date. The on-time delivery metric is a key performance indicator (KPI) ecommerce and other delivery businesses use to assess their ability to fulfill a customer order by the promised delivery date. What Is On-Time Delivery (OTD) Rate? ( Source) Why You Should Boost Your On-Time Delivery Metrics With OptimoRoute.How T’SAS Produce Delivery Boosted Its OTD and Improved Customer Experience With OptimoRoute.How to Improve Your On-Time Delivery Metrics.How to Calculate Your On-Time Delivery Metrics.If you want to increase your customer retention and revenue instead of lose half your business, you need to learn how to measure and improve your on-time delivery metrics. Seventeen percent of customers said they’d stop buying from a retailer after one late delivery, and more than half said they’d abandon a retailer after two or three late deliveries. Fail to deliver on time, and you lose customers. When you deliver your products to shoppers on time, you increase customer loyalty, which translates to repeat business. Measuring your on-time delivery metrics is important because they play a crucial role in your business’s success or failure.
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