Consumer research data suggests shipping costs are a factor in 48% of cart abandonments from ecommerce stores. Shipping is a major differentiator for ecommerce brands. Fast, free shipping is a major factor in getting customers to click on, order from, and return to an ecommerce store. With a cart abandonment rate of almost 70% across sectors, shipping costs can quite literally make or break a business’s ability to sell products.
Offering fast shipping hasn’t historically always been the ‘greenest’ choice. In the past, the faster we wanted our order shipped, meant the bigger impact it would have on the environment. Traditional methods for delivering from direct-to-consumer (DTC) brands and ecommerce stores depended on carbon-heavy vehicles or air travel. Now electric vehicles, carbon offsets, route optimization, distributed fulfillment, and sustainable materials have made it possible for shipping to be both fast and green – which is why so many major brands are hopping on board.
Here are some examples of ecommerce brands that have made the switch, and how they prioritize green shipping practices within their organization:
1. IKEA
IKEA made the shift to zero emission deliveries in 2021 after partnering with The Aspen Institute and pledging to reduce its carbon footprint by 70-80%. In 2024, IKEA is still committed to reducing its emissions across the supply chain. The company has switched from auto transportation to rail and short sea for many trips, joined organizations like ZEMBA for carbon-neutral ocean shipping, and is prioritizing a fleet of electric vehicles to replace diesel truck deliveries.
2. Vessi
Ecommerce footwear brand Vessi is another example of green shipping done right. At the same time as offering quality shoes made with less waste, Vessi offers fully recyclable packaging for its products. It also features smart returns, which sees more returns going back into stock for sale and less wasted goods (and more profit).
3. Holt Renfrew
Luxury department store Holt Renfrew also uses green shipping options like alternative packaging, including compostable and biodegradable packing materials. Holt Renfrew takes its green shipping initiative one step further by partnering with GoBolt to offer carbon neutral shipping. Without sacrificing speed or customer satisfaction, the partnership allows Holt Renfrew to offer last-mile shipping from an environmentally friendly mix of internal combustion engines and fully electric vehicles.
4. Sundays
Shipping large household items or furniture has never been greener. West–coast ecommerce brand Sundays Company offers a high quality selection of furniture, designed for families and built to last. To help ensure Sundays furniture is accessible (without long lead times or inconsistent products), Sundays ships free. Using recyclable materials instead of wooden crates, combined with carefully optimized shipping routes, helps get products straight from the nearest fulfillment center to the customer’s door. All of this saves on carbon emissions and makes for a sustainable way to ship larger items, while getting orders to customers faster.
5. tentree
A sustainable brand needs sustainable shipping – which is why brands like tentree use greener options for last mile shipping and ecommerce fulfillment. To offer shipping that’s both sustainable and speedy, tentree lowers emissions by using electric vehicles, fuel efficient routes for delivery, and sequestering carbon to further lower the environmental footprint of their shipment activities. In 2023, 25% of tentree’s online orders in Canada were delivered by electric vehicles.
6. Endy
Endy is a modern mattress company with a modern mission for sustainable shipping. The company offers customers a ‘move free mattress’ – meaning sleepers can roll over as many times as they want without disturbing their partner. It also offers shipping at a speed meant to “surprise and delight” its customers. By partnering with third party logistics companies that use sustainable transportation, Endy is proving that even small steps towards green shipping practices can have a great impact.
How to fund your DTC brand’s switch to green shipping
Modern ecommerce brands are proving that shipping can be both sustainable and speedy in 2024 – which is great for customers, and even better for brands.
Shipping is an important cost center for ecommerce brands, which need to deliver items to customers in order to collect on the bill. Logistics can be a major factor in helping an ecommerce business grow – so if you’re considering a switch to a newer or greener shipping service, it’s worthwhile to look at options for accessing funds. DTC brands can pay their shipping and logistics invoices sooner by accessing Invoice Funding – which in turn, can free up time and capital for bigger plans.
Author
Samantha Lloyd is the Director of Marketing at Clearco. Samantha is a long-time marketing expert and advisor. She has over a decade of experience building organic growth, brand, and digital marketing for technology companies.
