Caroline Varga, Head of Uber Direct UK & Ireland on calls for convenience
“UK consumers are avid online shoppers, spending more per person on e-commerce than any other country.” says Caroline. “Even considering the pandemic, the value of online sales has surged, giving an edge to retailers adept at serving online customers. This shift has significantly impacted high street stores, leading to market consolidation and changes in ownership of many well-known retail brands.”
In 2023, over 50% of ecommerce sales were made with just 10 retailers, decreasing competition. However, a growing demand for greater customer convenience is now helping smaller players compete effectively.
Consumers now expect delivery times that suit their schedules. Supermarkets have set a precedent with rapid, convenient deliveries, and other retail areas are adopting similar strategies. This shift allows smaller, local businesses to compete with larger retailers.
Major online retailers once dominated due to efficient fulfilment processes based on large national distribution centres. However, this model doesn’t support quick or precise delivery, relying on vans loaded with over a hundred parcels following planned routes. Precise delivery times are challenging when parcels travel long distances with multiple stops.
Large delivery providers are improving estimated delivery windows, but precise arrival times remain difficult. Express delivery or specific delivery times require goods to be closer to consumers. Supermarkets pioneered this approach by shipping from stores and partnering with courier networks like Uber Eats for rapid, accurate delivery.
Local businesses like pet shops, hardware stores, and pharmacies also benefit from proximity to customers. Research shows high demand for convenient delivery services across various retail categories. For example, over half of consumers buying technology, electronics, medicine, and homewares prefer retailers offering 60-minute delivery slots.
Consumers are willing to pay extra for convenience. Two-thirds would pay more for express delivery of DIY and gardening products, and 69% for florists. While some customers opt for slower, cheaper delivery options, many prefer faster deliveries to fit their busy lives.
Local businesses and smaller retailers that leverage their store presence to bring products closer to consumers are better positioned to meet these needs. The demand for greater convenience gives local retailers and smaller ship-to-store players a competitive edge over larger online retailers reliant on distribution centres.
“Customer expectations are evolving rapidly,” says Caroline Varga. “Consumers now prioritise convenience and speed, creating new opportunities for smaller, local businesses to thrive in the competitive online retail space.”
To find out more about how Uber Direct are meeting delivery expectations, visit