A Startup Brings Same-Day Delivery to Shopping Malls
BY Jill Krasny
Big mall operators have formed Deliv, a service that lets shoppers drop their bags, head to other stores, and have their purchases brought to their doorsteps within hours.
The phrase “shop ‘til you drop” is taking on new meaning: A Silicon Valley startup, Deliv, is enabling customers to ditch their bags but keep right on spending.
Shopping mall operators Macerich, Westfield Group, Simon Property Group, and General Growth Properties are expected to announce the new partnership Thursday, following a trial at several malls this year, The Wall Street Journalreports. Although the service will be mainly available in California, its owners plan to expand it next year.
The news comes just a day after Amazon brought its same-day grocery delivery service, AmazonFresh, to the Bay Area and Home Depot revealed plans to spend at least $300 million over the next two years developing same-day delivery. Rapid delivery has become a focal point of retail, and Deliv offers brick-and-mortar busineses an edge over online retailers such as Amazon, Google and eBay, which offer same-day service in certain markets.
For consumers, the options are dizzying but provide an opportunity to manage their spending and what they get for their money. Nearly half of all Americans use their smartphones and the Internet in the hope of saving time and money, according to a recent Cisco study, and more than 60 percent of these shoppers are more likely to visit or shop at a store that offers smarphone apps and other in-store online services.
The key for shopping malls, then, will be integrating the physical experience with Internet features that improve nearly every aspect of their business, from manufacturing to customer service. U.S. retailers could grow their profits by more than $460 billion if they do so, Cisco found, but for now, the biggest hurdle will be keeping customers in stores. Same-day delivery is a good starting point.
According to The Journal, Deliv sets up a booth in the mall where customers can drop off their bags. Later, they'll be delivered for $5, although the service is generally free around the holidays.