Deliv, a crowdsourced same-day delivery service, on Monday revealed a major expansion to nine new markets that will extend its reach to more than 100 cities, including New York. The new markets will bring Deliv’s total to 17, allowing partners such as Macy’s and Bloomingdale’s to expand their delivery options for shoppers.
Deliv will more than double its number of markets with the addition of the New York City metro area, including Brooklyn, Queens and western Long Island; Atlanta; Boston/Cambridge, Mass.; Dallas/Fort Worth; Honolulu; Las Vegas; Miami/Fort Lauderdale; Orange County, Calif., and Philadelphia.
Macy’s Inc. simultaneously said it will expand same-day delivery services to the same nine new markets for products purchased at macys.com, bloomingdales.com and mobile-enabled Web sites. Macy’s said its ability to expand same-day delivery is rooted in local merchandise inventories at stores as well as the expanded delivery footprint of Deliv.
The charge for same-day delivery from macys.com or bloomingdales.com is a flat $5 above standard ground shipping fees.
For the first time, Macy’s and Bloomingdale’s will be able to offer returns via Deliv. Customers authorize their return on the Macy’s or Bloomingdale’s Web site and Deliv will pick it up during a scheduled time window and deliver it back to the store. The return service will be available in Deliv’s initial test markets of Chicago, Los Angeles, San Francisco and the broader Bay Area.
Deliv, which is based in Menlo Park, Calif., provides scheduled, same-day delivery and returns across 250 retailers and has partnered with six of the largest mall operators in the country: General Growth Properties, Macerich, PREIT, Simon Property Group, Taubman Centers and Westfield Corp.
“Amazon has pushed the envelope of customer experience,” said Daphne Carmeli, chief executive officer of Deliv. “Everybody was happy with three- to five-day deliveries until Prime came around. Amazon Prime customers get free same-day delivery [in certain markets]. We’ve become used to that and that’s become the expectation. Retailers have to keep up and [fulfill] the expectation. Zappos, which Amazon owns, was the leader in making returns easy. Returns are important. They contribute to loyalty and higher sales.”
While Macy’s and Bloomingdale’s don’t charge for standard returns, there is an incremental charge for having a return picked up at the customer’s home by Deliv.
“When we piloted same-day delivery in eight markets last fall, we learned that our customers appreciate the additional option of having their purchase brought to their home or office in a matter of hours,” said R.B. Harrison, Macy’s chief omnichannel officer. “It’s an important part of our value proposition as an omnichannel retailer serving customers who shop our stores, Web sites and apps whenever, wherever and however they prefer.”
Carmeli said Deliv will reveal additional retail partners closer to the holiday season. “We want to get more and more retailers and more and more returns. The forward and reverse logistics make our business scale very quickly,” she said. “Macy’s is the omnichannel leader in the country. Backstage [Macy’s discount concept] is starting to open. I expect there will be more and more extensions.”
While Deliv is focused on the U.S. for the coming year, Carmeli said there’s been interest in the same-day service from Canada, Germany and Australia. “China, Japan and India have been doing this for a really long time,” she said.
“With 17 markets, we’ve got most of the major areas covered now,” Carmeli said. “We’ve exceeded Amazon’s 14 markets.”