Delivering
a flawless customer experience and optimizing it is a complex and challenging
task for businesses. This becomes all the way more interesting & intriguing
for the industries that operate during non-working hours. Over time, there has
been a change in the customer’s usage of midnight hour services. For instance,
when it comes to certain sectors like food, and e-commerce, the customer is
more inclined towards availing of these services during the night (12 am to 6
am). The Internet has played a major role here, thanks to the ease of access,
communication, and reduction of efforts it provides.
While as a customer, most of us have availed
of midnight services & we have our share of experience. So, QDegrees
surveyed intending to dig deeper and get more insights into customers’
experiences and expectations while they avail of the midnight services.
In a survey, we attempted to analyze the
following:
●
Customers’ reasons for availing of these
services
●
Major channels used for getting midnight
services and expectations in terms of CX.
●
Businesses that lead this segment in their
respective sectors
●
New approaches used by businesses, if any.
Study Synopsis-
Midnight Economy is flourishing –
Basis the responses, a whopping 54% of customers use midnight services. To add to that, while 50% of people only use midnight services when actually in an emergency/need, 17% say they avail of these services weekly and a significant 16% of people do it daily. Travel (used by 29% of people) and food (29%) industry came out to be the most prominently availed for midnight services.
Midnight services have become a necessity, and why?
With respect to the food industry, it came
out that 85% of people use online food delivery late at night and 10% dine out
late at night. Eating out is an amazing experience, but nothing like midnight
snacking on the couch while binge-watching.
Some interesting points that came out from
the study are:
● Customers want after-hours food delivery if they're
looking for something quick and easy to eat that won't require much preparation
● Additionally, this service is convenient for people who
work late or are busy during the daytime. This service accommodates special
dietary needs like gluten-free or vegan cuisine
● With so many convenient choices available today, after-hours
food delivery seems the perfect way to satisfy hunger while staying healthy and
fit.
In the travel industry, cab services have
become valuable for customers who need transportation after hours, given that
83% of people trust them for the
same. This is especially true if the customer needs to get to their workplace
or another destination, outside of normal business hours.
Some common reasons why people require after-hours cabs include: when they are out with friends and don't want to drink and drive, when they are going to have an important meeting later in the evening, or when there is an unexpected event that has them stranded.
Channel preference and service level -
Talking about the channels, digital platforms rule the night economy. Furthermore, it won’t be wrong to say that it is the convenience brought by the affordability and availability that has led to an increased usage of services during late hours of the night. Web and app together hold 92% and 75% market share of food orders and cab bookings respectively. Not only are customers increasingly availing of midnight services, but they are also happy with the quality of service they receive. Quick response, convenience, on-time reception of service, and availability at odd hours are some of the prime reasons behind the same.
Customer sentiments/ experience -
Going deeper into the insights, 93% of the
people who availed of midnight food ordering agreed that the service fulfilled
their requirements. Surprisingly, 85% even felt that the quality of service was
better than the same during the daytime. Brands are keeping the smallest of
details in mind while providing an immaculate digital experience. For instance, on the
15th of August, most brands give a tricolor touch to their icons. Such small
gestures make the users feel connected to the brand.
Similarly, in the travel sector, 93% of users found the service satisfying and 89% said that they felt it to be better than the daytime.
Who is leading the midnight service customer experience?
The results were pretty clear and insinuate a
monopolistic hold of one or two brands. In the food industry, almost 52% of
users prefer Zomato over any other application or site. According to a study,
they get the highest night orders due to the combination of great service and
competitive rates.
In the travel sector, Ola and Uber closely
share the market with around 45% of people opting for Ola and around 34%
choosing Uber. Ola has a slight upper hand owing to lower rates and further
availability of bikes and autos at affordable prices.
New approach/strategy coming in -
When it comes to midnight services, customer
experience is high. Most of the users who availed of these found them highly
satisfactory. However, things do not end here. The consistent need to excel and
provide an exceptional experience to the consumers to retain them is obvious.
Various companies are coming up with an
all-in-one platform to provide a better, convenient, and comfortable customer
experience. Food delivery apps are also facilitating grocery shopping, and cab
services also offer food delivery and whatnot. This has multiple benefits for
the businesses:
●
Increases the size of the target audience.
●
It increases the time customers spend on
their site/application.
●
Enables brands to provide more competitive
pricing, thereby attracting more consumers.
The availability of the internet has led to the growth of online service providers. This has given businesses a new platform to reach out to their target audience, which in turn has helped them grow faster than traditional businesses. In addition, these companies are better equipped to cater to customer needs since they have access to 24/7 support.
Now to sum, it up -
Our study has shown that there is an increase
in customers availing of midnight services. This trend may be attributed to the
fact that people are looking for convenience and flexibility when it comes to
their schedules. Now, with so many options available 24/7, it can be difficult
for consumers to make a decision about which service is right for them. The
brand that provides exceptional services and overall experience wins the
customer.
While some companies operate exclusively during nighttime hours, others offer daytime as well as nighttime services. Whether a customer is looking for an evening pick-me-up or a convenient way to order takeout from his favorite restaurant, there's sure to be a Midnight Service out there that fits their needs.
