On-Time Delivery Rate (OTD)
The percentage of orders delivered within the committed timeframe.
Definition
On-Time Delivery rate measures what percentage of orders arrive within the delivery window communicated to the customer at checkout. It is the single most important fulfillment metric from a customer experience perspective.
Why It Matters for Shopify Brands
Late deliveries are the #1 driver of negative reviews and 'lost in transit' support tickets. A 1% improvement in OTD rate prevents thousands of negative customer experiences at scale.
Benchmarks
Target OTD rate: 95%+ for standard shipping, 99%+ for expedited. Below 90% indicates systematic fulfillment or carrier issues requiring immediate investigation.
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