7 Common Challenges Faced by Courier Service Providers

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Created on March 25, 2021

Courier service providers are providing e-commerce companies with new avenues to expand their reach and cater their products to more customers. It is actually a lucrative business to look after the logistics of an e-commerce firm. However, it requires an advanced management system to serve courier services to multiple companies. In other words, there are many challenges involved in this process. This article highlights those problems and provides a way to overcome them all.

7 courier management challenges faced by courier companies

Here are seven among many hurdles courier companies face with courier management-

Inability to manage multiple customers

e-commerce companies are the customers for a courier service provider. Since a courier company associates with multiple e-commerce businesses, it is imperative to have a management system efficient enough to handle their orders, keep a record of the COD remittances, and other processes.

Delayed deliveries

Delivering consignments on the given time might cause a courier company to lose its clientele. It can also increase the overall shipping cost. Above all, it could lead to customer dissatisfaction; hence, a high rate of RTO (return to origin).

Poor visibility on the courier delivery operations

Transparency and visibility on the courier delivery operations keep things intact. It can ensure that goods are being delivered without any delay. However, a company with no visibility on the courier operations might have to face difficulty in delivering orders on time. It could also become a hurdle in tracking deliveries.

Dependency on human resources

Minimizing the reliance on human resources is one of the biggest challenges in front of courier companies. Hiring big teams for courier management means high operational cost.

Keeping customers updated

Keeping both the e-commerce company and the end-customer updated with the status of the courier is necessary to maintain transparency. It also reduces the number of calls to the customer support centre.

Delivering goods without any damage

Delivering goods safely to the customers’ place is also one of the biggest challenges in front of courier companies. Any damage to the product might not only impact the reputation of the courier service provider, but they might also have to pay for it.

High delivery cost

Managing courier operations, like order segregation, order allocation, selecting the right delivery vehicle, assigning drivers, planning delivery routes, and more manually might require a big team of professionals. Moreover, it also requires a considerable amount of time and efforts to perform different operations. Controlling this cost is a big problem for courier service providers.

How to overcome courier delivery management challenges?

The simple answer to this question is by using courier management software. Such software can automate the process; thereby, help the courier companies to overcome various challenges. Besides, it can also please the e-commerce companies as well as end-customers with safe and fast deliveries while shrinking the overall delivery cost.

Courier management software or courier software, provided by Shipsy, can build a seamless communication system by providing features like real-time tracking. The software includes a smart order management system to automatically sort and allocate couriers for the delivery.

Shipsy’s courier software comes up with an automated route planning and optimization feature to generate the most efficient routes for the delivery. To get the SaaS-based courier software from this trusted company, all you have to do is to reach out to one of their experts with your particular requirements. 

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