Courier Companies In The USA: Leveraging Logistics Automation For Effortless Courier and Parcel Management

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Courier Companies In The USA: Leveraging Logistics Automation For Effortless Courier and Parcel Management

The U.S. courier, express, and parcel industry is growing at an unprecedented rate; it is expected that its market size will reach US$ 152 billion by 2027. The CEP sector growth is backed by evolving e-commerce, manufacturing, and pharmaceutical industries, omnichannel retailing, and increasing demands for faster deliveries.

Apart from this, the implementation of the United States – Mexico – Canada trade agreement (USMCA) is also fueling the growth of the CEP industry and hence, courier companies in the USA. Before we delve deeper into how courier companies in the USA are making the most of logistics automation for delivery management, let’s take a look at CEP key segmentation and top courier companies in the USA.

Courier Company In The USA: Key Players

Courier companies in the USA operate on three models B2B (Business to Business), B2C (Business to Consumer), and C2C (Customer to Customer). By industries, the courier, express, and parcel sector is segmented into banking, financial services, insurance, wholesale and retail trade, including e-commerce, healthcare, and industrial manufacturing.

Top 5 Courier Companies In The USA

FedEx

FedEx is a reputed courier company in the USA with operations in more than 220 countries across the globe. The company has six subsidiaries (FedEx Ground, FedEx Office, FedEx Logistics, FedEx Freight, FedEx Express, and FedEx Dataworks) to take care of different aspects of logistics and offer time-sensitive and affordable delivery services.

UPS (United Parcel Service)

UPS is a well-known courier company in the USA, delivering around 24 million packages daily in more than 220 countries worldwide. The company offers different types of courier services named UPS Ground, UPS 3-days Select, UPS Next-day Air, and UPS Express Critical. Along with courier services, UPS also offers freight forwarding and distribution services.

DHL Express

DHL, a trusted courier company in the USA, is known for providing time-sensitive and same-day delivery services along with freight forwarding, inventory management, warehouse management, and other services. It also offers customized-business logistics services to cater to specific business requirements.

OnTrac Inc.

Ontrack is a well-recognized courier company in the USA that offers overnight delivery services at highly competitive rates. The company operates throughout Nevada, Washington, California, Colorado, Utah, Oregon, and Arizona.

Purolator

This reputed courier company in the USA is known for on-time deliveries. Headquartered in Mississauga, Canada, Purolator specializes in shipping, freight forwarding, and courier services and has a wide network.

Challenges Faced By Courier Companies In The USA

Courier companies in the USA are facing many logistics challenges, including:

  • High logistics and transportation costs
  • Shortage of labor 
  • Manual intervention
  • Inability to meet delivery expectations
  • Complex government regulations

How logistics automation simplifies courier and parcel management?

Automates All Logistics Operations

An intelligent courier management software automates significant operations involved in the first, middle, and last mile logistics. These operations include order pickup, mid-mile trip creation, vehicle selection, task allocation, and hub pickups. Automating them not only saves time and costs but also minimizes dependency on human resources. Moreover, it also eliminates the chances of errors in the processes and ensures better utilization of resources.

Automates Route Planning and Optimization

Advanced courier management solutions leverage technologies like artificial intelligence and machine learning to plan optimal delivery routes. For delivery route planning, the software considers multiple constraints, including the number of stops, service times, real-time traffic and weather conditions, and historical data of routes. It also offers dynamic route planning to adjust any last-minute changes and create a new delivery route while updating all stakeholders with the new delivery ETA.

Facilitates Seamless Collaboration With Stakeholders

A smart courier management solution ensures seamless collaboration with stakeholders and allows them to have complete visibility of their shipments. The software automatically triggers delivery alerts through WhatsApp, Email, and SMS to ensure transparency and improve communication. 

Advanced Geocoding and Real-time Tracking

Advanced geocoding feature converts text-based or handwritten addresses into latitude and longitude coordinates to avoid misroutes, easily locate delivery addresses, and increase first-attempt delivery rate. Apart from geocoding, the courier management platform is also powered by geo-tracking capabilities to avoid unplanned stoppages and diversions that cause delivery delays.  

Smart Dashboards

Smart dashboards integrated within the courier management solutions enable courier companies in the USA to connect and collaborate with multiple LSPs to extend their reach and scale business operations. Dedicated dashboards also empower them to keep a tab on various metrics like the tasks assigned to each trip, total number of trips created, total distance travelled, and more.

Data Analytics

Data analytics enables CEP providers to make data-driven decisions and improve business profitability and enhance customer experience. These insights contribute to improving courier management processes.

Multi-Carrier Management

The courier management platform also makes it easier to connect to multiple carriers and 3PLs, managing pickup requests, and monitoring KPIs, etc. All the stakeholders can have complete control and visibility of the parcels, right from the pickup to the final delivery.

NDR Management

The smart non-delivery reasons (NDR) management feature of the courier management system consolidates more than sixty NDRs to make it easy to know the NDRs that are most registered in a particular geography or cited at a specific hub or origin.

Arresting Fake Delivery Attempts

The smart courier management solution arrests fake delivery attempts by automatically triggering a verification message or call to the end-customer as soon as a driver marks a parcel “undelivered”. Customers can submit their feedback and courier managers can take immediate actions. The solution standardizes non-delivery reasons and automating feedback collection from customers help reduce RTO or return to origin. 

Must-have Features Of A Smart Courier Management Solution

Before you invest in a courier management solution for your courier company in the USA, check out these must-have features:

  • Automated first-mile operations, including pickup requests, origin hub allocation, driver allocation, consignment scanning, and more.
  • Hassle-free custom clearance through e-documents and declarations.
  • Effortless bagging management, including sorting, airway bills, and more. 
  • Real-time tracking of hub-to-hub movements.
  • Intelligent route planning and optimization for speedy and cost-efficient deliveries. 
  • Electronic proof of delivery collection and COD management. 
  • Real-time communication through SMS/WhatsApp/Email.
  • NDR (non-delivery reasons) management

Shipsy: Intelligent Courier Management Platform For Courier Companies In The USA

Shipsy offers an AI-backed courier management platform that can be customized as per the specific needs of any business. The smart and integrated courier management software ensures intelligent delivery management to facilitate same-day or one-hour deliveries. Leveraging advanced data analytics, routing playground, and business intelligence, our courier management solution empowers courier companies in the USA to enhance on-time delivery volumes, improve business profitability, and boost customer experience.

Shipsy’s CEP delivery orchestration platform expedites deliveries by automating first, middle, and last mile delivery operations. Moreover, it offers granular level visibility into all the operations to identify pain points and make data-based decisions. Using Shipsy’s courier management software, businesses have unlocked benefits like:

  • Reduce customer onboarding time by 45%
  • Minimize Last Mile delivery costs by 23% 
  • Decrease Mid Mile costs by 12%
  • Cut down customer complaints by 28%
  • Rapid digitization and scaling

To know more about our solution, visit our website or reach out to our experts here.

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