Updated on July 28th, 2022
Technological advances and their adoption in varied industries have changed the way businesses used to work and customers used to shop. Visiting physical stores for shopping day-to-day products is becoming a thing of the past as customers, nowadays, can get groceries, electronics, medicines, food items, clothing, and almost everything delivered at their doorsteps.
But have you ever thought about how companies manage doorstep deliveries on the same or next day? It is because of the logistics and transportation. Be it retail, e-commerce, manufacturing, or any other business, each one of them has a logistics and transportation segment to facilitate the movement of goods from one place to another. Yes, it is because of on-demand logistics that customers are able to get products right when they need them. Let’s read a bit more about this buzzword.
What is on-demand logistics?
On-demand logistics is the modern logistics strategy that enables brands to expand their reach geographically and serve more customers without actually having a physical presence in a particular region. This type of logistics support is highly useful, especially for multichannel retailing where orders come from different sales channels. To facilitate on-demand logistics, all it requires is to have a robust distribution network, reliance on the latest technology, advanced fulfillment solutions, and automation to increase the pace of deliveries.
How on-demand logistics can help you improve customer experience?
Customers, these days, look for those e-commerce platforms or brands that facilitate faster order fulfillment and delivery. However, speeding up the process of delivery can take a toll on the overall delivery budget. A viable solution to this problem is to tie up with on-demand logistics companies that follow an inventory distribution model. Such companies have links with thousands of merchants to whom they provide discounted shipping rates in return for using small space in their fulfillment centers or warehouses. This is how e-commerce companies and other brands can make the most of on-demand logistics. It can change the whole delivery experience and improve customer satisfaction. Here are a few points to validate this statement-
The only thing almost every customer gets impatient about is their order delivery. In other words, once the order is placed, every customer wants it to be delivered as soon as possible. In fact, an online research by Statista also shows that 36% of the online customers abandon their shopping carts if they are not satisfied with the expected delivery date. However, for an e-commerce company, it is not feasible to offer same-day or next-day delivery to every region they serve. Here is when on-demand logistics comes to rescue. By distributing inventory as per the demand, companies can ensure faster shipping as well as delivery.
Handing over your logistics management to on-demand logistics service providers gives you complete visibility on the inbound and outbound logistics operations. You can easily track your orders and ensure that each of them reaches customers’ doorsteps at the given time. Also, you can figure out and fix the delivery problems right when they occur.
Low fulfillment cost and flexible fulfillment options
Order fulfillment cost incorporates the cost of warehousing, storing & managing inventory, processing, packaging, & shipping orders, and more. Partnering with an on-demand logistics company can relieve you from the hassle of investing in the infrastructure and hiring professionals for inventory management. Also, the third-party logistics partner will distribute the inventory to different fulfillment centers so that the products ordered can be shipped and delivered through the nearest location.
Thinking from the customer’s point of view, these days customers want different options when it comes to their order fulfillment. They expect an eCommerce company to offer home delivery, self pick up, and various other options. On-demand logistics helps in achieving this goal, and hence, delivering great customer experience.
Almost every on-demand logistics services provider uses logistics management software, such as the one offered by Shipsy, to automate various logistics operations. Automation not only accelerates the logistics management processes but also delivers accurate outputs, which result in on-time deliveries at minimal cost. The prime purpose of such software is to help you save logistics costs and achieve complete customer satisfaction.