10 Key Considerations For Selecting Last Mile Logistics Software In Saudi Arabia

Driven by the growth of the e-commerce industry, intensifying trade activities, its strategic location, and an increase in the number of urban warehouses, the last mile delivery market in Saudi Arabia is estimated to be valued at $520.9 million by 2030. However, challenges such as high logistics costs, lack of control of retailers, e-commerce companies, and manufacturers on logistics services, and poor technical infrastructure are pushing courier providers to implement tech-powered solutions such as last mile logistics software in Saudi Arabia.

Advanced last mile logistics software in KSA automates last mile operations, offers real-time visibility, and contributes to reducing the last mile delivery costs, which is more than 50% of the entire shipping costs. With multiple companies offering last mile delivery management solutions, it becomes challenging for the courier providers to decide which last mile software in Saudi Arabia is the best. 

However, keeping a few points in mind can help logistics providers and other businesses to get the right last mile solution. Before we move on to those points, let’s look at the last mile challenges logistics companies face in Saudi Arabia.

Last Mile Logistics Challenges in Saudi Arabia

Imprecise Postal Address System

Saudi Arabia doesn’t have postal codes and its imprecise address system makes it difficult for the delivery drivers to locate delivery addresses. Not only does it cause delivery delays and an increasing number of returns but also impact customer experience. Intelligent last mile solutions can fix this problem with two features: advanced geocoding that converts text-based addresses into exact longitude and latitude and territory optimization that breaks a geographical area into pin codes, area names, and polygon sets to make delivery addresses easily locatable. Smaller and specific areas are helpful in making the courier partner conversant with a region to execute deliveries on time.

Poor Cash Management

Despite growth in the e-commerce segment and the introduction of various online payment modes, customers still prefer to choose the “cash on delivery” option. However, it is challenging to manage cash orders with traditional delivery management practices. Smart last mile solutions eliminate this problem by offering an option to pay online for COD orders and facilitating seamless cash reconciliation.

Lack of Skilled Personnel

A lack of sufficient expertise and human resources can lead to operational inefficiencies. It can also make it more challenging to manage and monitor delivery operations. Intelligent last mile logistics solutions that automate last mile operations can resolve this problem while saving last mile costs significantly.

10 Points To Keep In Mind While Choosing Last Mile Logistics Software in Saudi Arabia

#1 Customization and Scalability

Make sure the last mile delivery software can be customized to suit your specific business requirements. Besides customization, it is important to look for scalability. As your business expands, your delivery-related requirements may change, and you might need additional features for last mile management.

#2 Seamless Integration

Another thing to keep in mind is to look for last mile software that can be effortlessly integrated into your existing tech infrastructure, such as an ERP/WMS/OMS. This helps to avoid unnecessary disruptions to your business operations and offers a centralized system to manage them all effortlessly.

#3 Resource Optimization

Poor optimization of resources may lead to an increase in the already-high last mile costs. It may also lead to failure in meeting delivery SLAs, especially when there is a shortage of resources. On the other hand, intelligent resource optimization ensures using existing resources completely to minimize the requirement for hiring more vehicles and improve delivery productivity.

#4 End-to-End Automation

Make sure the last mile logistics software in UAE offers end-to-end automation to minimize reliance on human elements, ensure operational efficiency, and shrink operational costs. It should automate time-intensive and critical operations like order dispatching, order allocation, order clubbing, order tracking, route optimization, and returns management.

#5 Route Planning and Optimization

Efficient route planning and optimization is critical to the success of last mile delivery. Therefore, it is an integral part of last mile delivery management software. Automated route optimization generates the most efficient delivery routes considering multiple parameters (delivery time, location, real-time traffic and weather conditions, etc.), which is not possible while performing the process manually.

#6 Delivery Authentication and Validation Checks

Delivery authentication and validation is yet another important consideration when choosing a last mile delivery management solution in Saudi Arabia. To ensure the same, software should include features like electronic proof of delivery, NDR (Non-delivery report) management, confirmation for returns, non-delivery, order cancellation, etc. All these automated checks help keep fraud at bay.

#7 Data Analytics

Last mile logistics is a complex process due to the involvement of multiple stakeholders. Having real-time and reliable data insights can help deal with delivery complexities and improve customer experience and last mile management. A last mile delivery solution having exceptional capabilities of artificial intelligence and machine learning empowers courier providers to get actionable insights to improve business performance. They can also set and track the KPIs of riders, carriers, and partners to ensure accurate performance benchmarking.

#8 Real-Time Tracking

Real-time tracking offers stakeholders complete visibility to track the movement of parcels and a sense of control over the deliveries. It also helps avoid potential delivery delays and other delivery-related problems that impact customer experience. Hence, make sure that it is part of the last mile delivery software you choose for your business. It would be beneficial if the software also sends real-time delivery alerts on the completion of each milestone. It will make all stakeholders feel connected throughout a product’s journey.

#9 Automated Returns Management

Poor returns management can bleed a business dry; it also impacts the customer experience. Therefore, look for a solution that offers automated returns management to accommodate return pickups with already planned orders. Automation expedites the returns process, which ultimately boosts customer experience.

#10 Carbon Emission Tracker

To control carbon emissions, the first thing any business needs is to identify the sources causing these emissions. Make sure the last mile logistics software you choose for your business offers means to figure out the same by providing actionable insights on trips. Moreover, it should also be able to decrease miles traveled and minimize empty miles.

Shipsy: Intelligent Last Mile Logistics Software in Saudi Arabia

Shipsy offers customizable and scalable SaaS-based last mile logistics software in Saudi Arabia. The software streamlines end-to-end delivery operations to empower logistics providers to improve business profitability, brand reputation, and customer experience. The last mile delivery management solution has all top-notch features, including:

• Automated dispatch management to automate the order dispatch process and expedite the delivery process
• Auto order allocation to automatically assign an order to the right vehicle and driver.
• Auto order clubbing to club new orders and return pick-up requests with already-planned orders.
• Digitized route planning and optimization to optimize delivery routes based on delivery location & time windows, real-time traffic & weather conditions, multiple stops, and other constraints.
• Real-time tracking to allow stakeholders to check the exact status of consignments.
• Data and insights to help in making data-driven decisions and measuring KPIs of carriers, drivers, and more. 
• Vehicle capacity utilization to utilize each vehicle’s capacity completely.
• NDR management to manage and take action on failed deliveries. 
• Automated rider management to seamlessly manage rider payouts, their performance, incentives, and more.
• COD reconciliation to facilitate effortless management of cash collected from COD orders.
• ePod to collect electronic proof of delivery and deal with dubious customers. 

To know more about Shipsy’s last mile logistics solution in Saudi Arabia, request a custom demo now.