Supply Chains are suffering increasing pressure with the rise of e-commerce in the modern age. As a result, shipping and handling costs have risen, with more products getting delivered to our door for purchase. In addition, consumers demand faster delivery times, making it more expensive for retailers to ship products to their customers.
Last year, the average delivery time for online shoppers increased to 3 days. Consumers demand fast shipping, and retailers need help to meet that demand. As a result of COVID-19, individuals still need help with delayed delivery times and supply issues. However, supplies get stocked & overloaded in facilities, and we are yet to recover from the effects of demand scarcity. Wait times will continue to increase as a result.
Sluggish demand period – Right time to strengthen the core
Enterprises may overcome various obstacles by depending on data-driven technologies that help them manage their operations effectively. But ultimately, the small and mid-size players are the ones to get affected at large, requiring forecasting supply and demand to get a clear picture.
Forecasting has always been important in business. However, the rise of trade disruptions and global events has made forecasting even more crucial. In addition, with increased competition in the market, it is becoming more challenging to predict what demand may be like for various products.
Despite having a challenging supply chain to manage, nothing short of substantial growth in agility will be enough to turn the dynamic. In addition, new product makers have been struggling with delivery issues due to a lack of workforce. Although many retailers have begun adding staff and improving their distribution methods, the problem will persist as long as they are present. Although it may appear daunting, using the right software may help your company better fulfill the ever-increasing expectations of your consumers. In addition, it can help you increase OTIF performance while freeing time to focus on other aspects of your organization.
Dynamic point of action to optimize last-mile delivery tracking
Dynamic point of action is a tactic that moves products or services to the forefront of the dispatcher or load planner’s mind and allows them to act on them; businesses can use this technique by displaying notifications based on due dates, sending out automated emails with fulfillment request to enable business agility.
The prompt action based on data-driven software tech ensures that clients receive their consignments as quickly as possible by making pickups in coordination with vehicles and third-party collection points. Stakeholders may even utilize these digital solutions to sort your packages, saving you money and time.
When a package arrives at its final destination, it is said to have come at the point of delivery. At this point, specific protocols are necessary to ensure that the appropriate items get delivered to the correct person at the right time. The driver saves time and effort with the integrated technology delivery interface, and you get individual item tracking and electronic proof of delivery.
Capacity optimization: Increase economic utilization
Shipments are arranged and placed into designated trucks to transport consumers to the fulfillment center. This phase necessitates rigorous logistics to guarantee that the correct boxes get strategically put in the appropriate delivery trucks.
Staff at distribution centers should be able to process several barcodes simultaneously using AI to choose the proper goods and put them into the right vehicle. This method can help the dispatch staff pack their trucks more effectively for delivery. In addition, customer orders must be segmented and consolidated based on deliverability and loaded into trailers/containers with a maximum payload capacity to reduce empty runs. Therefore, it will increase the OTIF performance index and profit margin.
Easy-to-follow visual routines are also an excellent method to teach new or temporary workers and allow them to work at the same pace and efficiency as more experienced drivers.
Post-purchase customer experience
Businesses are dealing with rising return rates, but this is a chance to rethink how returns get handled in your sector. With more individuals purchasing online, ensuring customers will be happy with their purchases has become increasingly challenging.
The approach enhances customer service while making it easier for customers to return items. Consumers seek methods to replace products they no longer want, but the process is frequently complicated. With so many issues facing retailers, now is the moment to turn the post-purchase experience from a necessary expense of doing business to a motivator for customers.
Shopping online is typically less expensive than shopping in a store since costs are lower, and products may be delivered when required. However, because this requires expensive equipment to work appropriately, merchants must factor in these expenses before making a profit. Furthermore, internet businesses need help with customer care. Customers anticipate a consistent experience from buy to return, thanks to the development of e-commerce. Your efforts should result in repeat purchases from loyal, pleased consumers.
Enable Quicker Returns
Returns must be taken more seriously by retailers than in the past. Merchandise is frequently returned. However, it is immediately restocked and processed. Returns left processing at the warehouse owing to a labor shortage are stored on racks in a back room, where they may only generate something for a few days.
Retailers should turn to innovative technology to overcome these issues. When businesses utilize a single platform to handle their returns, they eliminate the need for additional expensive touchpoints. Take advantage of employing a scannable barcode in your return procedure, for example. It can assist you in keeping better track of your things and making more effective transportation and handling decisions.
A speedier refund procedure saves the store money on administrative and shipping costs and gets the money back into customers’ accounts faster. Businesses must first determine why consumers are returning an item before attempting to provide a solution that would satisfy them. Customers are pleased when they are not confronted with difficulties at the end of the day.