Thank you for Subscribing to Retail Business Review Weekly Brief
Retail Business Review | Tuesday, August 09, 2022
Route planning considers fuel efficiency, environmental regulations, traffic conditions, and other factors so that the drivers do not face any problems.
FREMONT, CA: Consumers in metropolitan areas want the option of one-hour delivery from their e-commerce companies. The shoppers adjust both the delivery time and address of the order. There is a great deal of importance attached to speedy and timely delivery. They also emphasize the necessity to offer customers the convenience of changing their order delivery schedule after placing the order, even after the order is placed. It is also important to note that there are many other challenges that online retailers face regarding last-mile operations.
Route inefficiency
Stay ahead of the industry with exclusive feature stories on the top companies, expert insights and the latest news delivered straight to your inbox. Subscribe today.
It is essential to provide customers with the right ETA. Routing and optimization play a crucial role in reducing delivery costs. There are various ways to optimize routes, so choosing the right one for business is essential. Fuel efficiency, environmental regulations, traffic conditions, and various other factors are considered during route planning so that the driver does not face any problems during delivery.
Finding the right location
The profitability of the delivery is also directly affected by it. Deliveries are widespread to fail because of incorrect addresses, especially if they do not have pin codes. Online retailers also face difficulties due to inaccurate or incomplete addresses.
High delivery cost
Customers can avoid additional shipping costs due to increased competition and online shopping platforms. E-commerce companies should opt for such measures that can reduce delivery costs. Delaying deliveries results in penalties, which is another challenge. Inefficient route planning and management can increase fuel costs and the driving time required to complete the last-mile delivery service, which can further add to the total cost of the last-mile delivery service.
Customer unavailability
Customer unavailability is a common cause of failed deliveries. Weather or traffic conditions don't stop a delivery agent from reaching the customer. The customer's unavailability at the delivery location jeopardizes all his efforts. They make more attempts despite not knowing whether the customer is available the next day. Online retailers face the biggest challenge of knowing the availability of their customers during delivery.
Delivery delay
Inability to deliver products on time affects the brand's reputation as well as logistics costs. Food delivery companies promise to deliver the order in a certain time frame, and failing to meet those timelines can cause a huge loss as they cannot charge customers. Customers choose other shopping platforms that guarantee on-time delivery as well.
Transit uncertainty
Unavoidable circumstances or any other reason might delay the order delivery. Customers have not been surprised by this development, as it is not something they ever expected. However, they expect to be informed about delays in that situation through clear and updated communication. Retailers and e-commerce companies face this roadblock.
More in News