The last mile, from the distribution hub to the final destination, can be a key part of online retailers’ growth engines. Yet two thirds of logistics managers say it’s the least efficient part of the supply chain
nShift, the global leader in parcel delivery management and shipment software, highlights how the right technology in the last mile can help cut costs while improving customer satisfaction and accelerating business growth.
According to recent research, almost two in three logistics managers view the last mile as the least efficient part of the supply chain, partly as a result of missed deliveries and disjointed processes. Separately, Deloitte has found that almost three quarters of customers would increase their spend with retailers who get the delivery experience right.
“Delivery management is crucial to customer satisfaction but can be difficult to execute at scale. Every mistake represents a cost – and, potentially, a lost customer,” says Sean Sherwin-Smith, Product Director Post-Purchase at nShift. “We’re seeing more and more brands opting to invest in suites which help them run deliveries smarter – while also meeting the high expectations of customer today.”
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nShift highlights four key areas which retailers and webshops should scrutinize to maximize their growth potential through delivery management.
- Outstanding customer experiences – with the delivery options they expect at checkout to receive their parcels on their terms. That could mean choosing between the cost, speed and sustainability of each delivery. Webshops should offer all three options.
- Fast deployment – aided by simple integrations with retailers’ existing tech stacks, and large carrier libraries. Building carrier libraries manually can add significantly to the time and cost of deploying delivery management software. Better to pick a tech provider that has the range of carriers in place to start with
- End-to-end capability – a single suite covering the entire delivery management process means less risk of errors and greater efficiencies overall because each part is designed to work with the others
- Returns that drive retention – four out of five customers won’t shop again with brands whose returns processes fail to meet their expectations. Done right, returns policies can reduce costs while also converting up to 30% of refund requests to exchanges
Sherwin-Smith concluded, “It’s very easy to cut corners and pursue false economies in delivery management. Investing in the right technology can make deliveries key drivers of both customer retention and growth.”
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