In 2022, US e-commerce sales touched $1.09 trillion. For the first time ever it crossed the $1 trillion mark. This is huge!
As customers have gotten comfortable with online shopping, more and more businesses are opening up online stores. However, to manage the demand, to control costs, and provide a positive customer experience, businesses need to have the right technology in place.
In this blog, we’ll go through the various challenges faced by companies providing deliveries and the delivery tech stack that can be used to overcome them.
Challenges of last-mile delivery
Last-mile delivery, which is the final step of the delivery process in which goods are delivered to the end customer, is often considered the most challenging and complex part of the delivery process.
Customer expectations are rising as they expect faster delivery options. They expect to receive their deliveries at a time that is suitable for them. Customers also demand tracking visibility of their orders. Companies that fail to meet customer expectations risk losing customers to competitors.
Last-mile delivery is the most expensive part of the delivery process as it involves driver costs, fuel costs, delivery vehicle costs, software costs, and the cost of delivery equipment. These costs can be challenging to manage, especially for small businesses and startups.
Companies need to track the drivers to ensure that they are on the planned route and the deliveries are progressing as per plan. However, driver tracking can be difficult if you don’t have the right technologies to do so.
Software needed to set up delivery tech stack:
These software will help you streamline the delivery process and eventually save you time and money:
Order Management Software
Order management software (OMS) is an essential tool for delivery companies in 2023. With the increasing volume of orders, it can be difficult to manage the entire process manually. OMS automates the order management process, from receiving and processing orders to shipping and tracking. This software can also integrate with other systems such as inventory management and accounting. Using OMS can help delivery businesses streamline their operations, reduce errors, and improve efficiency.Popular OMS software includes Shopify and WooCommerce.
Delivery Management Software
To manage last-mile deliveries, you need delivery management software. The three most important features that it should include are:
Route Planning and Optimization
It should enable you to plan and optimize the route within seconds. When your delivery drivers follow the most efficient routes, it helps your business save time as well as fuel & maintenance costs. It also helps in managing customer expectations by delivering their orders faster and in the delivery time window requested by them. Hop on a 30-minute demo call to understand how Zeo can be the perfect route optimization software for your business!
Mobile app for drivers
The delivery management software should come along with a mobile app for the drivers. It makes the delivery easier for them by providing the customer details and the optimized route in one place. It also makes capturing the proof of delivery easier as the same can be done digitally via the app, saving them the hassle of doing it with pen and paper.
The fleet managers should be able to track the live location of the drivers. It helps them take prompt action in case of any unforeseen delays on the route. It also helps in keeping the customers in the loop as a tracking link can be shared with them. Zeo enables the drivers to directly send a customized message to the customer along with the tracking link. Sign up for a free trial of Zeo route planner right away!
Once your drivers have the optimized route with them, they will need a navigation app to reach the correct location. However, it can be cumbersome for the drivers to switch between the route optimization app and the navigation app. Zeo now offers in-app navigation (for iOS users) so that your drivers never have to leave the app.GPS apps that your driver can use are Google Maps, Waze, and Garmin Drive App.
The fleet managers need to stay in touch with the drivers to ensure successful deliveries. You can go for communication platform options like Slack, Discord, and WhatsApp. You can use them to create groups or organize discussions as per teams. These are easy to use and you can try them for free before deciding the one that works best for your organization.
Mobile POS Software
In today’s business environment, you need to offer flexible payment options to the customers including payment on delivery. To easily collect payments anywhere your drivers would need a mobile/portable POS system. It will help in ensuring that your payments are not stuck with the customers. You can consider Square or MyMobileMoney as your mobile POS software.
Businesses having delivery operations need to invest in the latest delivery tech stack to stay ahead of the game. Using the right software can help streamline operations, reduce costs, and improve the customer experience. From OMS to delivery management software to navigation apps to communication platforms and to POS software – there are many tools available to help with the end-to-end delivery process. In a highly competitive business environment, you need to take advantage of the right technology as much as possible!