The delivery industry is one of the most important in the world, but its lack of efficiency can be upsetting for customers, whether B2B or B2C. eCommerce, for example, has high delivery costs for its slow deliveries and poor customer experience ―the pandemic triggered these aspects, and the situation continues due to worldwide crises and inflation.
Delivery companies need to be on top of the competition by knowing when to approach improvements. The world is rapidly changing, and emerging technologies are innovating the delivery sector and all other industries.
Therefore, if you’re the owner of a delivery business, here are some tips to upgrade your products and services for soaring productivity.
Measuring key metrics for better management
A metrics system for measuring purposes is necessary for any delivery company because it provides economic insight into opportunities for development. These key metrics must be tracked monthly, weekly, and daily to understand better how the business is going. Some of these elements that need more attention include the following:
- The total number of delivers in a certain period is the base metric from where you can start further improvement;
- On-time deliveries should exceed late deliveries for the company to start well. Otherwise, it might risk considerable losses;
- The average time per delivery should be advantageous enough for the business but also doable for the driver;
- The average time at stop should be improved without crossing the line, allowing drivers to take breaks;
- The average cost per delivery includes plenty of elements, from driver’s wages to vehicle maintenance, so finding a way to lower it is best;
- Driver’s performance should be measured with fixed solutions, but needs to be flexible also, according to the real-world condition of the roads and traffic jams;
Some may say that the driver has the biggest responsibility, so they’re usually responsible for every delay and inaccuracy. The truth is that delivery drivers need better work conditions and guidelines on taking breaks. One proper way to help them thrive is to create a map of available parking lots, so they can cut down the time it takes to find a spot. For example, if they’re doing deliveries around the metropolitan area of London, they can look for parking at Heathrow spots that can be booked beforehand to save time.
Investing in better delivery vehicles
The vehicles used for deliveries must be chosen in regard to quality and resistance rather than to minimize costs. That’s because the car’s condition also determines the speed of the delivery and the driver’s safety. In Japan, for example, car check-ups are performed every morning to ensure the vehicle has no issues that could interfere with the delivery. This might be unnecessary compared to Western courier services, but it’s better to be over-controlling in these situations.
Investing in qualitative vehicles will help the driver avoid situations that considerably delay the delivery. Imagine if the car stopped working in Manchester, one of the worst traffic congestions besides London. And it might happen that the driver isn’t lucky enough to book a Manchester airport parking spot for the car until maintenance arrives, and this is how your company loses clients.
Planning efficient routes to save time
Upgrading delivery efficiency is best achieved by planning routes ahead of time. This not only decreases the time spent on the road but also boosts delivery time. Approaching route optimization might take some time to develop since the streets of London can be quite complex, and sometimes the map doesn’t match the reality on the road.
Luckily, you can find applications and software systems that create some of the most efficient routes to lower the average time per delivery and also decrease fuel consumption. However, you need to enter information such as the number and type of deliveries you make so that the system can come up with the best solution.
Improving dispatch management
Dispatch management may be one of the key elements that need the most development because the department is responsible for coming up with solutions in case of traffic congestion or a last-minute order.
Ideally, getting delivery management software for the dispatch is the best decision for optimizing productivity and allowing the dispatch to solve difficulties while helping drivers continue their work quickly. Such a solution should:
- Dispatch delivery routes to the driver’s app on their mobile phone, along with all the details necessary;
- Provide the option to change paths or add stops when a new package has been ordered without interfering with the delivery flow;
- Track the progress of the delivery in real-time and closely watch the course of the operation;
- Communicate easier with customers, the driver, and companies interested in collaborations;
Nurturing customer experience
Finally, delivering efficiency wouldn’t be the same without proper customer experience. This metric is best improved through continuous communication and achieving a middle ground in case of troubles on the way.
Some essential elements of customer experience include convenient time windows for deliveries and meetings, real-time notifications and updates about the delivery, and also the proof of the package coming within the specified timeframe.
Prioritizing customer experience is vital for the business to thrive. Otherwise, the risk of negative experiences, compromising situations, and difficult purchasing processes may hinder the company’s productivity. Therefore, it’s best to work on the development of a clear customer experience vision so you can understand who your customers are. This way, you’ll be able to create an emotional connection with clients and capture feedback in real time.
Finally, measuring the ROI from delivering customer experiences can provide insight into what needs to be developed and changed for the company to have a flowy operating service. Business results from return-on-investment metrics always conclude what is happening in the company.
Final considerations
Delivery businesses are one of the most important services in the world because millions of customers and companies depend on them. However, considering that sometimes they’re inefficient, some might need more time to polish the company’s culture to increase productivity and please clients.
