Last mile delivery is expanding because the e-commerce industry is growing at an unprecedented rate. It is estimated that by the year 2024 approximately 22% of all retail purchases will be done online. This e-commerce boom is having profound impacts on the role of shipping in the retail industry. Shipping capabilities such as flexibility, accuracy, and consistency are now keys to consumer satisfaction.
Last mile deliveries are especially significant as they have the greatest impact on customer satisfaction. In fact, according to one study, 69% of consumers are much less likely to shop with a retailer if the product purchased is at least two days late. A further 55% of consumers polled will stop shopping from a retailer if a product purchased arrives late two or more times.
In response, online retailers and businesses are investing more resources into optimizing their last mile services. By optimizing their logistics networks and they are improving customer retention, reducing transportation costs, and positioning themselves to be successful in a rapidly changing market.
Improve Real-Time Visibility
To improve customer satisfaction, it is important that companies meet customer expectations. Real-time tracking of a packages has become an industry standard. Consumers want to be able to monitor their package from the instant it left the warehouse until it arrives on their doorstep.
Real-time visibility software provides the customer with more options and helps companies manage their assets. Asset tracking software can help companies reduce transportation costs and free up resources to invest into optimizing last-mile deliveries.
Shorten Time Windows
Customers expect accurate time windows. Research has shown that when companies are unable to meet time windows, customer retention decreases. Many companies approach this concern by overestimating delivery times and offering larger delivery time windows. This is not a long-term solution and can negatively impact customer satisfaction.
Shorter time windows allow the customer to better prepare for delivery, improving overall satisfaction and increasing customer retention. Improved planning software provides many companies with the ability to provide consistent and shorter delivery time windows.
Leverage Modern Technologies
Modern problems require modern solutions. By adopting routing and scheduling technologies, companies can reduce operating costs, improve their bottom line and increase customer satisfaction. By reducing transportation costs, businesses can reinvest into their workforce and fleet to better accommodate their customers and improve productivity.
Accurate routing and mapping technology can offer a detailed perspective of the geography of the marketplace and provide companies with valuable data. By applying intelligent data companies can gain insights into market and logistics trends and help them gain an advantage over competitors.
2 thoughts on “3 Ways to Improve Customer Satisfaction in Last Mile Delivery”
Campbell, that was a fascinating read! While logistic businesses have numerous obstacles in achieving the expectations of e-commerce clients. There are several approaches to improve efficiency, including better use of modern technology, route optimization, and improved visibility.
Thanks for your response! I agree, improving efficiency is a multifaceted challenge. Fortunately, there are a number of dynamic logistics solutions at our fingertips.