The growth of e-commerce globally has been a boom time for the parcel delivery sector, which has grown rapidly for several years, seeing many new businesses entering the market. 2016, however, has seen a slowing of global economic growth, and delivery sector revenues have started to decline.
In order to stay competitive, new entrants and established market players alike are looking for ways that technology can help cut costs and grow customer revenue. Many of these businesses face a range of similar problems in this difficult new environment, including:
Customer notification for first time delivery.
All parcel delivery businesses face the challenge that less than 65% of first delivery attempts are successful, resulting in costly follow up deliveries.
Inefficient delivery notifications create uncertainty among clients regarding delivery times, and limit the ability of the recipient to change time or location of the delivery when needed.
Many companies struggle to effectively monitor the progress of their messengers with all of the variables involved - traffic jams, parking, identifying delivery points, waiting time for collections, vehicle breakdowns etc.
There is also the challenge of finding replacement staff when regular drivers are delayed, off sick etc, which can greatly slow down service delivery and affect customer satisfaction
Managing and keeping track of delivery documentation is an issue for many courier companies, who still maintain manual recordkeeping systems in log books or files, resulting in poor coordination of dispatch and collections, and weak audit trails for deliveries.
Here are some of the ways that communications technology can help address these challenges and allow courier businesses to stay competitive
Customer Engagement in Action
Smart Engagement communications technology is used by courier businesses to streamline delivery efficiencies and improve the customer experience with several key features – starting with SMS backed communication, allowing timely parcel delivery alerts to be sent to customers. This SMS alert either ensures the recipient is at home or alternatively via a Rich Message the recipient can select a new time for delivery or pick up.
The system can also be integrated with billing, allowing payment transaction notifications to be automated, and has the potential for further integration with marketing platforms to provide contextually relevant offers that add value to both customer and business.
This easy to implement mechanism has been demonstrated to improve first attempt deliveries by close to 40% with the additional benefit of improved customer satisfaction.
Delivery logistics remains both capital and labor intensive, and in times of market decline technology becomes a defining factor in helping to stay competitive and remain in business!