As a result of the COVID-19, consumer behavior has changed drastically. Taking a leisurely stroll through swarming markets and shopping until your heart’s content is a thing of the past. Shopping online has turned out to be the end-all and be-all for the majority of our purchasing requirements and the trend is not likely to go away. As travel and tourism industries have been hit hard, eCommerce has experienced tremendous growth. Last-mile delivery worldwide is on pace to hit $66 billion after 5 years, growing at 9% annually.
With the overwhelming number of orders, the Best Logistics Company in Dubai should understand and get to fit what’s happening. In all solemnity, it looks like it’s never been a solid requirement for the Best Logistics Company in Dubai to rely on technology as their eventual savior.
In the present time, the Best Logistics Company in Dubai offering last-mile delivery require state of the art logistics software to assist them to make their operations more efficient, as well as automate, systemize operations.
Let’s start with the basics- What is Last-Mile Delivery?
‘Last mile delivery’ implies the transit of an order from a warehouse or distribution center directly to its ultimate location with no stops along the way.
Best Logistics Company in Dubai should be aware of the current market trends, to make certain that the last mile delivery experience is a delightful one for every contributor- beginning from the dispatcher to the customers.
In spite of fluctuations in demand, in the beginning, the global outbreak has merely speeded up the growth of online shopping and selling. The majority of the spending can be allocated to the fact that numerous customers became involved in retail therapy, to ease the anxiety caused by the virus outbreak in 2019, particularly in the times of the stay at home restrictions at the beginning.
And along with that, unnecessary shops were shut for long, making purchasing at brick and mortar stores unfeasible. And it’s obvious what turned eCommerce quite appealing. Even if the number of eCommerce sales has dropped since plenty of stores has resumed their operations, it’s obvious that the pandemic has created a new normal with regard to the purchasing habits of customers as well as last-mile delivery expectations.
Challenges of Last-Mile Delivery
In order fulfilment, last-mile delivery happens to be one of the most crucial parts, due to plenty of reasons. Last-mile delivery is high-priced in the first place. Due to fuel, automobile, overhead expenses and related delivery fulfilment and technological costs, last-mile delivery costs truly adds up.
Moreover, this is before we take into account the competition from the Amazons of the world, which offer same-day delivery or delivery the subsequent day without any charges. Owing to these, final mile delivery comprises fifty-three per cent of the overall charging of shipping as well as forty-one percent of the overall supply chain charges.
After you get past the financial hurdles of last-mile delivery, considerations of logistical hurdles remain. Sadly, there is a range of variables that have an effect on the last mile distribution, some of which are out of the control of retailers, case in point- the ultimate destination in regard to the warehouse, the flow of vehicles during movement of goods, and the like. Again and again, it needs collaboration of time-definite delivery windows for download. The rest of the hurdles, like inventory deficit, inconsistency in order tracking can be accredited to the process impotence as well as a complete dearth of clarity.
In the light of all these, here are the best last-mile delivery trends to stick around in 2022!
Last-mile Technology Adoption Will be on the Rise
A delivery management software that manages all aspects of last-mile delivery, takes away all your worries. Beginning with the management of order requests to management of feedback, which reshapes your daily performance to working smoothly and efficiently. An increasing number of Best Logistics Company in Dubai is turning to last-mile delivery technology.
Touch Me not Deliveries
The pandemic has made it necessary to limit human interaction to a minimum if it’s not virtual. Digital payment gateways and E-pod are the solutions for this restriction.
You win the race if you’re fast and steady. The age-old saying is a bit different when it comes to last-mile delivery. Time flashes by. We need what we need now and not behind time.
With quicker delivery becoming increasingly competitive in the marketplace, companies must make certain that customers receive their orders promptly without any wiggle room.
Fulfilment timetables are evolving. Every customer requires quicker fulfilment, as well as companies should transport more products at a quicker pace. Shipments that before took an hour to process are now processed in 3-minute intervals, if not less.
Last-mile delivery is, therefore, at the end poised to be a part of the drive toward quicker fulfilment. Among Generation X, some are ready to spend a premium of up to 30% for same-day delivery, with plenty of customers ready to spend more for guaranteed delivery.
In conjunction with the quick hike in parcel delivery, this will prevail to be on the rise 10% on an annual basis.
More and More Utilization of Hybrid Model in Case of Delivery Associate Management
Do you have enough delivery associates on hand to meet your needs or will you need to contract out orders too?
Using a hybrid approach of relying on an in-house team of delivery professionals and working with freelancers or 3PL companies could be a better option to handle the increasing volume of orders better.
Choosing Between State of the Art Optimization and Planning
When it comes to the last-mile delivery, choosing the optimal route is crucial!
Optimizing routes is crucial and companies should make certain that their delivery specialists must plan the perfect possible route taking into account the blockade and traffic situations and the like.
Customers Are a Priority and It is Always a Trend to Provide Them With a Great Experience!
Companies should turn last-mile delivery tracking into an experience in itself if they want to delight their customers. Numerous state of the art logistics solutions render instant features, there are solutions that take the tracking experience to another level with options to brand the tracking screen, include product promotions and the like. Besides being able to see where their orders are, customers can converse with the delivery associate, update their available time and receive a great customer experience.
An Increasing Number of Dark Stores and Dark Kitchens
More warehouses nearby high order volume areas guarantee prompt delivery and satisfied customers. A company must consider an outsourced fleet to serve places with the least serviceability.
Order volumes online will only be on the rise, so the mere means to get along is to adapt.
About DDU Express
Established in Dubai, DDU Shipping and Logistics LLC is the Best International Courier service provider in the UAE. With operations starting in 1990, we are rendering the most efficient and effective services to our clients to meet their transportation goals. We offer a complete gamut of services such as logistics, freight forwarding, Shipping from China to UAE, Custom Clearance and beyond.