There has been significant growth in parcel deliveries in recent years. When comparing the parcel volume in Austria from 2021 with the figures from 2019, you can see an increase of around 42 %.
On the one hand, this was a consequence of Corona measures and the associated closure of offline retail operations. On the other hand, Austrians have become accustomed to placing their orders at the click of a button from home. While consumers stated that the low price was the main reason for online shopping in recent years, the convenience of online shopping is now paramount. Convenience and service are becoming increasingly important.
Warehouse and distribution logistics in eCommerce
Warehouse and last mile logistics are a challenge for online retailers in these dynamic times. Nothing is more frustrating that when you can sell products, but you are unable to deliver them. This results in dissatisfied customers and missed profits, which can also affect the reputation of the eCommerce provider in the long-term.
Start-ups and SME decision-makers often lack the time to deal intensively with transportation and logistics issues. In addition to lower costs and faster response times, the outsourcing of logistics and fulfilment services also has the advantage that peaks in demand can be absorbed more easily and the entire personnel and warehouse planning is outsourced. The error rate in goods receipt and dispatch can be reduced and service quality can be increased, which minimises the rate of returns.
The selection of a suitable partner for controlling, organising and physically processing the warehouse and distribution logistics is a decisive success factor. The strategic position of the logistics centre is an important aspect that should be considered in this respect.
A flexible, fast and uncomplicated implementation process is also important, i.e. the integration of the online retailer’s online shop with the logistics provider’s system. Depending on the service provider, it can take just a few days or even months between the initial consultation and going live. Modern logistics providers and fulfilment centres offer integration with e-Commerce systems, which allows real-time data exchange for maximum transparency.
Digitalisation simplifies parcel delivery
The last mile delivery, i.e. the final delivery to the end customers, especially has a major influence on customer satisfaction and thus it directly affects the online reviews of the eCommerce retailer.
A distinction is made between standard delivery and express/courier delivery in distribution. In order to achieve an optimal price-performance ratio for every delivery and region, it is important to work across networks and providers. Not all parcel delivery service providers perform the same in all regions.
Parcel delivery management systems enable automated parcel delivery and label printing. You always have your parcels in view thanks to tracking in real time – from collection to delivery. This transparency is also an important aspect for end customers.
Last but not least, packaging also plays a significant role. With the correct packaging, you can save on parcel delivery costs and avoid damage. This minimises complaints and increases customer satisfaction. The correct packaging always depends on the product type and the external packaging, internal packaging, padding, robust sealing material and labelling must be taken into account.
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