Running a local delivery service is vital work and is just as important as larger delivery services. You work closely with local merchants and smaller businesses to deliver goods and help them stay competitive against bigger retailers. During the pandemic, local delivery services were essential to keeping small and medium-sized businesses afloat.
Yet, running a local delivery service is no easy feat. If you are in the delivery and logistics industry, you will have undoubtedly endured your fair share of hectic days. Those days are when it becomes difficult to juggle drivers, guide dispatchers on necessary delivery details, and answer client calls, often all simultaneously. While some people may find the frenziness exciting, it also keeps you away from thinking strategically about your business.
4 Keys To running a better delivery business
By following these four fundamental guidelines, you can run a better organised and more profitable delivery business.
1.Ensure you are equipped with a robust system to streamline delivery options and better manage deliveries.
Everyone in the local pickup and delivery business has their horror stories of being inundated with customer requests and deliveries. You can avoid this by implementing the right systems. Without these systems in place, lines of communication can get crossed, wasting valuable time, and adversely impacting your business.
Implementing delivery management software lets you track deliveries, view driver schedules, and dispatch new jobs to drivers all in one place, eliminating the need for error-ridden spreadsheets, hours and hours of manual labour, and thousands of phone calls. It streamlines and fastens the entire process, giving delivery managers the clarity needed for critical logistic operations.
2. Getting your pricing right
As with any business, you need to ensure your pricing reflects the service you are providing. Knowing your competitor’s pricing and service levels would be beneficial when choosing a pricing strategy to accurately set and maintain profitability goals.
While setting higher prices can be advantageous if you can show customers your unique benefits and advantages, you must come up with the goods. Most customers, though, want attentive drivers and on-time deliveries. Deliver that, and your customers will be happy.
It is also worth noting that different delivery jobs require additional features, and your pricing should reflect that. For instance, you might charge less for eCommerce B2C customers than B2B clients based on the ability to collect tips through the driver mobile application.
3. Ensuring exceptional customer service
It may have once been enough for brands to offer five-day delivery or in-store collection; today’s customers expect fast, convenient, and seamless omnichannel experiences, whether same-day or next-day delivery or a variety of other services.
Beyond ensuring that your drivers keep a clean vehicle and behave professionally, maintaining clear lines of communication open with the customer should be your top priority. This may be as simple as answering the phone quickly, dispatching a driver as soon as possible, or keeping customers updated on the arrival of their delivery. A quick response time is now the primary difference between good and bad service.
4. Value Your Employees
While it may sound obvious, your delivery business needs reliable employees to operate and scale, so your competition does not swoop in and scoop up your best drivers.
Building a top-performing team and employee retention is an essential element of any successful business. It would help if you focused on creating a great work atmosphere and keeping a thumb on the pulse of what is happening within your team.
Today, businesses focus far too much on data than on the people working for them. Spend time with your team and ask them how they are doing once in a while. Appreciation goes a long way.
Why your business needs a delivery management solution
As same-day delivery, free returns, and zero shipping fees increasingly become the norm; local delivery businesses can benefit significantly from delivery management solutions and become more profitable. Below are just some of the benefits companies can receive from delivery management solutions.
- Providing end-to-end visibility into the delivery process in real-time
- Productivity enhancements in the delivery process
- Highly efficient route planning
- Providing impeccable delivery tracking system
- Seamless multi-drop deliveries
- Deliveries and curbside pickups that are efficient and contactless
- Increasing the profitability of delivery per order
- Increasing the number of deliveries that are on time and in full (OTIF)
- A flexible delivery process and improved customer experience
- Scaling up deliveries during the busiest periods of the business cycle
With recent technological advancements, it is easier for local delivery businesses to compete with their larger competitors.
The best delivery management software for your business should have the capability to reduce fuel and time wastage, keep your customers and staff happy, streamline and speed up deliveries, and keep your drivers on top of their game.