The need for same day delivery is changing the logistics landscape, and pushing companies to innovate and optimize their operations to meet customer expectations.
From the stay-at-home mom, the professional lawyer, to a student ordering a special gift online at the last minute. Fast shipping has become like the ultimate luxury, and consumers today demand it.
Selecting speedy shipping options during the checkout process is crucial to ensure timely delivery. Customers must choose eligible delivery options and shipping addresses to benefit from this service.
Let’s explore why express shipping is important, highlight some real-world companies that excel in this area, and look at the strategies and technologies they employ to make it happen.
Why same day delivery important
Picture this: You are shopping for an important function, and you find just the right accessories to go with your outfit.
You notice this online store only offers next day delivery. Frustrated and irritated, you decide to look at another online store.
Browsing another online store, you see a very similar accessory. You purchase this item because they offer rapid day shipping. Having your order delivered on the day you ordered it provides a great customer experience, making this your go-to site.
What’s the bigger picture?
Online stores may lose customers because they don’t have this faster delivery option. Imagine how your revenue could increase by adapting your business’s logistics strategy.
Here is why the faster option is a winner.
Consumer expectations
With the rise in popularity of e-commerce giants like Amazon, consumers have grown accustomed to fast delivery times.
Quick shipping has become a standard expectation, particularly in urban areas. Meeting this demand is essential for businesses to retain customers and build loyalty. It is also important to understand that delivery expectations can change during public holidays, and knowing the order cut-off times is crucial to manage these expectations.
In his book titled Delivery, Australian expert and founder of Zoom2u Technologies (ASX:Z2U) Steve Orenstein says: “Same day delivery is the gold standard for speed.”
Competitive advantage
Offering this popular option can set a business apart from its competitors. It not only attracts more customers but also enhances the overall shopping experience, leading to increased sales and brand loyalty.
However, it’s important to note that shipping to business addresses is ineligible for rapid delivery. If a business is closed after a certain time, deliveries may not be accepted, and specific policies apply to orders placed for such locations.
Increased sales
The convenience of fast shipping can drive impulse purchases. Products like gift baskets benefit greatly from express delivery, especially for last-minute purchases.
When customers know they can receive their items within hours, they are more likely to complete a purchase, boosting sales and revenue.
Real-world examples of express delivery
Several companies have mastered the art of quick delivery, setting benchmarks in the logistics industry.
Companies like Amazon and Walmart offer gift hampers for fast shipping, showcasing their commitment to quality and convenience.
Amazon Prime Now
Amazon is a pioneer in fast delivery. With its Prime Now service, customers in select cities can receive their orders within hours. Items not sold or shipped by Amazon are not eligible for same day delivery, highlighting the importance of the shipping process in quick item availability and order processing.
But what about drones? The company’s drone mission dates back to 2022. It has shown the world that making deliveries in less than 60 minutes is possible, thanks to a drone in the sky.
Amazon achieves this quick service through a network of strategically located fulfillment centers, advanced inventory management, and a vast fleet of delivery drivers.
Walmart
Walmart previously partnered with delivery services like DoorDash for express delivery.
But the retail giant went one step further, it launched express on-demand early morning delivery. Customers can now receive packages on their doorstep as they begin their day.
Walmart’s personalized shopping experience enhances this service by offering a dedicated shopper who curates and selects items based on individual preferences, ensuring a custom service that meets specific needs.
In its State of Adaptive Retail report Walmart highlights: “Shoppers want retailers to be ready for them – ready with hyper-specific recommendations, ready to adapt offerings to match needs, ready to deliver.”
Instacart and The Home Depot
Instacart (Nasdaq: CART), one of North America’s leading grocery technology companies, and The Home Depot (NYSE: HD), the world’s largest home improvement retailer partnered to provide fast delivery in as little as an hour from nearly 2,000 stores.
It is important to have a designated safe place for deliveries to ensure successful receipt, especially if no one is home during the drop-off attempt.
This sets Home Depot apart from other home improvement retailers in the market.
How companies make same day delivery happen
Logistics companies implement several key strategies and technologies to achieve the speed and efficiency required for express delivery.
Advanced technology and strategic warehousing benefit the shipment of gifts, ensuring timely and reliable service for various gifting occasions.
Advanced technology
Companies use sophisticated algorithms and artificial intelligence to optimize routes, manage inventory, and predict demand. These technologies ensure that orders are fulfilled quickly and accurately.
Strategic warehousing
Locating warehouses and fulfillment centers close to major urban areas reduces drop-off times. By positioning inventory near high-demand areas, companies can respond swiftly to orders.
Efficient workforce management
Having a well-coordinated team of delivery drivers and warehouse staff is crucial. Companies invest in training and technology to ensure their workforce can handle the demands of speedy delivery.
Real-time tracking in fast transport
Real-time tracking systems provide customers with updates on their order status and help companies monitor their delivery fleet. This transparency builds trust and allows for proactive problem-solving.
Locate2u has real-time tracking software to help customer’s track their order with ease.
Partnerships and collaboration
Partnering with local delivery services and utilizing gig economy workers can expand a company’s delivery capabilities. These partnerships enable companies to scale their operations and reach more customers.
Key ingredients for successful same day delivery
A successful delivery isn’t just about getting the parcel to the customer; it’s about doing it in a way that meets their expectations. Logistics managers play a crucial role in overseeing the complexities involved in the logistics process, including resource management, shipping, and inventory control.
In his book titled Delivery, Steve Orenstein speaks of five key ingredients in the delivery process.
Speed
In today’s fast-paced world, speed is paramount. Customers expect quick deliveries, and companies that can provide this stand out from the competition.
“The best deliveries are speedy deliveries. Same day delivery (or next day, depending on the time the product is ordered) is what wows customers,” says Orenstein.
Choice
Offering customers choices in delivery options (e.g., standard, expedited) allows them to select what best fits their needs.
“The customer needs the flexibility to choose a time window, and be confident that it will be delivered on the day and in the window they choose,” says Orenstein.
Communication
Keeping customers informed about their delivery status is vital. Real-time tracking and regular updates ensure customers know when to expect their parcels.
“The delivery drivers should be able to communicate with your customers if needed, and vice versa,” says Orenstein.
Problem solving
Issues can arise during delivery, such as wrong addresses or damaged goods. Having a robust problem-solving mechanism ensures these issues are resolved quickly and efficiently.
“If you can make sure that when there’s a problem the customer has the option to give feedback directly to you. You can fix it quickly and they are more likely to feel looked after than frustrated,” he says.
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About the author
Sharl is a qualified journalist. He has over 10 years’ experience in the media industry, including positions as an editor of a magazine and Business Editor of a daily newspaper. Sharl also has experience in logistics specifically operations, where he worked with global food aid organisations distributing food into Africa. Sharl enjoys writing business stories and human interest pieces.