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The Cost of Real-Time Tracking Parcels in 2025: 5 Ways to Save

The Cost of Real-Time Tracking Parcels in 2025 5 Ways to Save
The Cost of Real-Time Tracking Parcels in 2025 5 Ways to Save
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Real-time tracking is important in any online sale and delivery, but it will be even more important in 2025. Businesses need to balance the benefits of live tracking with its costs.

Customers demand more transparency and better communication in a modern world where technology is central to our daily lives.

The Jimmy Brings app was one of the first to offer real-time tracking, “a great example of nailing the customer’s experience,” says Locate2u founder and CEO Steve Orenstein.

“Live GPS tracking offers a clear insight into the delivery journey, and it’s something they implemented long before others did, allowing customers to follow their courier as they make their way to the specified address.”

Here are five questions to ask yourself when considering real-time tracking software to ensure you save on costs while improving parcel tracking efficiency.

1. Is the Real Time Tracking Software Scalable?

Traditional real-time tracking systems can get outdated when you think about drones or robots dropping deliveries off.

The most expensive part of real-time GPS tracking is the infrastructure. The older the equipment, the more frequent upgrades are needed.

To avoid being outdated, choose software that is simple to use and scalable. The best option is a system that works effortlessly with smartphones or simple devices.

Opting for scalable solutions like cloud-based tracking systems can reduce the pain of the upfront initial investment.

If the software you choose is scalable, you can adjust it according to your business needs and demands, reducing extra expenses.

2. Can You Partner with Logistics Tech Providers?

Building your own solution might sound like a brilliant idea to reduce costs, but be aware of the hidden costs and delays. Failing to get it right the first time can cost you far more than you bargained for.

Collaborating with third-party logistics (3PL) companies or an existing solution can save time and money.

Locate2u offers white-label branding, which means experts design the tracking software, but the app bears your company’s logos and signature colors.

Most live tracking software offers free trials before purchasing and investing in software.

This way, you can also try out several 3PLs and choose a company that fits your business needs.

3. Can You Optimize Your Route Planning?

Real-time tracking systems often integrate with route optimization software. This ultimately saves businesses time and money on fuel.

Route optimization is about finding the best route that will result in less time on the road.

Make sure that the real-time tracker software you are using offers smooth integration with route optimization. This is part of your plan to reduce costs (especially regarding the expensive fuel bills.)

When you improve delivery routes, your business also saves on operational costs.

4. Can You Combine Deliveries to Reduce Overhead?

Grouping multiple parcels en route to the same area can significantly minimize transport expenses.

Live tracking ensures that customers can still see where their parcel is while being transparent with them about other deliveries en route.

Uber Eats is an example of bundling food orders from different customers in the same neighborhood. Customers who don’t want to wait to be bundled with other orders pay a premium price to be prioritized.

Real-time GPS tracking also provides insight into delivery patterns. It allows your business to plan shipments and reduce fuel consumption and driver hours.

5. Does Real Time Tracking Software Prioritize Communication?

Improving customer communication is important unless you want to spend hours on the phone with frustrated and confused customers.

Many companies refuse to pay attention to customer communication, which costs them dearly. Manually addressing customer problems can cost you a lot of money and time, which you could spend building and expanding your business.

With parcel tracking software, communication between customers and delivery drivers is easy and frictionless.

When customers know exactly what’s happening with their delivery, they don’t need to enquire and ask repetitive questions.

Cost Management Matters for Live Tracking Parcels

While live tracking offers undeniable advantages, you want to invest in software that can save money and not cost you more.

Companies that adopt smart solutions and optimize their processes will stay ahead in this journey, where online shoppers are demanding more transparency, ethics, and trust.

NOW READ: Top 6 real-time tracking solutions in delivery

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About the author

Mia Lindeque

Mia is a multi-award-winning journalist. She has more than 14 years of experience in mainstream media. She's covered many historic moments that happened in Africa and internationally. She has a strong focus on human interest stories, to bring her readers and viewers closer to the topics at hand.

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