Top 5 Last-Mile Delivery Trends To Follow In 2022

Last Mile Delivery

From greater reliance on online purchasing to a predilection for collection locations as a delivery model of choice, the internet has transformed consumer behaviour in ways we could never have imagined. Customers’ feeling of immediacy, on the other hand, remains unchanged.

E-commerce companies are putting a lot of attention on improving last-mile logistics these days. Consumers may now simply choose where they want to order from thanks to the numerous e-commerce possibilities accessible on the market. This emphasises the importance for merchants to set themselves apart from their competition by offering the finest possible delivery experience.

What is the definition of a last-mile delivery?

The transfer of goods from a warehouse to the consumer is referred to as last-mile delivery. All stakeholders, dispatchers, and customers involved in the delivery process should have a positive experience with last-mile delivery. Businesses must be aware of ever-emerging industry trends to ensure that this service is the best it can be.

Here are the top 5 last-mile delivery trends that you should look out for in 2022 :

1. Rapid Last-Mile Fulfilment :

Gone are the days when receiving online purchases in one or two weeks was acceptable. Consumers have stated that they will only shop if fast shipping is offered, with 68 per cent stating that they will only shop if fast shipping is available. Furthermore, even with free shipping, 90% of customers anticipated receiving their packages within a week.

With its same-day shipping, larger merchants like Amazon and Walmart have upped the bar on consumer expectations. As a result, businesses must enhance their order fulfilment processes in order to satisfy increased demand.

2. Urban Warehousing :

E-commerce companies will need to start creating warehouses and hubs closer to cities as customers expect same-day deliveries. It’s become critical to leverage urban warehouse space to gain immediate access to products for quick client deliveries. This not only cuts down on transit time but also makes it easier to find delivery agents and labourers.

With fewer consumers visiting physical stores, more retailers are turning them into micro-fulfilment centres and delivering purchases directly from them. According to a WSJ article, Amazon is in talks with mall owners such as Sears and J.C. Penney about converting their stores into fulfilment hubs.

3. Insourcing Delivery :

Last-mile logistics is perhaps the most expensive part of the supply chain, accounting for 53% of total shipping costs. Some merchants have chosen to handle final mile logistics in-house or collaborate with competitors in the region to share delivery fleets in order to cut expenses.

Given the fact that e-commerce is here to remain, online retailers like Kogan.com and Temple & Webster have begun to contemplate outsourcing fulfilment. Investing in in-house fulfilment is starting to make more sense as retailers attempt to grow up, although retailers have typically outsourced logistics to have greater flexibility when demand varies.

4. Drones and self-driving delivery vehicles :

Several stores are considering using drones, robots, self-driving vehicles, and autonomous delivery bots to experiment with robotic deliveries. Amazon just invested over $500 million in Aurora, an autonomous technology company. Alphabet tested Wing delivery drones to deliver components to ships off the coast in 2019.

For last-mile deliveries, a few organisations are seeking delivery bot solutions, while others are embracing autonomous robot delivery providers. However, before they can be used, new-age delivery methods will need to be approved by local governments and subjected to restrictions.

5. Crowdsourcing Last-mile delivery :

While we may be more familiar with crowdsourced logistics in supermarket or meal deliveries, more retailers are incorporating crowdsourced last-mile delivery into their supply chains to expand their reach and cut costs.

Even the big players are getting in on the act; Amazon, for example, uses crowdsourced logistics through Amazon Flex, a programme that allows the retailer to expand its reach by partnering with car owners. In a sense, crowdsourced delivery not only makes it easier for merchants to fulfil orders, but also gives them better visibility into the entire delivery process.

How does the Logix Platform help you manage your last-mile delivery Operations?

Logix Platform is an advanced Cloud-based logistics software solution that allows you to manage your last-mile delivery process very effectively in a single platform. If you’re handling last-mile delivery then you will get access to a mobile app “Matrix” for assigning the deliveries and getting the delivery updates.

Top 5 Strategies to Improve Your Reverse Logistics Process

Reverse Logistics Process

The process of planning and controlling the flow of goods from the end consumer back to the point of origin – usually the retailer or the original manufacturer – is known as reverse logistics. Today’s shippers must have a well-thought-out, well-implemented method for handling the reverse flow of goods.

Reverse logistics is a difficult issue for many businesses. After all, most supply chains are designed to get products out the door, not back in. Online ordering has been simplified to a one-click operation. E-commerce as a whole has been created with the user in mind, with most firms relying on an order-management system to handle the heavy lifting.

When a company waits too long to issue a refund after a return, it can undermine its relationships with both the customer and the supplier. The way it handles returns can make or ruin a company’s reputation. Returns have a detrimental impact on a company’s reputation, but when handled properly, they can strengthen the company’s image and encourage consumer loyalty. The way a business treats customers during the return process might be a competitive difference. If you perform well in this area, you’ll see a difference in your bottom line.

Here are five techniques for implementing a successful reverse logistics strategy:

1. Understand why returns occur in the first place :

Given the high cost of returns, retailers must make a concerted effort to identify the fundamental problem. That way, they’ll be able to tell if the present return policy is contributing to a high volume of costly returns.

Understanding the customer journey is an excellent method to figure out what’s causing the returns. Put yourself in your customer’s shoes to see what motivates them to return things regularly. In addition, you can spot patterns that could lead to policy changes or product information is clarified.

2. Put in place transparent monitoring mechanisms :

Many companies keep a close eye on their items throughout the sales process. However, they are not always aware of how the product is handled on its route back to them or a manufacturer when it is returned.

Companies can identify areas for improvement and influence overall product quality by gaining visibility into the reverse supply chain. This kind of tracking contributes to omnichannel inventory management. Tracking all aspects of reverse logistics can help determine whether a product requires sophisticated repairs or more parts, for example. Close monitoring can enable a store to decide whether to invest in a less expensive replacement part, stop stocking the product, put it on a drop-shipping list, or scrap it entirely.

3. Make a clear statement about your return policy :

It’s time to focus on making returns simple for your consumers after you’ve implemented these reverse logistics tactics in your warehouse. This begins with explicitly declaring your return policy so that potential purchasers are aware of what to expect. Many shoppers will research a company’s return policies before purchasing an item in retail, particularly online retail. You want to reassure customers that their returns will be processed promptly and paid to their accounts. Customers will understand the returns procedure better if you show them how it works using a step-by-step demonstration or guide. This will reduce delays and increase the chances of returned items arriving in good condition.

4. Return labels should be included with your shipments :

Another step you can do to make returns easier for your customers is to include return labels with each shipment. If you have the resources, make your labels “scan-based labels,” also known as “pay on use labels,” to impress customers. Return shipment can be costly, but the goodwill you earn by enhancing the customer experience will almost certainly pay for itself. If you’re concerned about the additional expenditures, try out paid return labels as a pilot programme for a set amount of time, then conduct a cost-benefit analysis to see if they’re right for your business.

5. Invest in long-lasting packaging and make sure shipments are simple to open :

If you want customers to send returns back in the original boxes or envelopes, be sure the materials can withstand a two-way journey. Cheap packaging materials, or containers that are difficult to open, are more likely to be broken, which means your goods are more likely to be harmed during the return trip. After all, few things irritate a consumer more than having to purchase their packaging to return an item they no longer want.

Are you looking for a return management system to manage your eCommerce returns?

With Logix Ecom, an advanced eCommerce fulfilment system helps you to manage your eCommerce returns with guided workflows for receiving, inspecting, and grading product returns.