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How Geofencing Improves Last Mile Delivery

Geofencing improved last mile delivery
Geofencing improved last mile delivery

Delivery businesses can all agree that last mile delivery is the most difficult part of the delivery process. It’s expensive and full of inefficiencies. But don’t let that deter you. Geofencing is a solution that can help!

This article will give you insight into what geofencing is, as well as the ways in which it can help businesses overcome problems within last mile delivery. 

What is Geofencing?

Geofencing refers to a service that triggers an activity once a device enters a virtual perimeter set around a geographical location using cellular, GPS, RFID tag or Wi-fi data. This virtual perimeter is known as a geofence. 


Depending on the way a geofence is structured, mobile push notifications, alerts or trigger messages allow you to track your fleet and transfer location-based information. 

What is Geofencing used for?

Businesses can use geofencing to track their employees who are entering and leaving specific sites in order to maintain visibility. This can help automate time cards and increase the accuracy of labour costs, allowing your business to save money. 

It also helps keep company vehicles and assets secure as you’ll know exactly when they’ve entered and left a location. This reduces the potential for theft and shows whether drivers are using company vehicles incorrectly, giving fleet managers peace of mind. 

Ways Geofencing improves Last Mile Delivery

geofencing for delivery management

Accurate ETAs

Customers want accurate ETAs. It’s as simple as that, especially when it comes to time-sensitive and perishable products. 

Taking the day off work and waiting around for a service or delivery is highly inconvenient for the customer. Without complete visibility of their order it can be an extremely frustrating and a stressful experience, reducing the likelihood of repeat purchases. 

Having a delivery app means geofencing can be used to send notifications to customers once the driver has begun their journey and when they’ll arrive. 

Having access to location data and setting up a virtual boundary means you’ll know exactly when a driver has reached a location where you’ll immediately be alerted. This level of accuracy is key to establishing customer trust and improving last mile delivery. 

Driver safety

Your drivers are the DRIVING force of your business so their safety is extremely important. One of the best ways to protect your drivers is with geofencing. 

You can receive alerts when a vehicle has left a designated area which could indicate theft, incorrect use or towing. Having immediate knowledge of this allows you to act fast and send help, preventing any serious issues in the future. 

Enhanced Driver Management 

If you manage multiple drivers then you know how difficult and stressful it can be to keep track of everything. 

With real-time insights, you can change up your route planning methods to build the most efficient delivery journey for your drivers. 

Should a delivery delay occur you can easily confirm with the driver and reroute another driver to reduce the possibility of additional delays. 

Geofencing allows you to achieve the following: 

  • Use your resources more proactively 
  • Track driver performance
  • Improve communication between drivers and managers
  • Prevent inessential delivery runs
  • Improve productivity 

Detailed analytics 

Analysing data you’ve collected of each delivery is a great way to find inefficiencies within your business and make improvements where need be. 

Geofencing provides you with the necessary metrics surrounding your deliveries so you can see what’s working and what isn’t. When it comes to last-mile deliveries, seeing how long your drivers spend completing stops can allow you to optimise their routes for better results and cost savings. 

Real-time updates 

Once you’ve set your geofences, you’ll be able to receive real-time email updates or SMS notifications. 

In doing so, fleet managers can automatically be alerted when a company vehicle has been active outside of work hours or has digressed from a set route. 

You can also receive notifications if a driver has left a geofenced area prior to finishing a delivery. They’ll then be alerted to update their status throughout the day if they haven’t already done so. 

locate2u geofencing delivery software

See where your drivers are with Locate2u 

Locate2u is a fleet management software that offers geofencing to customers. 

Fleet managers now have the ability to:

  • Report on how long any tracked device (mobile or GPS Tracker) has been inside your defined geofence/s.
  • Be instantly notified when a vehicle is exiting or entering a zone, including for security purposes.
  • Verify hours spent inside the geofences for billing and expense purposes.

We are always working to innovate our technology to make the last-mile easier and more efficient for users. That way they can give their customers the best delivery experience possible. 

Aside from geofencing, Locate2u can optimise your delivery routes, manage your bookings, provide proof of delivery and real-time tracking! It’s the perfect all-in-one platform for businesses big or small wanting to save time and money. 

To find out more about Locate2u and how it can boost your business’ efficiency click here. 

About the author

Founder and CEO at Zoom2u & Locate2u (ASX:Z2U). Steve has significant software development and entrepreneurial experience. Operating in the delivery space for more than 15-years, he actively contributes to the development of the industry. He has a strong focus on job management and job despatch systems.

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