The presence of technological advancements, and (no surprise) COVID-19 has seen the transportation and logistics industry completely change their methods.
Customer expectations purchasing from e-commerce retailers have transformed from being happy waiting a week, to wanting their package delivered the same day.
The beautiful thing is that same day delivery can be achieved, with most businesses looking to innovate their strategies to meet customer standards and enhance profitability.
If you’re wondering “what is same-day delivery?” and how to incorporate it into your operation, we’ve got you covered!
How Does Same-Day Delivery Work?
Same-day delivery is exactly what its title suggests, referring to a purchase made and having it arrive on that same-day. Often, customers must purchase within a certain time frame and distance for the delivery to take place.
It’s a quicker and more costly option that poses many hurdles and just as many benefits not just for the customer, but businesses too.
Why Is There An Increased Demand For Same-Day Delivery?
As technology has advanced, there has been an increased demand for same-day delivery. Waiting a week or even a few days just isn’t in the cards anymore. But this isn’t the entire reason.
The very few businesses who first introduced this groundbreaking type of delivery sparked something new in consumers. The concept that they could order something and have it arrive that same-day created a new standard.
Companies, especially those in eCommerce, have no choice but to meet these expectations by providing same-day delivery, or risk losing out to other competitors.
Smaller companies who offer this type of delivery have the upperhand over larger companies that may not offer it. This allows them to grow their customer base and achieve a higher satisfaction rate.
The Benefits Of Same-Day Delivery
So now we’ve covered what is same-day delivery, let’s move on to why businesses should be looking into it. What better way than to start with the benefits?
Customers don’t want to wait an eternity for their purchase, and should extended delays or missing parcels occur, they might opt for other services.
Offering your customers same-day delivery will only increase their satisfaction, leading to positive reviews published online for future customers to look at.
Building Customer Relationships
The secret to building trust with your customers is by providing them with excellent service. Same-day delivery does just this, as they have the opportunity to receive their purchase on the day they ordered it.
Businesses that offer this type of delivery have more of an opportunity to build better customer relationships that will lead to future purchases.
Fast-shipping Drives Conversion
The majority of businesses are constantly looking for ways to gain more customers and get products off the shelves.
Same-day delivery is a reliable means of transportation that guarantees your customers receive their order on time. With time, customers will be more likely to use your services and in doing so, will increase your revenue.
Also, adding an additional fee for same-day deliveries will enhance your business’ profitability, whilst covering other costs.
Lower Inventory Costs
Same-day delivery can help your business lower its inventory costs as you won’t be requiring an intricate inventory structure. By reducing the number of safety stock of items, you reduce capital expense.
The Challenges Of Same-Day Delivery
Now we’ve answered the question of “how does same-delivery work?”
We can now go into more detail of the challenges businesses encounter.
High costs service
There’s no question that same-day delivery is expensive and if badly planned, could end up losing you money. That’s why enhancing your business’ efficiency when processing and delivering bookings is crucial.
A way you can counteract same-day delivery expenses is by having a “minimum order” to ensure you’re not overspending.
Difficulty in order forecasting
One of the biggest challenges of same-day deliveries is not having better order oversight, meaning it can be difficult to anticipate the customer’s orders. You have to get products out within hours, which can be exceedingly overwhelming for staff.
For smaller businesses, an instant order fulfilment can be tough, especially with a reduced number of team members available.
Only have one day to complete
For customers, same-day delivery is a dream come true. However, it can be a nightmare for businesses.
Because there is only one day to complete these bookings, the stakes are a lot higher than the next day, or express delivery.
If a customer doesn’t receive their item on time, this could possibly damage your business’ reputation and reduce the number of repeat customers.
Mishandling of goods
Because same-day deliveries are exceedingly fast paced, it’s not uncommon for a product to be damaged during the journey.
Replacing damaged items delays the delivery and ends up costing your business more. If a customer becomes dissatisfied as a result of this, they’ll be inclined to post a negative review online for other shoppers to see.
How Can A Business Offer Same-Day Delivery?
It’s not enough to only know what is same-day delivery. You should also be focusing on how your operation can offer same-day delivery to customers.
Use delivery management software
Delivery management software (DMS) is a tool used by business owners or fleet operators to plan, manage, optimise and automate their delivery processes.
Businesses wanting to offer their customers same-day delivery should invest in a reliable DMS to enhance their operational efficiency and meet customer expectations.
Route optimisation is a solution that can help build the most efficient routes in just minutes instead of hours.
By optimising your routes, you can manage the amount of deliveries being received, and depending on the software, add in last minute stops so your business can complete more bookings.
Set your distance limit
Unfortunately, delivery drivers aren’t superheroes and can’t cover every destination. That’s why you should employ a limit (around 60km) to how far your drivers can travel. This means customers won’t be disappointed should their order not arrive on time.
Also, your staff won’t be overwhelmed by the distance needing to be travelled, allowing them to prioritise orders in closer proximity.
Cut off times
It’s highly unrealistic to offer same-day delivery all day as drivers will be up all night fulfilling orders. Applying cut-off times will give your team more structure and inform your customers when is best to order.
An example includes customers only being able to order before 3 or 4pm. That way your customer doesn’t have to ask “how long does same-day delivery take?”
You should also highlight blackout periods and days for dispatch so that your customers are well-informed and know what to expect.
Have well trained team members
Having a dream team where all team members are properly trained will enable them to handle the intricacies of same-day delivery and last mile delivery.
Plus, they need to comprehend the steps that go into your same-day delivery system.
Facilitate Same-Day Delivery Service With Locate2u’s Software
Locate2u is a delivery management software that helps businesses manage their bookings, optimise their routes and access real-time tracking.
This ground-breaking solution will have your routes built in just minutes so your drivers can be on the most efficient journey.
Locate2u streamlines and automates the delivery process so you can give your customers the same-day shipping experience they’ve been waiting for. Fast delivery and other delivery options can be made possible with this software solution.
No more pen and paper. Just technological innovation.
Want to learn more about how Locate2u can help your business? Click here!