For e-commerce businesses, adopting last mile delivery software turns the most challenging part of logistics into a key opportunity to differentiate themselves.
It costs half of the entire supply chain budget and can make or break customer trust. That’s why more businesses are investing in getting the final mile right.
With the right mile delivery management software, businesses can streamline last mile delivery operations, stand out, and impress customers.
Last mile operations are set to grow by $60.82 billion by 2028.
This is according to a study by Technavio which has found that online shoppers are driving the need for logistics processes to improve. This includes real-time tracking and on-demand services that need to increase.
What is Last Mile Delivery?
The final stage of the delivery process is the most important part. We call it last-mile delivery or final-mile delivery.
Managing this complex part of the logistics operation requires the right last mile delivery platform that can scale with your business and address all the needs of your customers. It can be live status updates, real-time tracking, or live communication with drivers.
The last mile needs to be transparent for customers to trust the process. Especially when the product is transported from a transportation hub to the customer’s home or office.
It’s a critical component, as it directly impacts customer satisfaction. A bad last mile delivery experience can lead to poor reviews and loyal customers going to your competitors.
For dispatchers and fleet managers to make the final mile delivery operations successful, they require software that can fast-track the speed, accuracy, and performance of delivery drivers.
Learn more: What is last mile delivery software?
Benefits of Last Mile Delivery Software
Last mile software helps businesses streamline their delivery operations. It reduces costs and improves efficiency all in one place.
To optimize your last mile delivery, the software helps to:
- Optimize routes
- Give customers proof of delivery
- Real time tracking
- Driver feedback
- Communication with delivery drivers
When delivery businesses improve their last mile, customer satisfaction and loyalty also spike, leading to increased revenue and growth.
Key Features of Last Mile Delivery Software
1. Optimize Routes improve mile delivery
Route optimization (RO) helps delivery drivers to make the right decisions fast, picking the right route without being trapped in unforeseen situations like backed up traffic due to a crash.
Veteran drivers might think they know the shortest routes to certain areas, especially if they’ve been working in certain locations for a very long time.
However, human error always slips in.
No one can predict whether the weather will change in the next half an hour or whether road work will be done on this specific route during the day.
Route optimization is part of the last mile delivery software package and it helps big corporations like Amazon save big on fuel costs, especially during peak seasons.
2. Give Customers Proof of Delivery
Using tools like Locate2u Proof of Delivery (PoD) allows drivers to capture photos or collect signatures to confirm a delivery. It’s like a digital footprint that the delivery has been successfully completed.
This not only protects businesses from theft claims but reassures customers their packages arrived safely.
More than 60% of Americans are concerned about porch piracy especially during the holiday season. This is according to a Harris Poll survey commissioned by packaging logistics firm Position Imaging.
This survey was conducted online, and more than 2,000 adults participated.
Imagine a customer waiting all day for a package, only to find it “delivered” without evidence. This erodes trust and leads to customer dissatisfaction. Proof of delivery ensures peace of mind for everyone involved.
3. Real-Time Tracking With Last Mile Delivery Software
Tracking technology, a crucial aspect of last mile logistics, offers customers visibility into their deliveries, providing accurate ETAs and live updates.
It ensures that customers come back for more, knowing that their delivery will be accurate and on time.
A study has found that 93% of customers want to stay informed throughout the delivery process. From the moment the parcel is in transit to when it finally arrives in their hands.
Uber Eats, for instance, relies on GPS tracking to provide minute-by-minute updates to customers. Without real-time tracking, customers are left in the dark, leading to missed deliveries and frustration.
Real-time tracking reassures customers, making their experience seamless.
4. Driver Feedback
Feedback systems empower customers and motivate drivers to perform better. With last mile delivery software, businesses can track ratings and implement targeted training programs for drivers.
Pro Tip! You won’t know what to fix if your customers don’t tell you. So, encourage your customers to rate their delivery experience. It highlights areas for improvement.
Yes, it might be a bit embarrassing because it’s not the first time you’ve spoken to your drivers about the same issue. But remember insights from reviews can help businesses identify trends and address underperforming drivers.
Delivery platforms like DoorDash rely heavily on feedback to refine operations. Dashers may be deactivated from the DoorDash platform if they have a customer rating below 4.2.
Without feedback mechanisms, companies risk repeating errors, frustrating customers, and tarnishing their reputations.
5. Communication with Delivery Drivers
Direct communication between dispatchers, drivers, and customers minimizes misunderstandings and fosters smooth operations.
By using last mile delivery software, which includes real-time tracking and automated dispatching, customer communication is automatically stepped up.
Customers receive automated status updates via SMS or apps, which keep them informed about every step.
Imagine working for a bakery and every time you send out a new order to customers, you receive at least three calls in the last hour from the customer enquiring when their order will arrive.
Here’s what makes Uber Eats systems perfect. Uber uses driver-customer communication tools to manage changes on the go, such as delays or address issues. This flexibility has made Uber a benchmark in last-mile delivery.
But what if you don’t send regular communication to customers during the last mile? Lack of communication leads to missed deliveries, failed attempts, and annoyed customers.
Final word: Why you need last mile delivery software
Last mile delivery software sets you apart from your competitors with cutting-edge technology.
Last mile delivery software equips businesses with the tools to deliver both efficiency and customer satisfaction. Features include optimizing routes to enhancing transparency through real-time tracking and proof of delivery,
With the right technology, companies can reduce costs, streamline operations, and foster trust through seamless communication and feedback systems.
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About the author
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.
