Over the last few years, online sales have been growing at a frenetic pace and e-commerce has become a significant part of the retail framework, worldwide. Thanks to the proliferation of the smartphone and access to the Internet, consumers are now enjoying the benefits of online shopping. In the year 2020, over 2 billion people used online shopping and e-retail sales crossed $4.2 trillion globally.
The increase in online sales has raised the demand for end-to-end logistics services. Customers are very demanding and expect their purchases to be delivered as soon as possible and on-time. Online marketplaces have been forced to invest in or choose partners with comprehensive logistics solutions to ensure there is no delay in delivery. End-to-end logistics and supply chain management have become an integral part of customer satisfaction and business growth strategy. The reliability of the logistics solution is critical to the business as any disruption will result in a pause in sales, dissatisfied customers, and a dent in the brand value. It becomes imperative to set up an end-to-end cost-effective logistics solution that functions smoothly. The quality of the door-to-door delivery could make all the difference to the growth in online sales for any brand.
Advantages of End-to-End Logistics
Having an integrated end-to-end logistics function will help online businesses to serve their customers better, control outcomes, and be prepared for contingencies.
● With end-to-end logistics businesses have better control over the flow of activities from procurement of raw materials to delivery and after-sales services.
● They can strengthen their supplier relationships, ensure reliable raw material sourcing, and smooth product flow to the market.
● They will be able to offer a better customer experience, gain customer loyalty and acquire new customers.
● Better delivery experiences will differentiate online businesses in the market.
● A reliable logistics solution will help businesses to focus on more critical tasks like market expansion, widening the customer base, and entering new avenues.
● An efficient end-to-end logistics solution assists in decreasing risks and costs because of the streamlining of the process.
● Businesses can achieve faster product turnaround and time to market.
● The technology that manages end-to-end logistics and supply chain can provide valuable market insights to the business regarding the industry and customers that will help them to predict customer demand better.
The Way Forward
With the rapid growth of the global economy, the focus will be on the optimization of end-to-end logistics and supply chains to meet the rising needs. Businesses will have to integrate technology that can offer data analysis, real-time demand planning, and conflict resolution with end-to-end logistics to optimize resources, reduce costs and achieve efficiencies by achieving a lean operation that is well supported by logistics.
Unlike brick-and-mortar stores, logistics is the lifeline of an online business. It is the delivery guy who is the point of physical contact with the customer. It is critical that the customer has a perfect delivery experience if you want their loyalty in the future. Even one bad experience can increase the probability of losing the customer significantly which businesses cannot afford especially on account of delayed deliveries or where the product arrives in a damaged condition.
Customer expectations are increasing by the day with businesses offering even 10-minute hyperlocal deliveries. The speed and quality of the last mile delivery are becoming the differentiators for most online businesses. In this fast-paced business landscape, there is no space for tardiness and this is where end-to-end logistics come into play. They help online businesses to offer their customers a premium experience and retain their loyalty.
With the accelerated digital transformation, more and more businesses are creating an omnichannel presence leading to the increased need for quality logistics solutions. After all, unless you deliver right, the customer experience is incomplete. End-to-end logistics can well be called the lynchpin of the online business model without which nothing can move. The near future will see more focus on end-to-end logistics as online businesses compete with each other to vie for the customer’s attention.