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Innovation Wins

I am an avid 49ers fan, the 5-time Superbowl winning 49ers, to be exact. Now I believe their success has been a result of the marriage of offensive innovation and strong defensive commitment – In other words, changing with the times when needed that is how I am seeing the logistics and supply chain business today. I am heading to Home Delivery World in 2 weeks, and I am hoping to see insightful presentations, meet with peers, and visit some of the booths.

First and foremost are companies embracing new approaches, technologies, and partnerships? I have noticed that many of the new companies that entered the logistics market are keen on challenging the status quo. As someone at one of the companies that are creating a new way to deliver small packages across the country, I want to see how interested companies are truly challenging the established logistics players. In my experience, many want an alternative to UPS and FedEx, but it is difficult for many to try new approaches – it is a very risk-averse industry.

Another factor I hope to gain insights into my company and find very important is the customer journey. I find it amazing that even with all the technology in the front office cart abandonment rate of about 70%. Now one of the top 3 reasons for customers leaving their carts are the fees that are charged as part of the checkout process and shipping is one of them. So, how are marketing, sales, and logistics working together to ensure a simple seamless customer experience?

The speed of shipments truly fascinates me because of the “Amazon effect.” All companies are trying to combat Amazon – many of the start-up companies that are driven by innovation are helping to combat that effect. We all know customer want their products as fast as possible and want to match 2-day delivery. Does 2-day delivery the standard we need to meet to make customers happy? And now that Amazon is testing 1-day delivery is the pressure going to be ramped up for all to move even faster? I want to know what my peers think at Home Delivery World.

Innovation is important whether the San Francisco 49ers or a jeans apparel company. Events are important it does provide us a venue to discuss items openly, learn from our peers and see what is going to be possible. And as I am excited to see Chris Grey present “Alternative Delivery Networks” to disrupt and benefit the bottom line in the home delivery world – Chris is the George Kittle of SmartKargo!

Disruptive Innovation is a Necessity

I am heading to “Home Delivery World” in about a month and am excited to go to a show that is manically focused on logistics and supply chain. I have years of working with e-commerce, pharma, & manufacturing organizations, that require small parcel delivery and I can never think of a more exciting time in the space. Now when I go to an event I am there to learn and gain insight to connect with my partners and customers!

Now I am very intrigued by the decision to resurrect brick & mortar presence though most large retailers have seen massive spikes in e-commerce purchases. Considering Shopify is laying off workers because they believed that the e-commerce growth would continue, are companies seeing a long-term pullback in e-commerce? Or just a short-term abatement? I am looking to my logistics experts at the show to share their ideas.

Inflation is the issue so many companies are now learning to deal with daily- choosing to raise prices or eat margin will always be a difficult decision. So, I further wonder, are large retailers handling the constant increase in shipping costs without passing the charge off to customers? Many platforms can rate shop, which eases the pain of cost increases. Nonetheless, all carriers are raising costs within weeks, if not days of each other meaning there is no escaping it for the shippers. I never forget that the price of something will always reflect the sum of its cost inputs.

“Necessity is the mother of invention.” This is an old proverb we take for granted but it applies today more than ever. We have inflation, pull forward in e-commerce demand, supply chain issues, workforce concerns, delivery limitations, tremendous growth in surcharges and so many more worries. Innovation is not only needed but paramount for the logistics area. What are new companies doing in technology, last mile, and alternative delivery networks? Moreover, are retailers going to be more innovative? As an example, American Eagle created Air Terra, forcing carriers to start bringing transformation and value to the table. What innovation and value are large retailers and B2B players looking for in today’s market?

I am attending this event with open ears and an open mind. I know some of our partners like Fillogic are revolutionary and technically savvy and will be at the event as well. . We know we are innovative and challenging the norms in the small package delivery space. It is time for a break in tradition and a change of direction. We are a new method…a new way.. that will forever change the face of logistics.

 

Psyched about Home Delivery World

I’ve been working for 10 years in Logistics and much of that time was at UPS. I am always amazed at how much innovation is being done in this space – That is why I am so excited about the upcoming Home Delivery World. The depth of the event looks like it will handle all components of the logistics and supply chain industry. I am even more excited since we will be speaking and have a booth on the busy expo floor.

I do have a few specific items I am truly interested in as they impact my world with all the e-commerce, pharma, electronics, and other companies I interact with daily. The easiest is how are UPS and FedEx dealing with their declining delivery performance and how are the market and new entrants taking advantage of this opportunity?

Another piece of information I am interested in learning from the presenters and many of the logistics professionals at the event is accessorial costs and their impact on their business. I look at these fees like the caveats that are voiced over pharma commercials on television or online. They always say something like – “It may cure your migraine headache, but your nose may turn green.” as an extreme example. But think about the list of fees customers need to be very aware of every day – Their shipping prices initially look very reasonable until the customer factors in fuel surcharges, weekend delivery, delivery area surcharge and so, so, many more.

We just had the prime day. And every time there is a prime day each company looks to evaluate their loyalty program, their shipping fees, and the overall “Amazon effect.” Considering Amazon is now the 3rd largest logistics service in the US, I want to understand how logistics leaders are dealing with their internal teams to compete with the 800-lb. gorilla.

I missed events during the pandemic -I get to have direct, fun conversations with professionals with all kinds of experience. More importantly, I learn and ensure I look at this great industry and the innovations that are being built and evolved.

7 Amazing Ways to Improve Customer Service in E-commerce Logistics

With the exponential growth in e-commerce, it is not just about offering quality products to customers anymore; it is also about e-commerce businesses offering a good experience to a customer’s journey. Right from placing an order to the timely door delivery, this experience plays a crucial role in keeping customer loyalty intact and staying at the top of the game. 73% of all people point to customer experience as an important factor in their purchasing decisions. 86% of consumers are willing to pay more for improved customer experience.

As consumers increasingly rely on online shopping, their expectations for better customer experience also continue to rise, which is why e-commerce customer engagement is critical today. Whether you have just set up an e-commerce business or have been running one for years, you might need to take a closer look at the quality of your customer engagement practices and e-commerce enhancement listed below.

7 ways to Optimize and Improve Customer Service in E-Commerce Logistics:

 

  1. Real-Time Tracking

Today’s technology advancement offers all-day tracking in real-time for customers to track their orders, and know about delivery timelines or transit issues. This disruption is not just a boon for consumers but also for e-commerce businesses and logistics providers, reducing costs and saving time.

SmartKargo EDI-enabled e-commerce solution shares real-time information at every step of the supply chain for increasing efficiency. With real-time tracking and reporting, bottlenecks are easily identified.

  1. Routing Service

With GPS support, locating a consumer’s delivery location has turned into convenience and has enhanced the overall delivery experience for customers in receiving the packages on time.

SmartKargo uses geofencing capability to improve routing for its drivers to take the most efficient paths to reach the designated locations that benefit in saving cost, energy, and time.

  1. Speedy Delivery

Ground-level transportation is hampering the supply chain and customer’s happiness due to bottlenecks such as traffic issues in the cities, delivery to remote areas, the uncertainty of timely delivery, tedious and time-consuming road journeys, etc. E-commerce businesses need to opt for an e-commerce solution that not only removes the bottlenecks of the e-commerce supply chain but also caters to the expectation of customers.

SmartKargo, a unique e-commerce shipping solutions associated with IndiGo airline, gives wings to the middle mile phase and makes it possible to deliver e-commerce packages at a record time of 20 hours timeframe throughout India.

  1. Technology Advancement

With an exponential increase in e-commerce sales due to tech-savvy customers, e-commerce brands must stay on top of the ladder of innovation and technology advancement. IoT is one of the technologies that offer to track and streamline the delivery process.

SmartKargo’s IOT integrated solution offers to optimize the end-to-end e-commerce package delivery journey. The AI and ML capabilities enable real-time track and trace functionality cutting down bottlenecks, and making the e-commerce package delivery process efficient, cost-effective, and timely.

  1. Better Coverage

To deliver faster to Tier 2 and 3 cities, the e-commerce retailers have to partner with multiple logistics providers increasing nothing but costs for the business.

SmartKargo partners with IndiGo Airline and enables e-commerce packages for a pan India coverage to be delivered in not more than 24 hours timeline.

  1. 360° Customer Experience

Consumers today expect an intuitive and easy-to-use digital experience across every communication and sales channel. Brands must focus on delivering engaging Omni channel experiences throughout the customer journey.

SmartKargo acts as a catalyst between the airlines and e-commerce businesses to provide their customers with speedy cargo shipping through real-time visibility, next-day delivery for their customers, and door-to-door service through EDI enablement service.

  1. Last-mile Experience

E-commerce delivery is the most complex process of making a product reach the doorsteps of a buyer. It requires the highest amount of attention, assurance, and effectiveness to achieve customer loyalty and retention rate.

SmartKargo enables airlines to track the shipment end-to-end, enhancing the supply chain process, speeding up last-mile deliveries, and offering a fantastic customer experience till the real-time doorstep delivery.

In a world of abundant options, consumer satisfaction should be the yardstick to measure. This is why it’s critical for an e-commerce brand to partner with an e-commerce logistics solution provider for not only the fastest or cheapest delivery but also for additional services like live order tracking updates, real-time customer support, airspeed delivery on ground rates, delightful customer experience, etc. One of the solution providers that tick these boxes is SmartKargo.

Contact us today, for more details: indiaecom@smartkargo.com

 

Redefining Logistics with Airlines

E-commerce is growing in India both customers and businesses alike have frequently wondered how great e-commerce logistics works, given the phenomenal expansion of social commerce and e-commerce businesses. To develop their business and reach millions of clients, online firms in all genres require continual assistance and partnership with e-commerce logistics suppliers. With millions of customers opting to shop online, an e-commerce business needs more efficient and productive logistics solutions to handle increasing volumes and retain their customers.

Collaborating with a dependable and trustworthy logistics partner is simply the first step for e-commerce companies. E-commerce logistics businesses come in several versions – they help online stores with shipping, packaging, and picking. They also provide a variety of different shipping services that might assist a company in expanding and reaching a wider audience.

 

Indian E-commerce Market Scale Up:

It is no surprise to all as a result of the pandemic that in India, from April-May 2020, a consumer report found that there was already an increase of 11% in first-time online shoppers – 16% in new category online shoppers and 30% in online shoppers with larger purchases in existing categories.

The country’s e-commerce market is estimated to grow at a 30% compound annual growth rate over the next five years and serve 300-350 million shoppers by 2025. The number of e-commerce users is expected to grow by 47% to 948 million users in India by 2025

Facts of the e-commerce Industry in India:

  • 46% of the population in India shops online
  • According to the analysis, India is the eighth largest market for e-commerce with a revenue of US$63 billion in 2021
  • According to a Forbes Report, e-commerce In India Set To Reach $120 Billion In 2025
  • According to ITLN, tier II and tier III have a faster growth rate than tier I

 

Rising Importance of Quick Delivery and Fast Logistics in E-commerce:

No matter what the end customer wants their packages fast and cheap. The Amazon effect has many consumers around the globe expecting packages the next day or 2-day delivery.

Most transportation is via ground, it is the primary delivery mode and it becomes the cheapest and the easiest network to establish. But how can fast logistics in e-commerce be achieved via ground only transportation in India? It is an advantage for companies that have more capital. Larger companies equip several warehouses or Distribution Centers (DCs) around India in strategic areas to make sure they meet the customer’s desire for fast and inexpensive delivery.

This means there are increased costs for e-commerce companies on real estate (buy or rental), inventory, insurance, security, and other costs to ensure customers can get their orders fast via ground transportation.

For any e-commerce company the crucial for quick delivery is last-mile delivery. The process of delivering an order from a warehouse (or fulfillment center) to the customer’s delivery address is known as last-mile delivery. In e-commerce fulfillment, the major purpose of last-mile delivery is to deliver an item to a consumer as quickly as possible, making the entire fulfillment process swift and painless. Improving last-mile delivery can now help you provide lightning-fast shipment, resulting in a positive customer experience, and repeat customers.

Furthermore, with speedy shipping options, you can stay ahead of the competition in this overcrowded e-commerce scene by lowering shopping cart abandonment and raising conversion rates. Finally, by enhancing the order fulfillment stage, you may deliver items to customers faster, please them, and encourage repeat purchases.

 

Changing Behavior of Customers:

The e-commerce business has caught up with a significantly more westernized youth seeking new options and prospects. e-commerce is rapidly changing, with numerous new technologies and trends on the horizon. The pandemic forced the offline retail market to close and operate at a reduced capacity. That is why; the pandemic situation became one of the key drivers fueling this expansion, as is the customer’s transition to the internet. Customers now want speed and transparency in the process of delivery.

Future of Commerce Report (India) suggests that 85% of young consumers (18-34 years) and 90% of middle-aged consumers (36-54 years) moved to online shopping during the pandemic. So, brands had to focus on creating digital experiences that met their expectations. e-commerce companies and their customers want a seamless experience to track from the cart-to-the door.

 

Adaptation of Innovations for Indian E-commerce Companies:

The Indian e-commerce market should learn from the US and other more mature e-commerce markets while balancing the uniqueness of the Indian e-commerce sector. How?

  • Look for innovation to drive your complete customer journey including your delivery purpose
  • Think of ways to reinforce the brand value and meeting the brand promise
  • Search for organizations that utilize innovation to shorten delivery time
  • Increase ROI by utilizing true value which is not exclusive to just the delivery costs
  • Align the following technology and services to the total cost of expansion with multiple delivery options:

 

  1. The same day, the Next day, and 2+ days
  2. Costs of expansion and DCs by utilizing air options, not just ground options
  3. Extend options to customers
  4. Ensure technology is integrated into the e-commerce ecosystem, from e-commerce platforms like Shopify to deliver at the customer’s door

 

How SmartKargo can help E-commerce Companies:

Our expertise lies in providing airspeed and ground value to e-commerce companies. We deal with e-commerce logistics across the globe, and we do not believe in a one size fits all market – we customize a solution. We ensure we are a part of the e-commerce company’s growth approach. With Air transportation you can have faster delivery – that’s a given. Our Partnered airline is already going to where your customers are –

Global Presence Air Cargo Services

We offer other alternatives to spending large amounts on DCs. You may not need as many DCs while using SmartKargo can be said as “Warehouse in the air” and provide fast delivery across the country which is paramount for next day delivery. One of the central issues with DCs is that it always accounts for every product all the time. Air is always fast.

Our innovative technology provides all the aspects from the purchase on the e-commerce engine to the delivery to the customer. Some of our pivotal innovations include:

  • AI engine for route optimization for the last mile
  • Integration into e-commerce engines out of the box
  • Geolocation
  • Customer Alerts
  • Touchless Delivery
  • Real Time insights and reporting

 

Speed and Value are Paramount Factors:

For e-commerce companies their logistics partner’s objective  is to oversee the pick-up, and successful delivery of all orders placed with them. However, in the case of e-commerce logistics, the breadth of services is much broader. To be the most efficient, e-commerce logistics businesses must make use of the most recent technical breakthroughs.

Simply delivering the product isn’t enough in e-commerce because it serves such a broad number of demanding and eager clients. Customers expect to be able to easily track their orders and receive timely information from the e-commerce shop where they made their purchase. Proper inventory, order generation, tracking, NDRs, and returns management systems can ensure that your logistics partners make the entire process transparent to you and your consumers.

E-commerce logistics providers should ensure your customer’s journey is aligned with your brand and its brand promise. Look for those innovative companies that will extend your brand and provide the insights and analytics needed to keep you customers coming back.