August 04, 2020 By Bhavesh Surani Category: Logistic app development

eCommerce development has paved the way for the retail industry to grow at scale. Brick and mortar stores are not lagging as they sell through online platforms. With the increasing customer demand, the volume of shipment manifolds as well. High customer demands and the high volume of orders are scripting the new success story for companies.

Retail in the US was worth $6 trillion in 2018. eCommerce would grow up to $735 billion by 2023. Trends in India have steady growth too. The online retail market would hit $73 billion by 2022 during the forecast period. Indian eCommerce market would be worth $200 by 2026 as the forecast suggests.

Figure 1 Indian retail and eCommerce Market Size (Source: IBEF)


Although these figures appeared before the Covid-19, the scenario is overwhelming amid the crisis also. eCommerce shipments increase by 47%. Almost every logistics service is experiencing the same spike in volume. But, order or shipping delays are one phenomenon that impacts the customer service. According to Narvar data, the shipping delays are up by 1.5 days compared to normal days. On the other side of it, customer behavior is irrational as they always prefer same-day deliveries. To keep pace with the  customer demand, retailers or eCommerce companies are adapting to logistics optimization. Most e-retailers do not have a brick and mortar store to keep their stocks. Hence, they use third-party logistics or supply chain management services. In order to fulfill customer demand, logistics optimization is necessary. A successful logistics optimization relies upon an expert logistics app development as they craft a functional and dynamic app for the retail and eCommerce businesses.

Before we nail down to the steps to implementing logistics optimization, explore the definition of logistics in eCommerce and retails.

About Retail and eCommerce Logistics

Logistics optimization is all about gauging the intricacies of a business’s supply chain to determine the capacity of a warehouse by its number of stocks, size and location. Overall, it should ensure the warehouse has an optimal combination to fulfill the supply chain all
through raw materials till the end users are served.

So, the end result must be to satisfy the customer demands, which holds the secret sauce of success. In order to increase the efficiency of the logistics services, eCommerce is concerned about launching a logistics management app that facilitates monitoring of the raw materials to the final delivery.

A logistics app in place helps you enhance the visibility of your supply chain and collaborate with a third-party.

Using a supply chain or logistics optimization app, you can streamline the workflow of the warehouse and manage order and delivery efficiently. Also, you can get actionable insights from the app so that you can make an informed decision.

  • Distribution and order fulfillment cost is available
  • Full visibility into inventory
  • Fleet information
  • Exact delivery information about the shipment
  • Identify cost-effective solutions for your eCommerce business
  • Automated order and delivery management

You can derive insights into last mile delivery and speed up the process of deliveries with minimal costs. Objectifying your achievement goals involves how well you equip the delivery process along with the optimization of the delivery routes. AI or ML can make it a success as you are eager to implement this facility for your users.

Also Read : [Gain Insights into How to Build a Successful Logistics App]

What Are The Fulfillment Can You Make Using The Logistics Optimization App Or Software?

Facilitating the same-day delivery

Free shipping and convenience are the main attractions for customers to buy online. This has probably brought the idea of the same day delivery. If you promise the service, you must deliver it. Last mile delivery and efficient management of the supply chain can ensure the service for your customer. Your logistics software which is mostly integrated with AI and ML algorithms help you find the traffic updates in real-time so that you can avoid heavy traffic and reach the nearest warehouse in a short time. Leveraging the capacity of your fleet, you can maximize the last mile delivery and deliver the product without any hassle.

Achieving an edge in the competitive market

Software application for logistics optimization helps you optimize the route as well that saves you time and money. This is also good for your eCommerce business to lower the shipment cost for your customers. As your customer gets their orders on time, you have a network of happy customers. Exemplary customer services you create strengthen your mark in the marketplace. Besides, keeping prices low keep your customers coming to you again and again.

Developing cost-effective supply chain system

As is with eCommerce business, product returns, water resources, and competition are pretty common. These events eat up your profit margins. Hence, a cost-effective supply chain operation is always desirable.

A logistics optimization software or app helps you make your supply chain efficient. You can always ensure your orders are protected and safely delivered to the customers. With  information easily available, you can increase visibility into the operation and come up with well-planned cost-saving solutions.

Generating revenue using inbound logistics

Inbound logistics solutions can play a big role in mobilizing your entire eCommerce business. Although overlooked, this source of order shipment can fulfill the customer demand on time.

As you leverage the solution, it helps you cut costs while ensuring faster deliveries of orders and increasing conversion. All of these advantages add to revenue generation for your business. Besides, the logistics app also collaborates with the shipping and delivery team. As everyone stays in the loop, you are able to increase the delivery efficiency and enhance the customer experience.

Demand fulfillment with integrated supply chain operations

Logistics optimization promotes the likelihood of an integrated supply chain. With your logistics and supply chain coming together on the same platform, you can improve the visibility of the operations.

The same- day delivery brings the benefits of live tracking and route optimization. This is probably leaving no room for guesswork and deliveries happen on time. An integrated supply chain also makes shipping cost cheap or free, which is dynamic for buyers to purchase.

Always get one developed from a reputed logistics app development company to unlock the best opportunities.

Real-time location updates

The route optimization capability of a logistics app is unique. The same feature can be leveraged to monitor the path of the fleet in real-time. A GPS or location tracker helps find the route for the fleet. Right from the vehicle location to the order pickup and to the delivery, you can keep watch on every activity. This real-time updates help schedule workforce shift and execute operations accurately. This saves you time and also cost. In the end, customer satisfaction matters and you are able to do that efficiently.

Final Thoughts

Know it. Logistics optimization is a necessity to lead in the competition. It is a tool to have real-time updates about the operations and meet your customers’ demands. Should you require a logistics management app, be sure you get in touch with a reliable mobile app development company that incorporates all necessary features into your app. BytesTechnolab has been offering its dedicated mobile application services for long. To know more about your scopes, get in touch today.

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