Whether you’re running an e-commerce business, or something a little more local, being able to offer deliveries is fast becoming an important sticking point for a lot of customers nowadays. If they have the option to buy a product between someone who offers deliveries and someone who doesn’t, they will often go with the former. You might be using fulfillment services to get your goods from A to B, but over time, this can become costly. You could potentially save plenty of money by running those same deliveries yourself. Of course, managing your own deliveries isn’t a simple process. Here, we’re going to take a look at what it involves.
Invest In A Fleet
First and foremost, you have to ensure that you have a fleet of vehicles that can take your goods where they need to go. A fleet needs to be planned out. You have to consider your product range, your average order volume, and how far they might need to travel. Not only do you have to think about the amount of space in any vehicles you do invest in, but also whether or not they need to accommodate products in any special ways, such as with refrigerated trucks.
Determine Your Delivery Area
At the same time that you’re purchasing the fleet for your deliveries, you should be thinking about defining what your zone is. You might want to satisfy customers in all locations, but there may be some limits to where you can go while still remaining operationally efficient. Make sure that you’re able to reach the majority of your existing customer base, and consider target markets you might be trying to expand to, as well. You need to keep distance, travel time, and even regional regulations in mind. You may still want to partner with some external fulfillment providers for some areas that you’re not able to reach, yourself.
Hire Your Drivers
Recruiting competent drivers is vital, as they represent your brand during the final customer interaction. Look for individuals with clean driving records, relevant experience, and strong customer service skills. Conduct thorough background checks and interviews to ensure reliability and professionalism. Offering competitive wages and benefits can attract and retain quality drivers, reducing turnover and maintaining service consistency. You can start looking for drivers using recruitment sites that specialize in finding those with experience being behind the wheel commercially. Of course, if your fleet includes trucks, you might want to ensure they’re licensed for those vehicles, too.
Invest In Training
While you may want to find experienced and qualified drivers ready to start working immediately, it is important to understand that there is something of a shortage in the field. As such, in order to make up the numbers you need, you may need to be ready to invest in comprehensive training. Find the training courses and professionals to equip your drivers with the skills needed for safe and efficient deliveries, such as vehicle operation, navigation, and the handling of specific products, especially if you deliver anything fragile or otherwise sensitive.
Implement GPS Tracking
It’s not enough to simply be able to offer deliveries, you want to make sure that they are efficient, as well. To that end, equipping your team with the help of fleet GPS tracking companies can ensure that you always have real-time visibility of your drivers. This makes it a lot easier to see where they are, to plan their routes more effectively, and to help them avoid any issues like blocked roads leading to unforeseen delays. The data collected by this GPS tracking can help you make your deliveries even more streamlined in the future.
Develop A Dispatch Team
Your drivers aren’t the only team necessary to help you carry out your deliveries as best as possible. Having a dispatch desk at the ready to help them can make sure that they always have the support that they need. Being able to manage seamless communication between your office and your drivers means you can use the aforementioned GPS data to quickly inform drivers of issues on the road or route changes that can help them make deliveries more quickly and cheaply. Real-time communication tools allow for updates on traffic conditions, order changes, or emergencies. Efficient dispatching minimizes delivery times and enhances customer satisfaction by ensuring timely arrivals.
Maintain Your Vehicles
The vehicles that you run as part of your fleet are going to be one of the most important assets at your disposal and one of the most expensive, as well. As such, you need to do what you can to keep them running efficiently and to avoid having to replace them. Regular maintenance of your fleet is essential to prevent breakdowns and protect your investment. Establish a maintenance schedule that includes routine checks of engines, brakes, tires, and other critical components. Promptly address any issues to avoid service disruptions. Keeping detailed maintenance records aids in tracking expenses and planning for future repairs or replacements.
Manage Operational Costs
Controlling expenses such as fuel, insurance, and vehicle upkeep is crucial for profitability. Monitor fuel consumption and consider fuel-efficient vehicles or alternative energy options to reduce costs. Fuel cards can also help you purchase fuel more cost-effectively across the whole fleet. Shop around for competitive insurance rates that provide adequate coverage. Implementing preventive maintenance can lower repair expenses over time. Regularly reviewing and adjusting your budget helps in identifying areas for cost reduction without compromising service quality.
Set Your Delivery Pricing
Of course, while you need to manage how your deliveries operate internally, you also have to think about how customers interface with them. In particular, you need to decide how much you ask them to pay for your deliveries. You have to be able to balance competitive delivery rates with keeping your services profitable. Tiered pricing and subscription models can help you cater to different customer needs and budgets, but, most important, you have to keep your prices transparent so that you’re able to maintain your customer’s trust. You may also want to consider under which circumstances you offer free or reduced deliveries. For instance, many online stores offer free deliveries for orders over a certain value.
Provide Customer Transparency
Aside from being open about the pricing structure of your deliveries, you can keep customers happy by being transparent about the progress of their packages, as well. The ability for customers to be able ot track their packages in real-time has become a common feature in many e-commerce sites and, if you’re already using GPS tracking, it may not be too difficult to integrate it with your website or customer portal. A system that allows customers to track their packages in real-time, receive updates on delivery status, and communicate with your support team can greatly improve their experience.
Optimize Your Warehouse
Efficient warehouse management directly impacts delivery speed and accuracy. Organize your inventory for easy access, implement a reliable inventory tracking system, and streamline order fulfillment processes. Reducing the time between order placement and dispatch improves overall efficiency and customer satisfaction. Regularly reviewing and optimizing warehouse workflows can lead to significant operational improvements. If your warehouse starts to suffer from delays, it can also lead to delays with deliveries, so make sure that the whole process works smoothly.
Running your own fleet for deliveries certainly does come with its share of challenges, but the reduced costs of deliveries and greater control over how you carry out those deliveries are worth it for a lot of business owners. Consider if it’s the right option for your business, too.
