In today’s digital age, logistics has been completely revolutionised which has been essential to keep up with consumer demand. Modern-day consumers expect to be able to place an order online and then receive their package the very next day which has created a huge headache for distribution companies trying to stay ahead of the competition.
This means that the supply chain must be streamlined and efficient without making any errors along the way. This can be an enormous challenge for everyone involved but it has also led to a few interesting developments which have forever changed the supply chain and logistics industry.
Technology
One of the most obvious ways that distribution companies are able to keep up with demand is the development of new technologies. Tracking and following trends is now straightforward thanks to Big Data and RFID while 3D printing and robotics can help through effective distribution and creating quality parts quickly. Not only this, but technology such as smartwatches and smartphones enable employees to have key information at their fingertips and to be able to communicate effectively. This will only continue as new technological advances are constantly being made.
Inventory Management
Efficient inventory management is vital to success for distribution companies. The latest software systems can maintain minimum levels of stock and make automatic orders which helps to ensure that stock levels always remain at a healthy level. Another strategy is to keep safety stock for certain products in case of spikes in demand (often during events like Christmas and Black Friday).
Partnering With Reputable Couriers
A distribution company will rely very heavily on couriers so it is vital that they find a reputable carrier who they can trust. Couriers like DHL can provide next day delivery along with parcel tracking which can be of great benefit for both the distribution company and the recipient. You can find the best couriers and best rates through specialists like Parcel2Go and this could have a huge impact on the success of your operation.
Build Relationships
A smart distribution company will also take steps to build relationships with their customers in order to build trust. In addition to providing a high-quality service, this will also involve making customer services a priority, providing loyalty benefits to returning customers, apologising for problems encountered and adding value during sales conversations. While consumers expect a fast service, they will also prefer to work with a company that they know that they can trust and easily communicate with.
Consumer demand has completely changed logistics with the entire supply chain now needing to be incredibly fast and efficient. This has posed a difficult challenge for distribution companies, but the above are all ways that they can keep up with consumer demand and provide a fast, accurate and reliable service to their customers.
