Quick Tips To Address 4 Key Grocery Delivery Challenges

The US online grocery industry has evolved to become a lucrative space fuelling high levels of competition. According to a Statista report, sales in the US online grocery market will reach $29.7 billion by 2021. But getting a bigger share of this pie isn’t easy. The ones that can guarantee delightful delivery experiences and at the same time boost their bottom line will be the ones tasting the sweet taste of victory.

The online grocery businesses often face the heat when executing home delivery operations. Challenges like inconsistent delivery experience, inexperienced third-party delivery providers, poor visibility and more often take the better out of grocery businesses.

Inconsistent Delivery Experience
Owing to the rapid increase in demand for frequent home deliveries, grocery chains in the US are heavily dependent on more than one logistics provider. From an end-customer perspective, this becomes a challenge, as tracking multiple transporters carrying multiple shipments is a tedious task and often results in errors and inaccurate information being passed on.

Unreliable Third-Party Delivery Providers
Today, in the US it is possible to get goods delivered at low prices. But the problem lies in the fact that these low-cost deliveries are mostly shouldered by delivery service providers who have opened shop recently, making them unreliable in the short term.

Poor Visibility of Freight Movement
As much as 22% of supply chain professionals say ‘poor visibility’ is their number one organizational challenge, a Statista study highlights. Lack of visibility makes tracking freight in-transit extremely difficult. This results in unnecessary delays, inadequate proof of delivery, poor route planning and more.

Lack of Control Over Delivery Operations
Managing multiple delivery service providers and poor visibility of fleet movement make it extremely difficult for logistics stakeholders to efficiently manage delivery processes. Things like allocating tasks, ensuring an error-free delivery sequence and managing customer expectations become a problem when dealing with multiple service providers.

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How Advanced Grocery Delivery Software Makes A Difference

Advanced online grocery delivery software can empower businesses to generate delightful customer experiences and make every delivery profitable. Here are 6-ways FarEye is helping grocery stores gain better control over there logistics operations.

Seamless Integration
Modern online grocery delivery software integrates with existing OMS, WMS, TMS, ERPs, and 3PL systems to boost end-to-end visibility of delivery processes, gain critical insights into a service provider’s KPIs, ensure data-driven decision making and more.

Efficient Management of Multiple Service Providers
To scale delivery operations grocery chains are heavily dependent on multiple logistics providers. An advanced grocery delivery platform ensures high levels of consistency while managing third-party delivery agents. For instance, such a platform leverages Digital Control Towers (DCT) to ensure grocery chains can access disparate delivery KPIs of trucks belonging to different service providers on a single dashboard, instead of investing time and effort by individually connecting with each provider. DCT also provides real-time visibility of all ground-level activities. Therefore, helping delivery stakeholders gain better insights into delays, ETAs, exceptions and more.

Enhanced Productivity
To thrive in today’s highly demanding online grocery marketplace, businesses need to make delivery operations extremely productive.

An enterprise-grade grocery delivery management software ensures that every delivery has a defined ‘standard of excellence’ based on highly accurate KPI benchmarks. User-friendly mobile applications empower drivers to religiously follow efficient delivery routes. It helps delivery stakeholders to manage and control job allocation, routing, sequence and also facilitates real-time communication with customers.

Scalable Delivery Operations
The ability to scale delivery operations is imperative to quickly respond to demand spikes. A modern online grocery delivery platform leverages intelligent crowdsourcing capabilities to seamlessly onboard delivery agents across hundreds of markets. It outsources delivery tasks based on cost, proximity, previous performance, and delivery urgency.

Improves Margins
By reducing miles per delivery, ensuring intelligent task allocation, scaling operations, improving visibility and ensuring greater productivity, such a platform empowers grocery businesses, especially the ones with tight budgets, to gain better margins.

There are a plethora of challenges online grocery delivery software can solve. But while some problems are common across the industry, there are others that are very unique to a particular grocery chain. FarEye can address these challenges and make your online delivery operations resistant to a constantly changing business environment. To know more simply sign-up for a quick demo here.