How Global Carriers Are Impacted by the Delivery Economy

There’s no denying customer expectations for delivery have evolved. With on-demand delivery apps and subscriptions like Amazon Prime, delivery is now core to the customer experience. Whether it’s a consumer or business customer, buyers are expecting convenience, speed, and simplicity. A recent survey of consumers and marketing executives, conducted by project44, proved how vital supply chains are to the modern customer experience.

As the Delivery Economy — the pervasive sentiment in which customers expect low-cost, fast and highly transparent delivery of goods — has changed customer expectations, it has also impacted the role and expectations of carriers. When a package isn’t delivered when or as expected, 49% of consumers say they hold the retailer or ecommerce site responsible for the delay, and 42% say they hold the delivery company responsible. With these shifting attitudes around delivery, shippers and carriers are sharing the delivery responsibility. Carriers play a critical role in helping shippers achieve success in the Delivery Economy.

As a carrier, it’s important to be aware of how the evolving landscape will affect your business and relationships with shippers. This post outlines the report’s key takeaways for carriers and presents strategies for how you can better collaborate with shippers to meet these new demands.

Here are some of the requests shippers might ask of you as they create a strategy to respond to shifting customer expectations.

Provide More Visibility

The minute-by-minute updates provided by on-demand delivery apps are influencing how much visibility consumers want during the delivery process for all their purchases — whether personal or for business. With 70% of consumers asking for the ability to track progress of shipments, shippers are feeling more pressure from customers and are turning to visibility as a solution.

Beyond meeting customer expectations, increased visibility is beneficial for the entire supply chain. Shippers are starting to request that their carriers provide real-time tracking information in order to gain insight that will help optimize their supply chains.

Increase Efficiency

In addition to visibility, shippers are taking a closer look at the efficiency of their carriers. As they examine ways to increase efficiencies within their supply chain, shippers will evaluate carriers based on their ability to meet the end customer’s expectation of speed.

By sharing your tracking information — through your ELD/telematics device or API connection — your customers can stay updated on the status of a shipment, reducing the need for check calls. In addition to time saved by eliminating calls, dock teams can prepare more effectively because they have an accurate estimated time of arrival (ETA), which can reduce dwell times. With less disruptions and smoother pickups and deliveries, you can focus on driving and delivering shipments as efficiently as possible.

Help Meet the End Customers’ Demands

As delivery moves to the forefront of the consumer experience, it is playing a key role in the customer’s perception of a company’s brand. According to our survey, 74% of consumers say that when a package isn’t delivered when expected, it hurts their impression of the company. And 60% complain when it isn’t delivered as expected.

Delivery is now carrying a great amount of weight when it comes to a brand’s overall perception. With a key role in the delivery process, you have an impact on the end customer’s experience. Because it’s important for your business to help meet their expectations, think of your shippers’ customers as your customers. By providing your customers with tracking information, you’re able to help them deliver an exceptional customer experience, strengthening your business relationships.

Respond to the Delivery Economy

Shippers are taking note of the Delivery Economy and its impact on their businesses, and carriers should too. By sharing data, you can increase efficiency and meet the needs of your shippers’ customers.

In addition to meeting customer expectations, there are various ways you can benefit from visibility, including reduced check calls and dwell times, efficient operations, happier customers, and higher productivity. project44 can help you and your customers connect and streamline the shipment process in a secure environment.

For more insights into how delivery is taking center stage in the consumer experience and how your customers are responding, download the full report.