How to win the ‘Same Day Delivery’ game

How to win the ‘Same Day Delivery’ game

How to win the ‘Same Day Delivery’ game

web store needs to change with changing customer demand

There is hardly any doubt that same-day delivery can be the biggest game-changer in India’s retail ecosystem. With eCommerce marketplaces such as Flipkart, Amazon and Myntra bringing in this concept in their retail operation, the ball is fairly and squarely in the court of traditional retailers to ring in the changes and adopt same-day delivery mechanism. In a competitive retail space, e-retailers that transforms the experience to hit on convenience, economics, exclusivity and overall experience, will win over nearly all type of consumers. Speed of ordering and delivery is what will prompt consumer consideration. In a market where customer loyalty is a big factor, it will help to build that loyalty, enhance brand awareness and keep up with the competition.

Critical factors

E-retailers who considers that fleshy budget and powerful workforce can give all the answers to the rising need of today’s customers have a lot to do. The distribution strategy needs to consider a range of questions: which product categories are most sensitive to delivery speed? How do customers need change during peak sales season? Are time-definite delivery windows more valuable to the customer than overall speed?
The logistics required for making same-day delivery a reality is really challenging. Supply chain, delivery, customer support, advanced e-Commerce software and warehouse facilities are crucial to making the new strategy a reality.
For e-tail, the effort doesn’t come without an element of risk though, which primarily revolve around the execution. Same-day delivery requires a new standard of inventory management and co-ordination among fulfilment centres.
Same day delivery is a capital-intensive offering, and the only way to make it cost-effective is to attach the promise to small, easily transportable items that carry high margins.
Same day delivery can be made possible only if businesses learn how to leverage their delivery costs. Creating a low-cost model requires working with delivery companies and using technology to maximize efficiency.

Action items

Execution of this strategy requires e-retailers to take a cross-functional approach that involves thoughtful planning, IT investments and close ties with logistic partners. Advanced inventory management system that must provide transparency into where every SKU is located.
Robust Fulfilment Systems are needed that can immediately determine which distribution centre can satisfy an order. This decision requires balancing factors such as proximity to the customer, current inventory levels and staff capacity for selecting the ordered items and packing them.
Brands also need to identify a strong logistic partner capable of executing same-day delivery efficiently.
Same-day delivery has been well received in retail, with shoppers valuing the seamless and immediate experience, and according to recent data, it will continue to be a growing phenomenon retailer need to evolve with.

Looking for an efficient logistic management system that can fulfil your same day delivery strategy? Learn more

Karishma Kiran
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