8 Essentials for Setting Up a Powerful Logistics Distribution Strategy
How do your products reach your customers? It’s crucial to distribute your goods efficiently—whether locally or worldwide, to build a successful business.
The distribution process begins once a product is ready to make its way from the supplier to the customer. It encompasses everything needed to do this as easily as possible, from physical transportation to customer care.
Let’s look at eight essentials for setting up a well-oiled distribution logistics strategy that delivers.
1. Sustainability
Sure, you need to get your products into your customers’ hands in a way that’s cost-effective. But distribution is increasingly tied to sustainability, too, both in terms of customer demand and your company’s ESG goals.
Sustainable solutions should be woven into every decision you make. Think about recycled materials to make your packaging more environmentally friendly; alternative energy solutions such as electric delivery vehicles; carbon offset programs; and route optimization to ensure that every journey is as fuel efficient as possible.
2. Customer Service
A customer-first mindset is a no-brainer when it comes to distribution. It’ll inform fundamental decisions such as the location of your distribution center; you might even want to choose multiple locations to reach your customers where they live and work efficiently.
Make space for solutions that delight the end consumer, whether reassuring them by scanning packages at every step of the journey or sending timely text and email notifications so that they know exactly when to expect their delivery.
3. Demand Forecasting
What do your customers want, how much do they want, and when and where do they want it? If you know how to answer those questions, you’re well on your way.
Think about the tools and warehouse management system software you’ll need to monitor inventory and manage seasonal fluctuations in demand so that you can replenish your stock in good time and make the best use of your warehouse space.
4. Order Fulfilment
Once you’ve forecasted demand accurately and have your inventory in the right location, order fulfillment is the next piece of the puzzle.
What does your ideal fulfillment process look like? Think about order processing, label generation, and sustainable packaging when planning your distribution process. How can you ensure that all your systems talk to each other and that everything is as efficient as possible?
5. Software
Technology is transforming how we move products from supplier to customer, so jump on board. From intelligent inventory-tracking systems to Internet of Things technology that provides real-time vehicle tracking, leveraging the right software will enable you to optimize delivery performance at every stage of the process.
6. Analytics
Another significant benefit of leveraging software? It generates a whole heap of data, which you can use to improve delivery efficiency, security, and quality. Build analytics into your strategy, and you won’t just be transporting goods from one location to another—you’ll also be making more informed decisions and creating a better business along the way.
7. Shipping Strategy
While it’s not the whole story, the physical transportation of goods is essential, and a robust shipping strategy is necessary. Can you partner with an experienced logistics provider to access bulk shipping discounts or nationwide shipping while pleasing your customers? And how can they help you meet your sustainability goals?
8. Reverse Logistics
An excellent distribution strategy allows for the possibility that a customer might want to return something, particularly if you’re running an eCommerce business. So think about your reverse logistics. If making a return is hassle-free, your customers will be more likely to shop with you again.
Get Your Strategy Sorted with Ziing
Looking to develop a robust distribution strategy that puts you on the road to success?
At Ziing, we’re here to help you do just that. With a suite of services, including asset tracking, a chain of signature procedures, and Internet of Things technology, we’ll make it easier for you to meet your delivery promise to customers, including next-day and scheduled delivery.
Get in touch today to find out how you can create a strategy that doesn’t just deliver but contributes to your ESG goals and delights your customers along the way.
