Companies like Amazon, Google have raised customer expectations, Scremin says
Big companies like Amazon and Google have raised the bar for the transport industry to provide faster and more efficient delivery services to their customers, a logistics and delivery transport manager says.
Customer see other businesses doing rapid delivery options and expect other suppliers to follow suit, national transport delivery firm Ontime Group’s GM Walter Scremin says.
“We’re seeing a lot of innovation in delivery transport and it is having a knock-on effect across a range of industries.”
Amazon recently launched a next day delivery service in the UK and Google’s Express service offers same day or overnight delivery options.
The two companies are also making headways into drone delivery technology.
FedEx Australia recently announced that it was preparing to launch its latest flexible delivery service, which will offer users more flexibility to customise home delivery using a range of new options.
“The bar has been raised but unfortunately many businesses cannot match higher expectations due to poor efficiency,” Scremin says.
Many transport businesses are not structured efficiently to cope with customer demands and promote flexibity and responsiveness, he says.
Technologies such as telematics that can help businesses improve customer service and streamline logistical operations are still not widely accepted by Australian freight transport companies.
Research shows that telematics is still under-used by small to medium sized fleets, with only large freight businesses significantly benefiting from the technology.
A recent survey by ACA Research shows that only half of fleet companies with between six and 25 vehicles used telematics, with take-up even lower among smaller companies.
“These small to medium fleets are missing a golden opportunity to improve their customer service for a modest cost outlay.
“Smartphone technology has made this technology far more accessible to any business – we know of companies with just three or four vehicles who make good use of telematics by keeping customers informed of their deliveries,” Scremin says.
He suggests more and more business should employ modern technologies that can help improve efficiency and customer experience, which in turn also helps improve business.
“Having the flexibility to innovate and improve delivery performance means having more control over resources”.