How a Multi Carrier Strategy Boosts Your Delivery Performance

How a Multi Carrier Strategy Boosts Your Delivery Performance

Yoni Brandsen

Thursday, November 16, 2023

E-commerce of today is all about seeking ways to constantly gaining competitive advantage. One critical aspect that can significantly impact your business’ success is your choice of carriers. Whether you're a small webshop with two shipments a day or a large pure player with thousands, the carrier mix you employ plays a vital role in shaping the customer experience, mitigating potential risks and helping boost your company. But how can a diversified carrier mix help you achieve these focus points? 

Avoid Reliance on a Single Carrier

Relying solely on one carrier can be an uncertain strategy. If your only carrier experiences disruptions, delays, or service issues, your entire supply chain and customer experience can be put on the line. 

Without a diversified carrier mix, you're essentially putting all your eggs in one basket. For instance, a sudden strike or a natural disaster in a carrier's operational region can lead to service interruptions that affect your customers and bottom line. Diversification can help mitigate these risks by allowing you to spread your delivery operations across multiple providers, further reducing your vulnerability.

Different carriers may have varying service levels, quality standards, and performance levels. If you rely on one single carrier, you're exposed to the risk of inconsistent service quality. Having a mix of carriers lets you pick those who specialize in specific areas, ensuring top-notch performance in different aspects of your deliveries. 

Think of fast delivery times, eco-friendly practices, or exceptional customer service. This flexibility ensures that you can consistently provide the level of service that your customers expect.

Delivery Options to Supplement Current Carriers

Through expanding your carrier mix you can provide more delivery options for your customers. This increased flexibility can be a game-changer. A broader mix gives you the ability to choose the most suitable option for each delivery. Packaly's ability to deliver parcels by bike, cargo bike, or electric vehicle for example, complements your existing carriers.

Tailoring your delivery solutions to meet specific needs, whether it's speed, a focus on sustainability, or cost-effectiveness, allows for a more versatile and effective approach. For customers who prioritize speed, offering same-day or next-day delivery options can be a game-changer.  standard evening delivery or even office-hour deliveries as part of your options. When you work out the needs of your consumers and tie these to your mix you’ll create a strong checkout.

Enhanced Delivery Experience

The delivery experience is a critical factor in customer satisfaction and retention. It’s the only touchpoint where there’s physical contact when shopping online. By diversifying your carrier mix, you can enhance the delivery experience for your consumers. Sustainable delivery methods not only appeal to environmentally conscious consumers but also offer the convenience of quick, reliable, and eco-friendly deliveries. This improved experience can lead to greater customer loyalty and positive brand image. All these things are super important considering this is the only physical touchpoint with your customers. With Packaly, you can even introduce branded delivery options that align with your brand's identity up until your customers' front door.

In the competitive world of e-commerce, offering added convenience in the checkout process can make a significant difference. The result? Higher conversion rates and a boost to your bottom line.

Cost Stability

Efficient cost management is a fundamental aspect of running a successful e-commerce business. Traditional carriers often rely on diesel-powered vehicles, which are subject to pricing fluctuations based on macroeconomic changes, such as oil prices. These fluctuations can result in unpredictable surcharges that directly impact your shipping costs. In contrast, diversifying your carrier mix with eco-friendly alternatives like bike deliveries eliminates the reliance on diesel fuel, offering cost stability. With sustainable options like Packaly, you can mitigate the risks of fluctuating fuel costs and enjoy a more consistent pricing structure.

Relying solely on a single carrier may lead to overpayment for specific services. Each carrier has its own pricing structure, and without a diversified carrier mix, you might end up paying more than necessary for certain delivery scenarios. By carefully selecting carriers based on their efficiency, pricing competitiveness, and suitability for specific types of deliveries, you can optimize your costs, prevent overpayment, and maximize your profit margins.

During peak seasons, such as holidays and promotional events, carriers often impose surcharges due to increased demand. If your carrier mix is not diversified, you may find yourself facing substantial peak season surcharges that cut into your profits. Diversification allows you to spread the load across multiple carriers, reducing the impact of peak season surcharges. Sustainable delivery options like Packaly can further mitigate these costs by providing flexibility in delivery methods, reducing surcharge-related financial strain.

By addressing these cost-related risks through a diversified carrier mix that includes eco-friendly alternatives like Packaly, e-commerce businesses can achieve greater cost stability, efficient resource allocation, and a competitive edge in managing their expenses.

A Sustainable Solution for a Better Tomorrow

In today's competitive e-commerce landscape, differentiation is key. If you fail to diversify your carrier mix, you're likely offering the same standard delivery services as your competitors. This lack of differentiation can hinder your ability to stand out in the market. By integrating a diversified carrier mix that includes eco-friendly delivery options like Packaly, you not only meet the sustainability demands of environmentally conscious consumers but also differentiate your brand, creating a unique selling point that attracts customers and sets you apart from the competition.

We take our commitment to sustainability very seriously. By choosing us as a part of your carrier mix, you're contributing to a greener future. Our emission free delivery methods, which include bikes, cargo bikes, and electric vehicles, have a reduced carbon footprint and help build a more eco-conscious brand.

Online shopping keeps changing, customers demands shape how we do business, having a mix of different carriers is crucial. It's not just about reducing risks or making deliveries better; it's about keeping things steady and cost-effective. When you're figuring out how to improve your online store and experience, don't forget that choosing your carriers is a big deal. It can really make or break your success.