Explore your options when starting a delivery business post-COVID-19, including the importance of route optimizers for operational efficiency and customer satisfaction in the booming online marketplace.
The question “How to start your own delivery business?” is frequently Googled in this era following the COVID-19 pandemic. Given how much of the economy has shifted to online, touchless, and mobile, this method of conducting business is becoming more popular. According to Statista, the global population of digital buyers has surpassed 2.14 billion people. As a result, more online businesses will cater to these customers.
This article will look at one of the most important aspects of ensuring your success when starting a delivery service: using a route optimizer. Many things can go wrong in a delivery service business, but the most serious risk is late or delayed deliveries. This article will look at how you can lower your startup risk and improve your small business’s chances of success.
The Covid-19 era is characterized by a number of distinct trends. Aside from the social implications and the shifting social contract, the rise of delivery services is at the forefront. The following are some of the most significant changes that business owners have noticed:
Clients who order food choose to have it delivered to their homes, either through Uber Eats or other local delivery services. Businesses are devoting more resources to expanding on-demand support, delivering food, and providing a better logistics experience as a result of the rising demand. For their delivery service, potential customers will now look to go mobile or online. If at all possible, a restaurant-specific delivery method is preferred. If not, they will use third-party services.
Retail also employs a greater number of delivery vehicles to serve their customers. Businesses, both old and new, are adapting to meet the new way of doing business. Some use a courier service by partnering with a courier company, while others operate their own cargo vans, box trucks, compact cars, or pickup trucks and ship under their company’s name. These companies also hire independent contractors to avoid paying for things like gas, state permits, and other regulations. Regardless of how you slice it, all retail stores must ensure that their delivery service logistics meet the expectations of their customers.
Corporations such as Amazon have partner programs to capitalize on the opportunity of increased demand. The Amazon Delivery Service Partner program, for example, gives participants access to Amazon’s technology and brand name while also allowing them to develop hands-on leaders who are their own bosses. These individuals may not be able to start their own businesses, but they can be a part of a larger organization and the retail cycle by becoming an Amazon Delivery Service Partner. Amazon does not need to hire employees; instead, it forms partnerships.
In terms of restaurants and food orders, the average order size is also larger. This is true for all types of businesses, including restaurants, retailers, and any courier service – or courier service or business – that serves them. We can see how much the home and business delivery sectors have grown. That is reflected in the size of the orders.
The meal and meal kit delivery services have seen a lot of new customers and are in high demand. This small business makes money by preparing and selling meals (or meal kits) to customers (often repeat customers). They can either start their own delivery service or hire a courier service or courier company to make deliveries for them. This type of business has relatively low startup costs. One of the things that must be done correctly to ensure profitability is logistics. Route optimizers are an important part of the toolset for these businesses.
To start a business, you’ll need a lot of things. The following is a short, non-exhaustive list of things to consider in order to improve the delivery experience:
This is what we’ll talk about in the following section.
As previously stated, execution risk is a major cause of failure in a variety of industries. The most significant risk in the case of a company that deals with deliveries is route planning and optimization.
The route optimizer problem, in two words, is that no human can manually create the stop order. This is due to the “Travelling Salesman problem,” which states that when there are ten or more stops, there are millions of options, making it impossible to choose the best route.
This is why, if you have multiple stops, you should use a route optimizer. For local deliveries, MapQuest Route Planner and Google Maps are two good free options. However, if you make more than ten stops or have longer deliveries, these are insufficient. To ensure that the operation runs smoothly, more robust software is required.
When delivering parcels or packages on Shopify, we strongly advise you to use EasyRoutes as your route optimizer. There are a few straightforward reasons why EasyRoutes is a good choice.
To avoid the risk of late deliveries, use EasyRoutes.
We hope this article has helped you understand some of the risks associated with starting a new delivery business and how to mitigate them. One of the biggest execution risks is not being able to deliver on time. You can rely on route optimization for this. We all know the COVID-19 pandemic is here to stay, and businesses will have to adapt. We’re here to help this burgeoning business. We will assist if there is anything we can do. Please do not hesitate to contact us if you require assistance. We wish you the best of luck, and remember to stay safe!
Roundtrip.ai's mission is to equip every business with the software tools they need to deliver products to their customers in a delightful way. Thousands of worldwide choose EasyRoutes to power their local deliveries across dozens of product categories, from meal kits and groceries to coffee, cupcakes, kibble, and so much more. Our easy-to-use route planning and delivery optimization app is certified Built for Shopify, a two-time Shopify staff pick, and the top rated local delivery app on the Shopify App Store.