Albert Go
Regional Manager
Lalamove
/
Startup Contributor

How Can Entrepreneurs Optimize Their Logistics in 2022?

By Albert Go | Tue, 12/28/2021 - 11:37

We have just finished a difficult year, but one in which many of the lessons from 2020 were represented in terms of growth, especially in the business ecosystem, which, according to World Bank estimates, is expected to recover by 57 percent in 2022 and beyond.

Obviously, we know that positive results or developments do not happen on their own. A significant investment of talent, experience, time, and, above all, innovation is necessary. This word is extremely relevant for the times we live in and the years that are yet to come.

Digital transformation has touched every aspect of the business universe. One area that has proven essential for the growth of micro, small and medium-sized enterprises (MSMEs) is that of last-mile logistics. Along with the e-commerce phenomenon, today, it is difficult to think of a store or marketplace that doesn’t sell online and offer delivery.

But you must take into account that today’s deliveries have certain peculiarities that make them different from what occurred before. For example, traditional processes have been left behind. The revolution in mobile applications has taken the preponderant place as a strategic ally of the entrepreneur, the small merchant, startups and businesses that represent the main economic force in the country.

But why have these platforms been so successful? There are multiple differentiators, depending on the company that provides the service. From Lalamove’s point of view, I can offer various points that have made us a benchmark in the industry of immediate and on-demand deliveries. These include:

  • Route optimization tool to save time and money
  • Zero commission on dishes (in the case of restaurants)
  • Lalamove API to automate shipments from online stores
  • Increased safety and benefits for driver partners
  • Multiple stops on the same route
  • On-demand deliveries 24/7

To better manage your logistics in 2022, it is important that you pay attention to the differentiators of the outsourced last-mile services because it does not help much to have good e-commerce if the product reaches the hands of the client in periods of five days or more. This can cost you potential customers, since they will not speak highly of the service and experience you offer.

In addition, through same-day or 24-hour deliveries, as a merchant, you have significant savings in time and operating costs. These two characteristics are among those that some of our partners, such as Shopify, Chilim Balam or Jericoo, like the most.

Another relevant way to boost your logistics is to open up to omnichannel. In addition to immediate shipments, the trend of click and collect (buy online and receive the product in-store) will hit hard this year. This strategy combines the convenience and speed of e-commerce with the speed of delivery of the product at a physical point of sale, which gives the consumer the possibility of choosing the time from a range of options that best suits them to pick up their purchase. Even on the same day.

As a digitalized startup, you can take advantage of omnichannel to have better control of your inventory, further reduce logistics costs and enter a market segment where some users still do not feel confident about a 100 percent online shopping model. If you can combine omnichannel with the last mile and offer both services, the customer experience will get a big boost.

These trends will undoubtedly help give your business a new dimension (regardless of size), adapting technology as an operational pillar and adding solutions that have benefited from it. The important factor is to keep moving forward and to show that an optimal distribution chain is not exclusive to large companies or commercial giants. MSMEs have the opportunity to develop through digital partners.

Photo by:   Albert Go