TH E BAC K PAGE | FIVE MINUTES WITH...42 AUGUST 2019 | LOGISTICS MIDDLE EAST http://www.logisticsmiddleeast.com
TH E BAC K PAGE | FIVE MINUTES WITH...FIVE MINUTES WITH...WHAT ARE THE KEY TRENDS AT
PRESENT IN THE RETAIL LOGISTICS
SECTOR IN THE GCC?
The retail market in the GCC is changing
at a rapid pace. Consumers are increasingly
aware today and expect more from last mile
deliveries. The need to improve customer engagement across
all touch points has never been more important.
Technology is one of the biggest catalysts in shaping retail
logistics model in GCC; some key trends are:
Outsourcing to 3PLs vs In House Fleets: While significant
disruptions have matured the outsourcing last mile delivery
models, many GCC companies also realize the need for
in-house fleets. The care and customer satisfaction that
employees offer to a brands loyal customers cannot be
matched by outsourced fleets. The personalized real time
interactions with customers through in-app notifications,
Whatsapp and SMS engagement allows businesses to react
and serve their customers better.
Growing demand for home deliveries: Busy lifestyles, a
tech savvy culture and an increase in millennial and Gen Z
consumers fuels the demand for home deliveries. There is
increased pressure on retailers and e-tailers alike to fulfil
deliveries with the right user experience to retain todays
demanding customers. Express deliveries and same day
delivery demands are at an all-time high and customers are
willing to pay more for better service.
Big Data: Smartly positioned personalized promotions
backed by intelligent data yield far better ROI to GCC
businesses. The realization today to engage with the right
customers at the right time through the correct mediums
is critical to any retail operation. Omni channel approaches
are being adopted rapidly across the GCC to give ubiquitous
notifications, shipment tracking, Proof of Deliveries,
convenient scheduling and immediate customer satisfaction
surveys. A well-integrated and unified system allows retailers
to deliver unparalleled customer experience which can set a
business apart and enhance loyalty for repeat customers. Big
Data also helps retailers analyse delivery behaviours across
their channels for forecasting demand, evaluate trends and
improve operational efficiencies.
Reverse Logistics: Traditionally the costliest undertaking
for any retail logistics operation is the return process. While
return pickups are still being scheduled separately in GCC,
newer approaches in EU & Western countries adopt same
trip returns. Today’s consumer expects efficient deliveries at
their door step and expects the returns process to be just as
painless.
HOW ARE THESE TRENDS IMPACTING YOUR
CLIENT’S LOGISTICS OPERATIONS?
We constantly see our clients maturing their logistics
processes and trying different technologies to assist with
operational efficiencies. Monitoring response times at eachstep from orders origination,
pick & pack, load planning,
route optimizations, dispatch,
loading to final delivery, every
aspect of the logistics process is
constantly evolving. It’s a race
against the competition to give a
better customer experience and
fulfilling deliveries and return
requests in a seamless fashion.
Companies who excel in meeting
the growing needs of market
have a better chance of becoming
market leaders in their industry.
HOW ARE YOU INNOVATING
LAST MILE DELIVERIES
MANAGEMENT TO
MEET THE DEMANDS OF
DIGITISATION, INDUSTRY
4.0?
Mile as a platform is uniquely
positioned across several
industries i.e. Couriers, Cargo,
eTailers, Retailers, Bakeries,
Restaurants, Pharmacies,
Laundry companies etc., to help
Digitize everything that moves.
Mile consolidates orders from
multiple channels, digitizes back
office operations, allocates routes,FAWAD AHMED, CHIEF TECHNOLOGY
OFFICER, MILEFawad Ahmed, chief technology offi cer, Mile
prioritizes shipments, automates
load planning, provides
digital route optimizations,
evaluates zone behaviours and
recommends dispatch through AI
algorithms.
HOW THE IS THE RETAIL
LOGISTICS SECTOR
PERFORMING AT PRESENT?
THERE IS TALK OF A
DOWNTURN, ARE YOU
SEEING THIS?
Retail logistics is growing
rapidly in the GCC, businesses
across industries are enhancing
their delivery operations and
constantly evaluating the
dynamics of logistics operations
and how automation can help.
Outsourcing models are booming,
while insourcing of fleets is
making a comeback facilitating
the need more automation.
Reason is very simple, brands
want to have complete visibility
and control on a unified customer
experience, timely deliveries and
seamless data integration.
It’s a continuous evolution
moving forward.