Top 4 Reasons Why On-Time Delivery Is Important for Your Business

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Simply put, on-time delivery is important because no one likes to wait anymore.

People have become impatient. The sweet anticipation of waiting for a package from an online shopping spree to arrive has lost its charm.

Even a few years ago, it was still considered normal to wait for seven to 10 business days for an online order to arrive, but, thanks to technology, same-day, and next-day delivery have become commonplace.

So, people want faster services now and they are even ready to pay more for it.

According to a study, 80% of online shoppers in the US want same-day shipping options.

All this means that if you do not exceed your customers’ expectations by delivering their orders on time, you’ll dig a grave for your last-mile delivery business.

Here’s how this costly mistake can cost you:

  • Bad Customer Reviews

Remember, customers can always take their business elsewhere. If they don’t receive their deliveries on time, they’ll go to your competitors.

Worse still, they might leave your business a bad review online. Even one bad review can tarnish your reputation and lose you valuable business.

According to a report, 40% of consumers read just one to three reviews before forming an opinion, and 88% of consumers trust online reviews as much as they would a personal recommendation.

So, people no longer ask their friends and families for recommendations. Instead, they go online and use search engines to find reviews.

Don’t compromise on a huge customer base by taking your on-time delivery performance for granted.

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  • Lose Loyal Customers

You must already know how valuable a loyal customer is. They’ll repeat their orders as well as bring in new ones through referrals.

If you keep your existing customers happy, they’ll recommend your services to all their friends and families. Such word-of-mouth marketing is essential for businesses.

In fact, according to the statistics shared by the Wharton School of Business, the lifetime value of a new customer who comes through referral is 16% more than a customer earned without one.

In addition, a study by Oracle shows that 86% of consumers are even willing to pay more for a good experience.

ALSO READ: 5 Tips for Taking Customer Experience to the New Level

So, just by keeping your promise of on-time delivery, you’ll gain so much more than just a single happy customer.

You’ll get loyalty, referrals to more customers, and maybe even good online reviews.

Even if your charges are higher than your competitors, you can rest assured that your customers will not move away.

  • Loss of Valuable Bulk Business

A survey revealed that 59% of US companies felt that last-mile delivery is the most inefficient process in the entire supply chain.

While it is true that complex route mapping, customized services like delivering orders at a particular time, and other factors, such as the weather, make perfecting last-mile delivery a challenge, your end customers are unlikely to understand these factors if you can’t provide on-time delivery.

Also, your suppliers will cut ties with you if you’re a last-mile delivery partner and they receive bad reviews or complaints from their customers because you couldn’t provide on-time delivery.

They will move away and take their business to your competitors. You wouldn’t want that!

Becoming the delivery partner with a supplier is a huge deal because they provide regular bulk business, but if they go down because of you, you will lose out on this continuous flow of business.

Your reputation will suffer too and you’ll have a hard time making other suppliers trust you again.

ALSO READ: How Route Planning Can Help Your Brand’s Reputation

  • Expenses Will Shoot Up

If your drivers can’t make deliveries on time, then they’ll have to make up the difference somehow to make all the deliveries.

For example, the drivers might speed which puts them at risk of causing road mishaps.

That would not be good for your business or your drivers as you’ll need to pay a hefty amount in repairs, medical expenses, and legal costs. Such expenses could ruin your business.

Also, if your drivers don’t make deliveries on time, then customers might not be available to collect the packages.

So, your drivers will then need to make another round to make the same delivery which will affect the other deliveries too.

It will also increase your fuel expenses as well as other driver and associated expenses.

ALSO READ: Top 7 Must-Know Strategies for Reducing Fuel Costs

Moreover, if your drivers continuously can’t make deliveries on time, then you’ll have to hire additional drivers and buy new vehicles to complete all the deliveries.

This will be more evident when there’s a lot of deliveries to be made, especially during the holidays or festive season. It will ultimately damage your pocket and lower your profit margin.

You can’t even take up more delivery orders which means you’ll lose out on additional earning opportunities.

How to Achieve On-time Delivery?

With manual route planning, a lot of external factors, such as the weather conditions and traffic issues, are unaccounted for. Thus, it becomes difficult to live up to the promised ETAs.

So, one of the most practical ways to achieve on-time deliveries is to invest in the best route planner app for delivery drivers.

The best route planners take into account all kinds of factors, including time windows, avoidance zones, left turns, one ways, weather conditions, and traffic, to create the most efficient route for your drivers.

With such a good route app, you can ensure that your delivery drivers show up with the orders at your customers’ doorstep exactly on time, every time.

Read these on-time delivery tricks to understand in more detail how delivery scheduling software can help ensure your drivers never make delayed deliveries.

Want To See For Yourself How Route4Me Can Boost Your Profits?

Whether you want to slash the time it takes you to plan routes for your drivers, increase the number of stops they can make, or keep your customers satisfied knowing that your drivers show up on time… Route4Me helps you achieve that!

Click Here To Test Drive It! (FREE TRIAL)