Logistics
Challenges of the logistics industry
The logistics industry is facing lots of different challenges. Some of the challenges are green logistics, digitalisation and global supply chain issues.
Data quality
How does poor data quality affect logistic processes and what can be done about it?
Global supply chains
Incorrect address data causes delivery delays. On top of delays, operating costs for failed deliveries are high: businesses will be charged for redelivery costs, customer service interaction, and will encounter future loss of sales.
Digitalisation
Businesses without a digitalisation strategy fall behind more innovative competitors. Poor data quality hampers automation and increases manual work.
Green logistics
Bad address data leads to failed deliveries and inefficient route planning. According to a McKinsey study, 66% of respondents consider sustainability when shopping. Customer trust declines, if environmental standards aren't met due to incorrect address data.
Last-mile logistics
Customers expect same- or next-day delivery nowadays. Failed deliveries negatively impact customer loyalty. With the right data and technology, logistic companies optimise efficiency and accuracy of their last-mile deliveries, gaining a competitive edge.
Rising costs
Incorrect data means higher operating costs: more returns = more staff. Qualified staff are often unavailable, the minimum wage increases cost pressure. Multiple trips cause higher energy consumption, affecting profitability.
Optimise your logistic process
Combining address, email, and phone number validation with geocoding offers key advantages to reduce rising operating costs due to faulty data:
Accurate address validation minimises undeliverable shipments and associated return costs.
Correctly validated email and phone numbers ensure timely communication about deliveries. This helps resolving issues quickly and avoiding returns.
Geocoding enables efficient route planning to reduce trips, minimise fuel consumption, and a lower carbon footprint.
Fewer returns and reduced manual efforts decrease the need for additional staff, cutting personnel costs.
These validation processes lead to significant savings in operating costs, strengthens profitability, and reduces financial pressure.
