How AI Driven Technology is shaping the Future of e-commerce and Logistics?
27th, December 2018 - Guest blog
As much as we love online shopping, it is needless to say that the sudden emergence of the different e-commerce companies has to lead to a significant decrease in the number of people actually going to a shop to buy something in need. Starting from grocery to furniture there is nothing that you don't get online. The intriguing idea that you don't need to get out of your blanket to get a hot chocolate on a cold winter morning, or don’t have to drive all the way to the mall to get your favorite dress, has skyrocketed the popularity of the concept.
But who makes this possible? Between all these, the thing that bridges the gap between the buyer and the seller is a logistic. Because let's be honest. Without a middleman delivering your product to your house, it would have been the same old technique of going and buying things of your own.
So without further delay let's understand that how these logistics are helping hundreds of e-commerce business to establish its presence, and how they are reducing the cultural difference between people. Read on…
What is logistics?
A logistics, true to its technical meaning, is a back-end chain supply management that acts a storehouse of different products sold by various companies. They pave the way through which different sellers all across the world obtains, stores, and ships their products to different destinations. The planning, execution, and control of product movement occur in a managed system inside these logistics so that you can get your product at your doorsteps.
The Advantages and Disadvantages
Bridging the gap
A logistics bridges the gap between buyer and seller and makes sure you get your product in hand. Through real-time tracking, easy customer support, dealing with the online buyer has been eased out like never before.
They are your single point of contact
These logistics possesses one of the largest benefits for different buyers and sellers across the world. They act as a single point of contact and holds the capability to take action during any sort of mismanagement. So if the customer is having any problem with their product, the seller will know who to contact to for clarification and damage control.
Maintained service quality
Whenever a company ties up with a single chain supplier, the service quality becomes consistent and trustworthy. These logistics carries out their work constantly and properly so that no product is returned after delivery.
The lack of communication
Frequent changing of the supply chain, or going for non-popular logistics often creates a big communication gap and makes both the seller and buyer suffer in the process. Mismatched communication often leads to delay in delivery and even worst, a wrong product delivery.
Poor management often leads to irregularities in system management. This decreases the service quality and creates a bad impression on the customers.
iThink: Changing the way people look at modern day logistics
E-commerce in India is growing every day, and they are not slowing down. But the sad truth is out of millions of customer deliveries, mishaps keep on happening and this is leading to a big loss of the seller in return.
Every other day, you come across some news of a misdelivered product. The recent news on how Sonakshi Sinha received a rock in place a mobile, is a shred of sheer evidence that be it a middle-class man or a celebrity, mismanagement can affect anyone. The fact is, that our money is on stake until we get the right product in our hand. Other than this, wrong address and false reasons from the delivery guy also leads to non-delivery of the product at times.
This is a just a single incident. Hundreds of such happenings keep occurring every day, and apart from the buyer and seller, the thing that is really suffering is the economy. The products return rates are rapidly increasing and it is actually shaking the base of the future of e-commerce.
So back in 2017, the founder Zaiba Sarang came up with the concept of a logistics process, with an aim to reduce the product return rates. She, along with four other young enthusiasts (Vipul Yadav, Paresh Parmar, Bharat Karotra and Nikul Dodiya), started building software that will provide access to multiple courier companies with an optimized logistics operation for different online sellers in India. By tying up with some of the major courier providers like FedEx, Delivery, Aramex, and Xpressbees, the company placed a setup that will ship products to above 25000 pin codes all across India.
They built a separate NDR team that will look after the cases where shipments are not delivered. Thus in order to prevent all sort of delivery issues, they started identifying the root cause of the problem, by contacting the customer, the delivery person, and the seller to ensure the right and on-time product delivery.
The feature that makes iThink stand out, is the implementation of the virtual calling assistance service through an AI-driven technology. Through this feature, the company executives coordinate with the customers prior to the delivery of all kind of products. Before a product is packed and shipped, the product description is confirmed with the customer. Only after final confirmation from the buyer’s end, the products are packed and shipped to the targeted address. And it has been seen that this concept has helped sellers to reduce the product return ratio to almost 15%. iThink not only act as a mediator but also a moderator, who is helping to build a better economic status for both the sellers and the buyers.
The root of all problems is the lack of proper communication. Hitting the right ground will not only increase revenue rates but will also prevent significant time loss. Our experts at iThink believe that you deserve tailored hands-on solution for your business growth. We are a conglomeration of the best brains, who allowed us in setting a benchmark as the most reliable and flexible 3rd party logistics in India.
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Madhurima is an SEO content writer writing for various niches in the last three years. Her article is focused on maintaining SEO rankings through proper research on Google Algorithms. She is also a website content writer and has been helping various business to grow better through high-quality content writing.