Reduce Transportation Costs by Optimizing Your Last Mile Logistics

When materials and components routinely cross thousands of miles in their supply chain, it seems implausible that the last tiny stretch of home delivery could pose a challenge or even increase your companies bottom line. However, last mile logistics presents an opportunity for not only balancing customer satisfaction but also reducing your transportation costs. Depending on order volume, that could add up to thousands or even millions of dollars in savings every year.

So how can you reduce Transportation Costs With Last Mile Logistics?

The first step starts with vetting and comparing your current or potential carriers that handle the last leg of delivery. Consider the value-added services that each carrier provides before ultimately making a decision. Here are some questions to consider to help narrow down your choices:

• Which carrier is most popular in my industry or specialty product range?
• Where does this carrier fall short? Can I count on them to come through for rural deliveries?
• Does this carrier offer automatic data I can pass on to my customer?
• Does this carrier offer features like automatic parcel insurance or signature receipt options?

If you still aren’t sure which carrier would work best for you, Millennium Logistics can help guide you in the right direction. Not only can we offer suggestions for routes and delivery options using your existing support network, but we can also make recommendations for building new distribution centers in excellent places.

Second, create transparency between your customer and your carrier. This isn’t just for your own company’s peace of mind; creating transparency, cuts down on customer service inquiries and frustration on the customer’s end. Technology alone can’t perfect your last mile, you’ll also need to incorporate proactive planning. Route planning, is the best way to develop realistic delivery timelines and select the most efficient driving route before packages ever hit the road.

Have more questions? Millennium Logistics is here to help, contact us today.