HIGH VOLUME E-COMMERCE CUSTOMER
Online wellness business with clients across Australia and New Zealand. The requirement was to supply express shipping between AU and NZ – and identify ways to reduce costs and transit time
TRANSPORT COSTS AU-NZ
Our high-volume e-commerce client distributes health and wellness products to over 3 500 client delivery points across New Zealand every month. With their distribution centre based in Melbourne, the operation requires significant accountability and visibility for all shipments.
Customers require visibility of the whereabouts of their order once it has been dispatched. The lack of visibility with the previous supplier meant a large number of customer queries and with a time zone difference inquiries could not be responded to in a timely manner.
We selected a carrier that provided milestone scanning, visible online and proactively notified both our client and their customers by updating them of delivery status. In addition, each delivery was automatically linked with a time & date of physical drop point on Google maps via a TMS.
For all deliveries, automated proof of delivery became the service standard. This was complemented by an innovative pricing model that matched the client's average shipment size, rather than charging in the traditional weight break categories for the courier shipments.
This ensured the customer was only charged for what they were actually sending.
Our client now enjoys a delivery performance above 98% (for deliveries on time and in full) on a weekly basis between Australia and New Zealand. Furthermore, a reduction in both call volumes from clients and a reduction in time required to manage freight queries has been realised through the improved transparency of services.
A simplified rate tariff has meant our client now only pays for the weight they send and the flow on effect has been a reduction in transport costs of 16.7% pa.