The growth of the e-commerce region has given the logistics industry to develop and broaden its activities. E-commerce represents a rising share of the retail market. As per the findings of the report, total e-commerce sales for the Calendar year 2021 is $67-84 billion, up significantly from $52.57 billion attained in 2020, and $40.44 billion in 2019. The e-commerce sector has become stronger like never, ever since the pandemic. Let’s find out further about the impact of e-commerce on the logistics industry.

Enhanced focus on last-mile delivery

The online shopping trends have affected another essential service area of the logistics industry, namely last-mile delivery. Independent freight forwarders are boosting their last-mile delivery to compete with the services like Amazon.

Changing customer expectations

These days, consumers expect deliveries within one or two days if not the same day. The logistics companies are adjusting to the increasing delivery pressures to match customer expectations. This has led to an increasing alternative for single warehouse locations rather than multiple storage facilities. Freight forwarders are also changing their vehicle fleet composition to manage the demands of e-commerce. For example, they are now investing in small trucks and trailers that are more suitable for short and more last-mile deliveries.

Enhanced reverse logistics

Reverse logistics can refer to all post-sale activities that are done to enhance market activity. Online consumers often return and exchange the purchased items for several reasons, which is why the logistics companies are now coming up with helpful reverse logistics solutions in which customers don’t pay for the return.

Focus on visibility

End-to-end visibility of shipments is of utmost importance for seamless e-commerce operations. Most e-commerce retailers update their customers about the shipment status until they delivered it. Therefore, logistics service providers are now investing in a robust data sharing system along with effective fleet management and route optimization technologies.

Adoption of digitization

Using Big Data solutions in logistics has become indispensable in the post-pandemic world, where a vast section of consumers is buying their goods online and these platforms also help to create a better understanding of customer expectations. Handling Big Data is allowing freight forwarders to collect the required data and analyze it in real-time for better customer service. We are also witnessing a rise in using online payment methods via cards, mobiles, and net banking.

Requirement Based Packaging

With packaging, quite a few numbers of choices become available and you have the liberty to select the type of packaging material following your product. This is essential so that the product reaches the customer in an undamaged manner and completes a satisfying shopping experience. Here, the calculation of the shipping cost becomes crucial again and therefore makes sure that it aligns with such other respective factors.

Logistics systems crucial

Storage locations are increasing and spreading out. The ability to know where your items are, how many of them there are, and where they should be for greater efficiency is vital. To access critical data from a variety of locations, in close to real-time is a crucial element in the future of logistics. In a world where consumers desire same-day delivery, technology is essential to bring together all the elements of inventory, storage, packaging, and delivery.

Thus, the mounting popularity of eCommerce is no more a fantasy game; people know it, companies are working hard to survive in the race and the economy is progressing as well. When things roll at a high speed, the only concern remains the rate of survival. ECommerce industry will grow in leaps and bounds and with heavy potential and demand in the coming future too, logistics have to be equally active and emergent about new ideas and strategies.

Having a symbiotic understanding ratio between both logistics and eCommerce suggests that, if one is growing, the prospering chances of the other one automatically increase.