Frequently Asked Questions

What are some tips for optimizing my delivery routes and schedules with logistics software?

Every business is different, but a few tips that you should consider are:

  1. Confirm the route optimization platform you’re using accounts for general factors like traffic patterns and delivery windows, as well as use-cases specific to your business like on-demand deliveries or routing multiple drivers to a single location for a service call. 
  2. Route optimization doesn’t just happen at the beginning of the route. Monitor real-time data and adjust routes dynamically throughout the day to account for issues your drivers face while en route.
  3. Implement geofencing and location tracking.
  4. Do you know if certain parts of the city always have traffic or if it takes longer to deliver to certain buildings? Use historical data to adjust your routes as you learn about your customers, city, drivers, and routes.
  5. Maintain accurate maps and address databases. This one might seem simple, but it’s the bedrock of good quality routes.
  6. Communicate with drivers using mobile apps. Stay in touch with your drivers so you know if you need to adjust routes or contact your customers to proactively fix issues.
  7. Continuously analyze and refine routes based on metrics.

What is logistics software?

Logistics software refers to specialized applications designed to streamline and optimize the various processes involved in the management and execution of supply chain operations. These include route planning, inventory management, real-time tracking, and data analytics.

Are delivery businesses profitable?

Yes! As the demand for local delivery services rises, so does the potential profit. This is reflected in wages and salaries. In the United States, the average salary for people working in delivery services is $96,039 per year. Home delivery drivers earn over $95,000 on average, and senior delivery managers earn over $110,000.

Of course there are no guarantees. As with any new business, the key to profitability is to identify the needs of your target market, then develop a viable business plan to meet those needs. Keeping your cost per delivery as low as possible will be crucial. But with the right combination of services, technology, and marketing strategies, your delivery business can capitalize on current market trends and maximize profitability.