Executive Briefings

Pumping Money Into Omnichannel Won't Bring Success if 'Final Mile' Is Neglected

There's a glaring gap in today's omnichannel world. Or perhaps it's best described as a blind spot. In either case, as manufacturers, retailers and 3PLs invest millions of dollars to provide a truly seamless, fully integrated buying experience, many continue to overlook the significant costs and complexities of the "final mile" between DC and the consumer's front porch.

While integration of supply chain, inventory management, marketing and point-of-sale is critical to success in an omnichannel environment, final-mile delivery is often the most "customer facing" step in this chain and, as such, can severely impact the consumer's brand experience. Will the product be delivered when and where he or she needs it? Will the cost of delivery be reasonable? Will delivery include installation and setup, in the case of an appliance or electronic item, and will the delivery team have the necessary equipment, tools and skill? Failure to meet consumers' ever-increasing expectations can undermine the brand experience and, ultimately, harm your relationship with the retailer or other shipper.

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While integration of supply chain, inventory management, marketing and point-of-sale is critical to success in an omnichannel environment, final-mile delivery is often the most "customer facing" step in this chain and, as such, can severely impact the consumer's brand experience. Will the product be delivered when and where he or she needs it? Will the cost of delivery be reasonable? Will delivery include installation and setup, in the case of an appliance or electronic item, and will the delivery team have the necessary equipment, tools and skill? Failure to meet consumers' ever-increasing expectations can undermine the brand experience and, ultimately, harm your relationship with the retailer or other shipper.

Read Full Article