It is no secret that the US delivery system is broken.
The rapid adoption of e-commerce since the start of pandemic coupled with the surge in demand during the holiday season have resulted in online retailers feeling a one-two punch. To further complicate matters, 15-40% of online purchases are returned, and it costs 17x the original shipping cost to replace a damaged shipment. Even with all of the effort that goes into delighting and acquiring customers, 80% of new customers will churn if they have a negative post-purchase experience. The online post purchase experience significantly impacts the customer’s propensity to continue to engage with a brand. This in turn directly impacts customer retention rate, revenue, and profit margins.
Yet from the brands’ point of view, everything that happens after the customer clicks “Buy” is a black hole. What is the order delivery status? Should the brand inform a customer that their package will be late? Were the packages delivered successfully today? Should the brand avoid a specific carrier who tends to drop the ball in a particular area? Is the package broken or damaged? Is it easy for the customer to reschedule delivery if they need to?
Being able to act proactively and answer these questions will not only reduce churn rate, but will also lead to customers spending more on future buys, increasing average order volume, sales and lifetime value.
However, the modern e-commerce logistics ecosystem is very complex and very fragmented. Tech enabled-3PLs such as Flexe and ShipBob provide inventory management, warehousing, and fulfillment. Companies like Skubana provide order management platforms for brands looking to achieve multi channel profitability. Shipping API companies such as Shippo and Easypost print labels for SMBs and have relationships with carriers to provide discounted prices. The list does not end here!
ShipHero and InfoPlus provide Warehouse Management software, while Onfleet and ShipHawk provide transportation management software. Returnly, Loop, and Happy Returns are the leading providers of “reverse logistics” or returns software. Route and Narvar are providing consumers with tracking functionality and insurance.
So what does all of this mean in practicality? What do each of these players do on a day to day basis and where do they fit into the overall logistics flow?
The answer is complicated, because virtually all of these players promise to provide brands with “heightened visibility” and commonly sell features that overlap across multiple categories listed above.
This is where Bond comes in.
In the past, operations and marketing managers have used a distinct set of tools, working in silos. Bond operationalizes logistics data in order to achieve better customer satisfaction and retention. It is a smart, dynamic operating system that sits at the intersection of customer service, logistics, and marketing in the modern commerce ecosystem.
With regard to customer experience, Bond allows customers to control, edit and track their order while being provided with a personalized and branded experience. Customers can communicate directly with couriers and are notified if there is any change or delay with their order. Customers also receive a text message shortly after receiving their package about their experience and willingness to recommend the product to another customer.
Bond’s back office dashboard gives CX teams a unified view of all the brand’s deliveries by aggregating the disparate operational processes in the post-purchase phase. This dashboard enables brands to filter by order status, carrier, or date. CX managers can directly edit and contact individual orders on the dashboard and take a proactive approach towards customer satisfaction. This tool is essential because many mistakes happen during the day: packages get sent to the wrong warehouse or the courier might deliver an item to the incorrect address. When these things happen, it is the brand’s job to be aware and not wait for an angry customer to complain or for the courier to notify them after it is too late.
Lastly, Bond’s decision making tools allow brands to determine exactly how your demand is being fulfilled, right down to the street. Brands can experiment and adapt to their consumption trends in real time, without any development resources. Carrier pricing models are complex and vary drastically depending on handling fees, fuel surcharges, the day of the week, and many, many more factors. Direct to consumer companies do not have the time or money to focus on this, making it essential to have a tool to not only see operations in real time, but also simulate operations depending on densities and demand volume. Bond’s efficiency analysis tools allow brands to stream to their data warehouse and measure any relevant metric – from sales to refunds to driver efficiency.
Bond does more than just unlock new and valuable data. With Bond, brands are able to harness that data to provide a step function improvement in experience. They can save time finding answers and increasing capacity and can mitigate operational errors to increase retention and customer satisfaction.