You might assume that all customers want their delivery as fast as possible. But when it comes to big and bulky goods, many customers prioritise convenience and precision over speed.
This means that retailers are under pressure to provide narrow customer-selected delivery slots at the point of sale.
The problem is, these slots are often based on historical averages with no relation to real capacity. On the day of delivery, retailers find themselves unable to keep their promise.
Here we’ll look at what makes big and bulky delivery so complicated. Then we’ll find out how dynamic delivery appointment scheduling helps retailers deliver on time at a lower cost.
Key takeaways:
Today we discuss:
In the market for furniture and white goods, competition is fierce. The same fridge, sofa, or television is often available from multiple retailers at the same price.
This makes customer experience the differentiator. Services such as installation and disposal of old items can tip the balance in favour of a sale.
In addition, customers expect to choose a precise delivery window that suits their schedule. That’s because drivers can’t leave bulky or valuable items unattended on the doorstep – especially if they require white-glove service or installation.
Imagine you’re ordering a new bed to align with a home move.
If the item arrives too early, you won’t be there. If it arrives too late, you’ll have nowhere to sleep. Ideally, you need the retailer to offer named-day delivery and a two- to four-hour window.
Most retailers estimate their delivery capacity – and therefore their delivery time slots – based on historical averages. Fixed slots are offered to customers without taking into account current capacity including cube, weight, distance, time and driver skillset.
This approach ignores the variability of big and bulky delivery. Delivering a set of light rattan garden furniture is faster than delivering a washing machine to a high-rise apartment. Equally, a simple drop off requires less time than an installation.
As a result, planners don’t know whether time windows are achievable until batch planning takes place. Normally, that’s just a day in advance of the delivery.
This three-step process (determining slots, making appointments, batch planning) inevitably leads to one of two scenarios:
With batch planning, you’re making a delivery promise to customers before you know the cost and feasibility of the route. This approach undermines profitability and puts a dent in customer satisfaction.
That’s where smart scheduling comes in. With Descartes, appointment scheduling and route optimisation take place at the same time.
The software generates slots dynamically based on the current route plan, true capacity, time, distance and order characteristics. Routes are optimised continuously as orders come in.
Each delivery slot is assigned a score based on criteria such as:
This allows you to show customers the most feasible, profitable, and environmentally friendly delivery slots. Retailers can also highlight cost-effective slots, or price slots dynamically - offering premium delivery options to customers who want them.
Smart scheduling makes it possible to offer convenient options for big and bulky deliveries, without compromising profitability.
The benefits of range from increased customer satisfaction through to tangible financial impacts, including:
Leading retailers use smart delivery appointment scheduling to offer cost-effective, convenient options to customers.
Wren Kitchens is UK-based luxury kitchen retailer. Before building a kitchen, Wren sends a surveyor to measure the customer’s space.
The retailer is using Descartes’ dynamic scheduling solution to improve surveyor productivity.
“With Descartes, now when a customer books an appointment, the comprehensive solution works in the background to automatically optimise surveyor schedules and travel routes to appointments,” explains Lee Holmes, Transport and Logistics Director at Wren Kitchens.
“This enables us to increase the number of appointments per day in an area, which not only lowers mileage and fuel consumption but also drives down the cost per appointment. Working with Descartes, we’ve saved 13% on annual fuel costs, which equates to approximately 354,000 fewer miles driven.”
With the solution, surveyors have been able to complete 56% more visits and significantly reduce the cost per appointment.
John Lewis + Partners set a goal that scheduling a delivery had to be easy, fast, and flexible. It also had to be profitable for the business.
To this end, the retailer lets customers choose the delivery slot at the point of sale. There are no delays between placing an order and scheduling the delivery.
“The advanced optimisation capabilities and architecture of the Descartes solutions were critical, bringing new delivery service options to our customers in an economically feasible way,” explained Andrew Gay, Systems Manager at John Lewis + Partners.
Convenient delivery slots are essential for items like furniture and appliances. But if these slots don’t reflect reality, retailers risk damaging customer experience and inflating delivery costs.
Smart scheduling solves this challenge by balancing convenience, feasibility and profitability. Customers can choose timely delivery windows that align with your business needs.
Contact us today to get started with smart scheduling.