A construction crew needs an electrical component that isn’t at the job site. The supplier has the part at a nearby regional warehouse, but it can’t get it to the crew that day. While the crew waits, work is delayed, the project timeline stretches, and costs rise.
Same-day delivery is often associated with consumer purchases, and 80% of consumers now expect retailers to offer it. With consumer demand rising, Amazon is reportedly planning to expand its same-day fulfillment network from 85 facilities to 1,000 by 2031.
But demand for faster B2B deliveries is also growing as businesses face more time-sensitive delivery needs — needs that are often not met.
While getting one part from a nearby warehouse to a job site may sound straightforward, supporting same-day deliveries at scale is a significant challenge. As local delivery needs grow, so can the complexity behind managing them.
Here are four signs your local same-day delivery strategy may not be keeping pace with your business needs.
Sign #1: You lack a centralized view of your same-day local delivery operation
For many businesses, working with multiple carriers is a practical way to gain the capacity and coverage needed to support same-day delivery. But when activity across those carriers isn’t connected through a centralized system, it can be difficult to see all your in-progress deliveries in one place.
Consider the visibility you have across your same-day operation:
● Can you quickly see the status of deliveries across locations and carriers?
● Do you have access to tracking information and performance data across those deliveries?
Without a centralized view, it becomes harder to assess how your same-day operation is performing.
Sign #2: Too much of your operation depends on manual coordination
Working with outside delivery partners doesn’t eliminate the work of managing them. When those partners aren’t integrated with your order and fulfillment systems, your team may have to manually coordinate across carriers and systems to keep deliveries moving.
Consider how much hands-on coordination your same-day operation requires:
● Does your team have to work with different carriers to arrange individual deliveries?
● Do employees have to move between systems to dispatch or monitor deliveries?
That workload can increase when a delivery doesn’t go according to plan. If a delivery is delayed or otherwise off track, your team may need to step in and coordinate directly with the carrier to resolve the issue.
Sign #3: Your same-day local delivery costs are difficult to predict
Working with multiple carriers can mean managing different contracts and pricing structures, each with its own rates and terms. What you pay for a delivery may depend on which carrier handles it, while surge pricing can introduce another layer of uncertainty. Together, these factors can make the cost of individual same-day deliveries more difficult to anticipate.
Consider how much certainty you have around what you’ll pay:
● How consistent are your delivery costs across carriers?
● How often does surge pricing make those costs harder to anticipate?
That uncertainty can make it harder to forecast your overall same-day delivery spend and plan budgets with confidence.
Sign #4: Every new need requires another workaround
Your same-day delivery needs can change as your operation grows. You may need more capacity during periods of higher demand or a different type of vehicle to accommodate a larger product. If your existing carrier network can’t meet those needs, adding another provider may seem like the simplest solution.
Consider how easily your current network can adapt:
● When a delivery requires a different vehicle, can your existing network accommodate it, or do you have to find another courier?
● When you need additional capacity, can your existing network provide it, or do you have to source another option?
For example, an existing courier may be able to handle most of your local orders but lack the vehicle needed for a larger product. Bringing in another provider solves the immediate problem, but a series of reasonable one-off fixes can ultimately create a much more complex delivery model.
Scale local delivery with FedEx SameDay Local
As your local same-day needs grow, the complexity of managing your delivery network doesn’t have to grow with them.
FedEx SameDay Local connects with your existing order and fulfillment systems through a single API integration. You get access to a network of local couriers with different vehicle types without needing to independently add and manage each carrier. Other benefits include:
● Automated dispatch and monitoring with FedEx technology that matches each order with the appropriate carrier and vehicle.
● A unified rate structure that provides greater cost predictability across deliveries.
● Proactive exception management and 24/7 support that reduce the burden on your team when a delivery goes off track.
● Consolidated reporting that centralizes your view of delivery activity and performance, so you don’t have to piece together information from different carriers.
Ready to scale local same-day delivery without scaling the complexity behind it? Connect with FedEx to explore how SameDay Local can support your operation.
FAQs on Same-Day Local Delivery
What is same-day local delivery for businesses?
Same-day local delivery enables businesses to deliver goods from a nearby store, warehouse, or other local facility to their destination within the same day. It can support consumer ecommerce orders as well as time-sensitive business deliveries, such as getting a critical part from a regional warehouse to a job site.
How does the same-day local delivery process work?
For same-day local delivery, a business arranges an order to be picked up from a nearby store, warehouse, or other facility and delivered to its destination that same day. Same-day delivery solutions can connect with a business’s existing order and fulfillment systems to coordinate the courier and vehicle, dispatch the delivery, and provide tracking through delivery.
What should businesses look for in a same-day local delivery solution?
Businesses should look for a solution that can support different delivery needs without requiring them to manage separate carrier relationships for each one. That means having access to sufficient carrier coverage and vehicle options, along with centralized tracking and reporting, integration with existing systems, and support for delivery exceptions.
What are some key factors for businesses to consider for same-day local delivery?
Businesses should consider the capacity and geographic coverage needed to support their same-day delivery volume, as well as whether different types of deliveries require different vehicles. Cost predictability, delivery visibility, and the amount of internal coordination required to manage the operation are also important factors.
