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Customer service in logistics for B2B and B2C businesses involves handling order fulfillment, delivery speed, quality, and cost. Logistics customer service is a part of a business’s overall customer service operation.
Now if your question is what is customer service in logistics management, then the answer would be providing constant updates to your customer about where his/her order is in the supply chain.
Here are a few examples of customer service in logistics:
- Monitoring shipments periodically from the warehouse to destination and regularly updating customers
- Informing customers if their orders are facing delay due to external circumstances
Importance of customer service in logistics
Quality customer service in logistics leads to transportation savings in the long term, faster delivery time, and happy customers. The primary goal of a logistics system is to meet customer expectations. These days customers expect to see an automated tracking system to monitor their order. As a result, automated shipment tracking becomes a key part of customer service. This reduces other operational costs like problem resolutions, customers calling for tracking updates, etc.
Here are some of the benefits of customer service in logistics:
- Builds brand image
Excellent customer service leads to customer satisfaction leading to an improved brand image. Positive delivery experience tends to garner positive online reviews from customers. This builds your brand reputation and paves way to more customers.
- Analyses feedback
A customer service desk will help you analyse positive and negative feedback about the delivery process. In case of negative feedback, you can solve the problem by creating a strategy to decrease the number of unsatisfied customers. You can analyse the feedback further to create a customer service strategy to improve the problem redressal.
- Paves way to repeat customers
Quick problem redressals and query resolutions can gain loyal customers. Customers believe that companies with quick customer response are more efficient when it comes to customer satisfaction.
Elements of customer service in logistics
Given below are the key elements of customer service in logistics:
- Delivery time
The company should be able to promise a delivery time that can be fulfilled. If it is a vendor ordering some items from you to replenish stock in his/her retail store, then the vendor would have calculated the lead time i.e., the time between placing the order and actual delivery. This is to fulfill the demand of the said product on time to keep his/her customers happy. You should accomplish order delivery within the lead time to ensure that the vendor becomes a repeat customer.
- Correct orders
Once the order is placed, you should ensure that the right order is being processed. The order might have other conditions attached to it like color, type, etc. All of this should be correctly followed while the order is being processed.
- Safe delivery
The package should reach the customer without any damage. This is especially necessary for bulk orders which are being sent to vendors who supply it to the end consumers. If the products arrive damaged, the customer cannot use the products. If the products are lost, you have not only lost your shipment but also a customer. Damaged delivery can lead to product returns which means added costs to initialise reverse logistics. Damaged goods aggravate several customers and affect inventory, production and marketing.
Customers expect to be updated about the location of their products once they have been dispatched. This helps them to manage time and get ready for the last mile delivery of the goods. Today, companies have signed up with logistics partners to arm their customers with online order tracking which decreases a huge workload for the companies. These partners are responsible for providing customers with a clear explanation for when they will receive a product and why an order might be delayed. This ensures a smooth customer journey.
How to improve customer service in logistics?
Since the boom of e-Commerce shopping, there has been a growing line of customers demanding temporary storage, quick delivery, etc. This change in trend in the logistics sector have forced the industry to adopt new technologies and methods for customer service including demand chain management, resource planning, reverse logistics, demand driven logistics, green logistics, customer focused manufacturing, etc.
Here are a few methods to improve customer service in logistics:
- Facilitate seamless picking and packing of all orders.
- Select transportation modes and routes carefully.
- Automate timing/location updates, rate quotes, pick-up scheduling and current transit times with Interactive Voice Response or online shipment tracking.
- Send notifications to customers and respective personnel about weather alerts, changes in schedules, etc., to avoid roadblocks.
- Check the average response time and try to shorten it by improving contact center visibility to the customer.
- Continuously improve policies and approaches after analysing customer feedback data to create more efficient logistics strategies.
- Encourage customers to give feedback about the delivery experience and what can be improved.
- Make sure that all the confidential customer information and payment transactions are protected to avoid any data breach.
High levels of customer service in logistics depend on high rates of order fulfillment, speed and frequency of delivery, inventory visibility, on-time delivery, condition of product on delivery, and accurate documentation. There are many companies that opt for logistics outsourcing which means an external company will provide them all the necessary logistics services including customer service for logistics operations.
Platforms like Logistics from Tata nexarc hosts many trusted logistics companies in India like Delhivery, Gati, Rivigo, etc., that can expertly handle all your logistics related operations seamlessly for improved customer satisfaction. We offer logistics services at the best prices to over 19,000+ PIN codes in India.