Researching the history of logistics is required. As one of the biggest industries in the world, logistics includes a dozen different industries, including shipping, warehousing, and storage. Logistics, according to experts, is the economically advantageous process that includes clever planning, execution, and control over the storage and transit of products from the maker to the end user.
Currently, logistics is a complex and sophisticated operation. However, it had a solitary and noticeably understated beginning. Let’s start at the beginning and explore the history of logistics and its influence on international trade.
What Is Logistics’ History?
The late 19th century is when the three-syllable term “logistics” first appeared. It was Antoine Henri Jomini’s book “The Art of War” that popularized the French word “logistique,” paving the way for its English translation to become widely known in the years to come. The definition of “logistique” in Jomini’s book related to the methods for sending troops and weapons to a theatre of conflict. Throughout the Second World War, the French employed this phrase, which was eventually pronounced as “military logistics.”
Between the mediaeval ages and the current digital era, the meaning of the supply chain has continually changed. However, it was during this period of transition that logistics emerged and began to make a name for itself.
Military to Business Logistics Evolution
Military logistics was the first to enter the picture because the term “logistics” was officially coined during World War I (1914–1918). Prior to World War II, “Logistikas” oversaw the transportation and storage of supplies, but after the war, “Logistics Officers” took their position and the phrase gained popularity. Moving ammunition and pertinent military equipment to the locations where it was needed was the main focus of military logistics. It dealt with a wide range of factors, including the overall cost forecast, material consumption, and the expected future requirements.
On the other hand, business logistics, which refers to having the appropriate thing in the right amount at the right time, location, price, quality, and finally, to the right client, emerged with the growing complexity in supply trade throughout the 1960s. Business logistics has continuously changed since its inception, giving birth to different complications (running a global supply chain), and equally, requiring accretion, in contrast to military logistics, which has remained mostly static in its process (supply chain logisticians).
Progress in Ecommerce Logistics
The logistics sector has seen a transformation in the last 50 years. Direct delivery began to replace many retail locations in the year 1970, before the Internet. Deliveries sent directly from suppliers or wholesalers, as opposed to retailers, were referred to as “direct deliveries.”
Retailers needed to make a modification as a result of this new trade module. The merchants started centralising store deliveries a decade later, in the early 1980s, by building their own distribution facilities. The logistics sector has grown rapidly as a result of more reliable transportation and supply chain management.
The international commerce of non-food items began in 1990, enabling merchants to set up their own import centres for hassle-free import delivery. The supply chain was already difficult enough before the idea of eCommerce emerged a few years later. When eCommerce first appeared, merchants were forced to make further changes to their distribution system to keep up with the progressively increasing demand from end users.
The thought of ordering goods online and having them delivered to their homes appealed to end users. The fact that e-commerce is currently booming is due to high demand and the excellent services provided by logistics providers. Every year, sales have increased in the sector, and the economy has advanced to the point where it is difficult to imagine the current eCommerce system operating without reliable logistics services.
What are eCommerce Logistics Companies?
Demand always drives supply, and as eCommerce companies have developed quickly into global behemoths, so have their needs for supply-chain management, transportation, distribution, and inventory control.
This is where the value of logistics providers for e-commerce really shines. eCommerce logistics businesses have developed as well to service this expanding international sector that operates across borders. From only being last-mile logistics and delivery service providers, they have developed into supply-chain partners. Third-party logistics providers, or “3PLs,” are the common name for these e-commerce logistics businesses that specialise in this sort of service.
When e-commerce companies work with logistics providers, they offload a variety of critical company operations to them, such as order fulfillment, inventory control, e-commerce warehousing, order returns, and customer service.
As a result of the eCommerce platforms’ explosive expansion, D2C (direct-to-consumer) brands have emerged as a result. Since these brands don’t have any brick-and-mortar locations, they rely heavily on working with e-commerce logistics companies to serve as their fulfilment partners. They only have contact with their customers through these eCommerce logistics businesses (outside of the platform for accepting orders).
It is your responsibility to choose the finest logistics firms in India that best meet your needs from among the many flexible and sizable operations that the top logistics providers for e-commerce have to serve eCommerce enterprises of all sizes. You would do well to keep in mind that whilst superior logistics providers for e-commerce will assist you in managing your supply chain, drop shipping, and order fulfillment, the very best ones will aid in supply-chain optimization and improvement.
What Services Do Top eCommerce Logistics Companies Provide?
The top logistics providers for e-commerce that fight for the finest customers and have sizable market shares have some important traits in common, as is usual in other sectors and ecosystems. That is to be anticipated because these businesses have established themselves as leaders in their respective fields by implementing the best practises, and this is what you need to look for.
Tracking systems
There are many moving pieces in the logistics and distribution sector, as well as the enormous and intricate supply-chain networks they run. The best logistics companies ensure that every movement is tracked and have complete insight into every aspect of their operations in real-time.
Modern eCommerce logistics firms utilise cutting-edge technology, tracking systems, and inventory trackers to keep a comprehensive and in-depth picture of their current orders and continuous deliveries received from different channels. As a result, you are aware of your inventory levels and order statuses in real time (completed, delayed, returned, to be fulfilled, etc.).
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Modern technologies
The logical extension of the previous argument is that the best e-commerce logistics businesses are fully outfitted with the most recent technologies. Their systems are powered by tools like data analytics, artificial intelligence, machine learning, and cloud software. All of these methods and technologies are designed to reduce the reliance on manual labour and automate laborious and time-consuming tasks throughout the whole supply chain network.
The good news is that the ecosystem as a whole runs at an exceptionally high degree of efficiency since all actors within it (at least the top ones) have embraced contemporary technology that is adaptive and interconnected across multiple phases of the supply-chain network. Users like you can keep an eye on everything from one single spot.
Route optimization to increase effectiveness
Leading e-commerce logistics firms are always looking for ways to streamline their operations, increase delivery dependability, save costs, and shorten turnaround times, etc. As a result, they largely rely on delivery management software to optimise their routes.
They may provide a service that is affordable, effective, and dependable by determining the “optimal path” to carry products from the storage site to the delivery point. Remember that the “best route” is not the shortest, cheapest, or fastest one; rather, it is the one that best balances all the other factors. This significantly increases client loyalty, which is a crucial sign of a successful, long-lasting company.
Excellent customer service
Customers that are pleased and satisfied are any company’s lifeblood. Additionally, omnichannel customer care solutions are used by shipping businesses for eCommerce to ensure that they approach this as a concluding statistic. Due to the changing nature of client needs, this is particularly crucial nowadays. They desire constant communication in the current, highly linked world and real-time tracking of their packages at all times (etc.).
The decision to work with the right logistics provider for eCommerce is crucial and should not be rushed. Due diligence must be done thoroughly because there are many factors to take into account when choosing your logistics partner. These range from those that are exclusive to the sector to those that are company-specific.
The number of pin codes obtained
Although having more pin codes served by your logistics partner is usually a plus, you must start with your requirements. You do not need this if you anticipate that a small number of pin codes will account for the majority of your orders. Prior to anything else, be sure your logistics partner effectively services the places you need to reach. As opposed to metro areas, your clients can mostly reside in tier I and tier II communities. So choose your eCommerce logistics providers wisely.
Visibility in real time
In today’s environment, everything is tracked in real time. Everything is quick and on-demand. Today’s consumer is dissatisfied with the standard “your purchase is out for delivery” message; he wants to be able to monitor his box in real time and receive regular updates on its status. This has become an essential component of ensuring client happiness, and e-commerce logistics businesses must be able to supply it. GPS-enabled delivery management software, for example, assists businesses in maintaining this visibility.
Service-level-agreements (SLAs)
This is a lengthy list given the huge diversity of services provided by logistics providers for e-commerce. Naturally, they can be core services (e.g., cash delivery, next-day delivery) or other unique delivery services, such as customised packing, hyper-local delivery, and time-sensitive delivery (etc.) Each service has its own price, delivery terms and conditions, and rates. Negating a package price may be beneficial in lowering your delivery expenses. However, you must first understand your criteria, such as order volume, weight, value, and fragility (etc.).
Speed
Customers, particularly those who shop online, have swiftly changed. Consumers increasingly take this for granted since eCommerce giants like Amazon promise lightning-fast delivery times. They also want options, customization, and real-time updates in addition to all of the above. However, your eCommerce logistics business must offer the same level of delivery speed as your rivals. Customers will move to your competition if you cannot stay up. Depending on the shipping costs and delivery times, you should be able to rule out certain possibilities.
Return-order administration
Order refunds are regrettably an inevitable part of operating an internet business. While it will never totally disappear, the key is to keep the amount as low as possible so that it does not significantly increase your operational costs or lead to dissatisfied clients. Some eCommerce logistics firms tout order-return management as one of their key competencies and are masters at handling it, from picking up the package to redelivering it or issuing a reimbursement. They also manage associated problems like stalled or delayed shipments with efficiency. This becomes especially crucial if your business is big in the eCommerce space or is expanding quickly.
Infrastructure
Fewer commodities are destroyed while in transit when contemporary infrastructures like temperature-controlled delivery vans or specialised, resilient, moisture-proof packaging are used. A logistics provider for eCommerce that provides these services may be more expensive than others, but depending on the kind of goods you sell, how far they need to go, what kind of roads they need to travel over, etc., this strategy could be wise. Your entire cost of operations will decrease as a result of the sharp decline in the price of breakage, theft, and transportation damage. A strong history in this area also aids in lowering your insurance rate, which further lowers your expenses.
Software for Last-Mile Delivery
As was already established, route optimization is a key component of the logistics industry. If an e-commerce logistics company can optimise the delivery routes by balancing out several factors, such as the number of deliveries on a route, grouping similar deliveries by weight, destination, and time, etc., it results in a significantly lower cost of operation, including significantly reduced fuel consumption, which is one of the most expensive line-items for logistics companies. As a result, not only is your customer pleased with the quick arrival, but you can also provide them with affordable shipping costs.
Secure delivery
You could wish to provide guaranteed and protected delivery for your clients’ protection and comfort. This has developed into being very helpful for e-commerce businesses and their clients.
For instance, specialised services like white-glove delivery, which is frequently employed for unique cargo like big, bulky, fragile, or high-value products (such as pricey large-screen TVs), take extremely careful procedures while delivering these specialised goods. Customers are willing to spend more to guarantee that their items are delivered securely, and by giving them a variety of delivery choices, you increase your profit.
Previous performance
You should use its prior performance scorecard as a beginning point in your quest for the top logistics suppliers. When all is said and done, performance is what counts. Even though a logistics company may possess a number of critical components necessary for reliable performance, these attributes are of little use if they cannot effectively combine them all.
They could, for instance, exhibit bad leadership. or have high labour turnover. They speak with their customers, both present and past, as well as their suppliers, vendors, and value-chain partners. Check out consumer forums and online reviews. You can tell right away if they can actually walk the talk. Since the top logistics companies have been in business for a while, finding the information you need should be simple.
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WareIQ
It is a category-defining, best-in-class full-stack eCommerce fulfilment tech platform for contemporary firms to speed up online sales, revenue growth, and profitability with same-or next-day delivery. It has a built-in inventory planning, order management, and shipping system. We may potentially transform the course of your business by not just lowering your logistical expenses but also shortening delivery times.
For all of your e-commerce activities, WareIQ provides a centralised technology platform.Intelligent inventory placement and efficient warehouse network design using an ML-based prediction engine.
Centralized platform for primary shipping and fulfillment tasks, Applications for after-shipping for a pleasant experience and zero to minimal supply chain leakages, Today, over 300 businesses have used WareIQ to take control of their logistics and fulfilment in order to generate significant money and improve customer happiness. Their technology platform, WareIQ Rush, offers same-day delivery.
With the use of this platform, WareIQ hopes to assist online vendors in providing same-day delivery in each of India’s main cities with a plus 99% fulfilment rate, using a network of fulfilment centres and micro-fulfillment centres.
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Ecom Express
Ecom Express is an end-to-end technology-enabled logistics service firm that offers a wide range of e-commerce logistics services. It was founded in 2012 by a group of individuals with a combined expertise of more than 100 years in the logistics and distribution sector.
Express delivery, fulfilment services, door-step compliance, and value-added services are just a few of the services it provides. Leading Indian internet portals are served by it. Since Ecom Express offers extra video security options, it is a popular alternative for businesses that transport high-value packages.
It offers a comprehensive coverage strategy for eCommerce businesses and serves over 2,400 cities and towns, over 27,000 pin codes, and 20 states in India. At the moment, it has more than 36,000 employees. Their rapid shipping service promises a 72-hour turnaround on orders. Additionally, it offers doorstep quality inspections for its order-return service and a 72-hour return guarantee.
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XpressBees
XpressBees, which was founded in 2015, has developed into a significant Indian player in the logistics sector. It provides services to many different items and sectors, such as medicine and heavy machinery. It keeps up a vast network of fulfilment facilities. One of India’s top-performing e-commerce logistics providers, it offers full supply chain management services.
They have consistently maintained yearly revenue growth of 100% since our establishment. It has a hundred or more distribution centers. With 13,000+ kilometres of coverage, it has pin codes. It has 2,800 offices and more than 30,000 employees. Its solutions include cross-border customs clearances and rapid delivery.
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Shadowfax
Shadowfax, which was founded in 2015, has established itself as one of India’s leading 3PL service providers and works with a wide range of domestic and international businesses. They may pick up packages from markets and warehouse sites, earning a reputation for their quick delivery services.It employs more than 150,000 people and has pin code coverage of more than 7,000 kilometres. It provides unique services including on-demand, expedited, COD, hyperlocal, and in-transit storage in the first and final miles. Additionally, it accepts cashless transactions for doorstep delivery.
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Trackon
Trackon has expanded quickly from its modest beginnings in 2002, when it had only two facilities in Delhi and Mumbai. They have about two decades of expertise, a topline of over Rs. 240 crores, and they primarily target the northern region of India. Additionally, they offer services across South Asia. They provide services including reverse pickup options; air and surface expedited freight, and cash on delivery. It has more than 4,000 offices all throughout India and 5,000 miles of pin code coverage.It employs 10,000 people and serves 47 cities. Over 2 lakh shipments are made there each day.
Its services include Prime Track, which was introduced in 2010 and is the company’s premier premium service for time-sensitive and expensive packages that guarantees prompt delivery. In addition to surface and air modes, there is also a free pickup service.
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Dotzot
Dotzot claims to be the first all-India delivery logistics provider that has concentrated on e-commerce. It was established in 2013 as the logistics division of DTDC. By continuously concentrating (and improving) on their procedures, technology, and design, they want to improve the fulfilment experience for online consumers.
It claims to be the first network in India to provide home delivery, order-return services, and shop pickup. It covers more than 10,000 miles using pin codes. It maintains 1,000 shops, has 180 offices, and serves 10 major Indian cities. More than 8,400 individuals are employed by it, and 10,000 channel partners work together, million customers are served either at pickup places or at their homes. It provides full order fulfilment services, including package collection, shipping, tracking, and return order fulfillment.
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BlueDart
BlueDart is an Indian eCommerce logistics and distribution firm that was established in 1983. It offers courier services, is a titan in the fulfilment and delivery industry, and has a sizable network throughout India. Its main office is in Mumbai, Maharashtra.
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It has 275,000 employees worldwide and 12,200 employees in India.
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It includes more than 220 nations worldwide.
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In India, it covers more than 35,000 miles of pin codes.
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It provides unique services, including planned delivery, where clients can pick the time and date of delivery; COD; customised packaging; EPOD (electronic proof-of-delivery); and expedited delivery.
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Aramex
Aramex is an international delivery, courier service, package delivery, and storage company with its headquarters in Dubai and was founded in 1982. It has had significant growth since its founding and is a well-liked logistics company in India. It is the first firm from the Arab world to list on NASDAQ. In 1982, the business was established in Amman, Jordan. For companies with their own warehouses, it provides facilities management. It provides warehouse facilities for MSEs and smaller businesses (medium-sized enterprises). On big orders, it provides flexible pricing (by volume). It provides drop shipping services and online order tracking.
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Gati
An eCommerce logistics business with its main office in Mumbai is called Gati Ltd. Due to the fact that it started its voyage in 1989, more than four decades ago, it is a well-known participant in this sector. It is one of India’s oldest logistics companies. End-to-end logistics are offered for ecommerce fulfillment. They provide a variety of service packages from which you may select. Air express and ground logistics, supply chain and warehouse management, air freight, and e-commerce services are all provided.
All of India’s main states have offices for Gati. It makes the claim to be India’s first express delivery company. More than 17,000 pin codes and 99% of states are covered. It provides many services at various pricing tiers. Services to a variety of B2B, B2C, and C2C businesses, Heavyweight shipments, expedited delivery, EPOD (electronic proof-of-delivery), customised packaging, and time-scheduled delivery are among the services it provides. Additionally, it provides high-surface freight, COD, and AM-PM delivery.
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Rivigo
Rivigo just started working in eCommerce logistics in 2014, but since then, it has grown to become one of the most well-known and dependable logistics partners in India. It is a technological firm that has become a significant participant in the market and whose objective is to offer logistical services to a large group of e-commerce vendors.
Rivigo is utilising a ground-breaking relay concept to address the real issue of a lack of truck drivers. It has more than 15,000 delivery partners and more than 100,000 employees. With more than 29,000 pin codes, it covers more than 4,000 cities in India. Leading companies like ITC, Maruti Suzuki, Flipkart, Hero MotoCorp, and others have worked with it. You may select from COD, UPI, prepaid orders, or payment during delivery since it offers simple payment choices. Their API is known for its lightning-fast delivery.
Additionally, fast and hyper local services are offered. It provides solutions for crowdsourcing and route optimization to help eCommerce businesses lower shipping expenses. Relay trucking, expedited shipping, specialized security, FTL, LTL, and customs clearing are among the services it provides.
The present logistics environment
The development of technology has an impact on every part of our lives. The epidemic outbreak had an effect on client sentiment in addition to speeding the metamorphosis of the eCommerce assiduity. For the delivery conditions of online merchandisers, logistics businesses pushed themselves to become more technologically smart.
The limits of technology are being pushed, and it’s altering how society does business. We are used to having everything at our fingertips and available online these days. You may now admit a package more than an hour after placing an online order, depending on where you live. Advanced technology has dropped costs and miscalculations while adding force chain productivity.
The whole logistics assiduity benefits from these developments, including freight transportation, transnational shipping( ocean and air), force chain operation, and weight monitoring. In order to manage the force chains of online businesses as efficiently as possible, companies have started integrating slice-edge technology into their platform’s capabilities, such as artificial intelligence, machine literacy, the Internet of effects, and robotization.
Ultramodern technology use is advancing the logistics sector in India. It makes it possible to compare shipping costs from several carriers on a single platform; use pall calling for order evidence; track packages in real-time; and choose the most cost-effective carrier partner depending on a variety of factors.
The use of platforms for next-generation logistics planning by businesses allows for informed, visionary decisions. For error-free, quick, and effective dispatching, AI/ML-powered systems have streamlined first-afar to last-afar optimization and robotization. As a result, they’re removing logistical backups, raising productivity, and slicing charges by over 20 percent by adroitly managing business unpredictability and resource optimization. Learning chops powered by AI may continuously give value. Technology aids in the digitization of delivery processes, real-time visibility, and SLA compliance dimensions, all of which increase client satisfaction.
It opens up new opportunities to achieve advantages, including data-driven choices, real-time change operation, digital delivery process robotization, flawless motorist-director collaboration, Track & Trace, control palace, ETA, assuring less cooperation, and assessing compliance. Process upgrades lead to a thorough ETA analysis.
Logistics and e-commerce are almost easy in the commercial world, and one is meaningless without the other. India is a large country with a population of about 1.4 billion people. As a result of its rich creative diversity, the country stages a wide range of carnivals throughout the year.
Because e-commerce has established itself as the go-to resource for all ethnicities for these events, it stands to reason that we require logistics. Conclusion The eCommerce industry is sweeping the world and developing in almost every aspect of its diverse variety of consumer products, from fashion and accessories to electrical goods and consumables. The supply chain’s fluid, perfect inflow, reminiscent of its early days, is the driving force behind the eCommerce system’s core.
edited and proofread by nikita sharma
