According to the Capgemini Research Institute, last-mile delivery accounts for 41% of total logistics costs, making it the most expensive part of the supply chain transportation. With such a significant financial burden, efficient delivery tracking has become essential for businesses aiming to streamline operations and enhance customer satisfaction. As a result, last-mile delivery tracking has emerged as a cornerstone of successful supply chain operations in logistics, where customers demand precision and speed.
Similarly, nearly three-quarters of civil contractors in the construction sector report supply chain issues impacting materials availability, leading to significant project delays. These statistics underscore the importance of delivery tracking systems, which not only streamline operations but also enhance customer satisfaction.
For businesses, delivery tracking is becoming more than just a logistics tool; it is now a critical piece of their operation to become more competitive. In a McKinsey report, both shippers and providers have grown their investments in digital logistics since 2020, with 93% planning on maintaining or increasing their spending over the next three years (Figure 1).
Why Does Delivery Tracking Matter?
- Building Customer Trust
In sectors like retail and e-commerce, where delivery delays can erode customer satisfaction, delivery tracking plays a pivotal role in building trust. Customers are no longer satisfied with vague delivery timelines within large intervals; they demand precise information on the whereabouts of their packages. According to a PwC report, 73% of customers say a positive delivery experience is critical to their overall satisfaction with a brand. By providing this transparency, businesses can reduce customer anxiety, boost loyalty, and differentiate themselves from competitors.
- Relieving Operational Inefficiencies and Enhancing Accountability
For high-tech and electronics businesses, delivery tracking offers visibility into the supply chain. These industries often deal with complex, global supplier networks and high-value components that require end-to-end tracking. A recent McKinsey survey revealed that 45% of companies lack visibility into their upstream supply chain, making it challenging to predict delays and manage disruptions effectively. Using a delivery tracking system, high-tech and electronics companies can address this gap through more visibility into shipments, enabling businesses to identify bottlenecks, optimize routes, and ensure timely deliveries.
Moreover, Deloitte’s Global Supply Chain Survey noted that companies utilizing real-time tracking systems see a 25% reduction in delivery delays. For the automotive sector, which heavily relies on high-tech and electronics components, supply chain disruptions resulted in $210 billion in lost revenue in 2021—a loss that can be mitigated by implementing effective tracking solutions. The ability to preempt delays and adjust logistics strategies in real-time is critical to maintaining competitiveness in these industries.
The Business Case for Delivery Tracking
For companies across industries, a robust delivery tracking solution can be a strategic investment that fuels growth and enhances visibility. In a competitive global market, real-time monitoring helps a mid-sized electronics manufacturer shipping components worldwide maintain consistent production schedules and avoid costly disruptions. By proactively addressing shipping delays or other logistical challenges, the company prevents financial losses and safeguards customer relationships. Ultimately, implementing an advanced delivery tracking system supports a strong reputation in a crowded marketplace, enabling the manufacturer to meet customer demands and stay ahead of the competition.
Supporting Innovation in Delivery Tracking
To help businesses achieve these outcomes, Sensitel has developed cutting-edge delivery tracking solutions. Our TrackAware platform combines GPS technology, real-time analytics, and intuitive dashboards to provide end-to-end visibility into the order, shipment and package delivery process. Whether it’s tracking high-value goods or managing last-mile logistics, TrackAware empowers businesses to deliver with precision and reliability.
If you are exploring how delivery tracking can transform your logistics operations, please contact Sensitel here. Delivery tracking isn’t just about knowing where your goods are; it’s about creating a seamless, transparent, and customer-centric supply chain that drives business success.