Most people agree that ecommerce is the future of retail. But have you considered that ecommerce wouldn’t be able to grow and thrive without a strong delivery parcel industry, which in turn is supported by the telematics industry?

How, you may ask, is telematics connected with my latest purchase on Amazon?

If shoppers are to receive their items in the shortest amount of time, the retailer needs to use a very efficient delivery company. As a result, delivery companies are under constant pressure to increase performance and reduce costs.

And this is where telematics comes into play.

Telematics solutions like Enigma’s can improve delivery times by providing valuable insights regarding traffic, navigation and delivery schedules. In this way fleet managers can analyse whether routes and journey timings can be modified to save time and reduce expenditure.

Also, when every driver logs details of each delivery in real-time, fleet managers can instantly rearrange vehicle schedules to pick up unexpected loads or compensate for accidents or breakdowns. The outcome is lower costs generated by journeys made without a load and an increase in overall profitability.

Telematics also provides information on how vehicles are being driven, allowing parcel companies to make informed decisions regarding driver training, fuel consumption and accident prevention.

At the same time, fleet managers can revisit each incident, assess the main causes and plan how to avoid the same situation happening again in the future, thus improving health and safety standards and protecting the company against false insurance claims.

There are maintenance advantages as well. Using telematics, delivery companies can monitor the status of vehicles, track component failure rate and proactively manage maintenance schedules to prevent downtime.

With all this data at hand, the business can negotiate lower premiums with its insurance providers and decrease the overall costs of running its fleet.

The final benefit of telematics, and one that many delivery companies potentially don’t consider in the beginning, is the significant improvement solutions bring to customer satisfaction. As the fleet’s overall performance improves, vehicles are able to make deliveries faster and customer complaints about late deliveries should diminish.

For more details on how we could help your business manage a highly efficient commercial fleet, please get in touch with our experts.

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