This framework is developed by a team of former McKinsey and Big 4 consultants. The presentation follows the headline-body-bumper slide format used by global consulting firms.
This product (Retail Strategy: The Last-Mile Exchange) is a 25-slide PPT PowerPoint presentation slide deck (PPT), which you can download immediately upon purchase.
Keeping up with the growing volume of e-commerce will require delivery companies to disrupt their long-standing business model. All this growth can bring some peril.
Retailers and transportation companies are now faced with challenges in this fast-changing marketplace. With the boom in e-commerce, companies must prepare to retool their retail strategy. Failing to do so will leave companies fall behind in competition.
This presentation provides the fundamental framework in gaining momentum in today’s 21st century retail. We began by discussing emerging trends (e.g. rise of local delivery, rise of the “last-mile”) that leads us to evolving to the Last-Mile Exchange.
The Last-Mile Exchanges represents a model that incorporates multiple customers, carriers, and retailers. More specifically, it will allow a dynamic pricing model to open to multiple retailers, targeting a host of consumers, bid on by a host of carriers.
An in-depth understanding of the Last-Mile Exchange will enable companies to effectively revolutionize their retail supply chain to meet increasing consumer demands. The Last-Mile Exchange Solution will keep retail vibrant, responsive, and efficient.
This deck also includes slide templates for you to use in your own business presentations.
This presentation delves into the intricacies of the Last-Mile Exchange, emphasizing the critical need for retailers and transportation providers to adapt to the evolving demands of e-commerce. It outlines a comprehensive approach to building a dynamic, multi-sided platform that seamlessly connects consumers, retailers, and carriers. The PPT highlights the importance of each stage in the Last-Mile Exchange, from the baseline purchase to the integration of multiple retailers. It also provides actionable insights into optimizing delivery processes and enhancing consumer engagement. This resource is essential for executives aiming to stay ahead in the competitive retail landscape.
This PPT slide presents an overview of the challenges associated with the Last-Mile delivery in e-commerce, emphasizing its critical role in the retail sales chain. It highlights that despite the growth of e-commerce, the underlying economic issues of Last-Mile logistics have remained unchanged since the late 1990s. The text suggests that many startups in the Internet space struggled or failed due to these persistent challenges.
Two key factors are identified as crucial for profitability in Last-Mile delivery. The first factor is the transportation provider's route density, which refers to the number of packages that can be delivered in a single delivery run. Higher route density typically leads to better efficiency and cost-effectiveness. The second factor is the drop size, which indicates how many packages or items are delivered at each stop. Both factors are essential for optimizing delivery operations and maintaining profitability.
The slide concludes with a call to action, suggesting that revolutionizing the delivery experience can significantly lower costs for consumers while simultaneously increasing margins for both retailers and transportation providers. This implies that there are strategic opportunities for companies willing to innovate in their delivery processes. The insights provided are valuable for stakeholders in the transportation and retail sectors, as they underscore the importance of addressing these fundamental issues to enhance operational efficiency and customer satisfaction.
This PPT slide outlines the evolving dynamics of package delivery in the context of the booming e-commerce sector. It contrasts traditional delivery methods with emerging strategies necessitated by changing consumer demands.
On the left side, the "Traditional Way of Delivering Packages" highlights the reliance on hub-and-spoke networks and large distribution centers. These systems were primarily designed for long-distance shipping, but are increasingly inadequate for the shorter, more frequent delivery needs driven by e-commerce growth. The text notes that trips under 50 miles are rising at a significant annual rate of 25%, indicating a shift in delivery patterns that traditional models struggle to accommodate. This section also mentions challenges in managing last-mile demand fluctuations, which can disrupt service efficiency.
The right side introduces a "New Delivery Approach," emphasizing a shift towards localized delivery solutions. Retailers are now hiring their own delivery staff and utilizing startups that crowdsource delivery resources. This approach allows for effective operation on a local scale, addressing the immediate needs of consumers. However, it also suggests that these new players may find it difficult to leverage geographic scale for broader efficiencies.
The concluding statement stresses the urgency for companies to develop improved last-mile delivery solutions, positioning this as a critical battleground in the ongoing competition for e-commerce supremacy. The slide effectively communicates the necessity for adaptation in delivery strategies to meet the evolving expectations of the market.
This PPT slide outlines the concept of the "Baseline Purchase," which is the initial interaction between a customer and a retailer during an online purchase. It emphasizes the importance of capturing the route of this purchase, which involves both the retailer and the carrier. The description highlights that the "from" and "to" addresses in an order are not just logistical details; they are critical data points that can inform various aspects of the retail process.
The process section clarifies that when a customer places an order online, the addresses involved provide valuable insights. This suggests that understanding these data points can enhance the overall shopping experience. The takeaway section presents 3 key insights. First, consumers are likely to encounter direct shopping incentives at the point of sale, which can enhance their purchasing decisions. Second, there are indirect incentives tied to delivery demand levels, indicating that retailers can optimize their offerings based on demand fluctuations. Lastly, consumers will gain greater visibility into the delivery process, which can improve their overall satisfaction and engagement with the retailer.
This slide effectively communicates the foundational stage of the purchasing journey, emphasizing the dual role of retailers and carriers in shaping customer experiences. By focusing on the initial purchase route, it sets the stage for understanding how data can be leveraged to enhance consumer engagement and streamline delivery processes. The insights provided are actionable, suggesting that retailers should consider how to better integrate consumer visibility and incentives into their strategies.
Stage 5 of the delivery model, referred to as the Last-Mile Exchange, signifies a transformative approach in retail logistics. This stage emphasizes a collaborative exchange that integrates various stakeholders, including multiple retailers, customers, and carriers. The core of this model is its dynamic pricing mechanism, which opens opportunities for retailers to engage with a diverse range of consumers while being serviced by numerous carriers.
The process outlined suggests that the Last-Mile Exchange is designed to enhance operational efficiency by allowing retailers to leverage a competitive bidding environment among carriers. This not only optimizes delivery costs, but also improves service levels, ultimately benefiting consumers through better pricing and faster delivery options.
The takeaway section highlights 2 critical insights. First, it suggests that the collective dynamics of this marketplace will lead to improved efficiency across the board. This is framed as a win-win scenario for retailers, carriers, and consumers alike. Second, it reassures retailers that they can maintain their unique online identities and storefronts, which is crucial for brand differentiation in a crowded market.
Overall, this stage represents a significant evolution in how last-mile delivery is approached, advocating for a more interconnected and efficient system that can adapt to the complexities of modern retail demands. The implications for potential customers are substantial, as adopting this model could lead to enhanced operational capabilities and a stronger market position.
This framework is developed by a team of former McKinsey and Big 4 consultants. The presentation follows the headline-body-bumper slide format used by global consulting firms.
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