Mastering last-mile delivery: How courier delivery software is a must-have for modern courier companies
What is courier delivery software?
E-commerce has rapidly grown, and the courier delivery business is booming. Nevertheless, with the growth of the courier delivery sector, the competition has become more demanding. Customers think of same-day deliveries, the possibility to track their order throughout the delivery cycle, free shipping, shipment to multiple locations, and much more as a must when ordering online. Making all this possible for delivery companies is not easy and can become even more complex as the number of customers and orders increases.
To stay on top of the competition, courier companies need a well-functioning system that automates work and saves both working time and money by optimising processes. This is where courier delivery software comes into play. Courier delivery software or courier delivery management system (CMS) is developed to simplify courier management and routing. All courier delivery businesses know how difficult it is to manually plan optimal routes across delivery areas. This is known as the “Travelling Salesman Problem,” which is what courier delivery software is set out to solve.
A professional courier delivery system helps to automate and optimise the many processes involved with running a delivery company:
- planning and optimising of delivery routes,
- courier scheduling and tracking,
- delivery tracking during the delivery process,
- updating customers,
- analysing delivery performance.
In today’s world, courier delivery software plays a crucial role in efficiently scheduling pick-ups and deliveries and helping companies run a profitable and competitive logistics company.
That is where transportation management software, or TMS, becomes vital. TMS simplifies the tasks of booking and optimising loads, planning routes, managing deliveries, and supervising the entire supply chain. The market for TMS is expected to reach $33.3 billion by 2028.
Investing in transport management software could be a game-changer for your company, saving time and money, all while enhancing customer satisfaction. This guide spotlights the foremost transportation management software available in the current market.
Feel free to jump directly to our list if you are pressed for time and cannot delve into our comprehensive research.
How courier delivery has changed for courier companies
Over the last decade, the transportation industry has undergone significant changes. This is due primarily to the rapid development of technology, the spread of internet connectivity and the boost of e-commerce. Increased attention to the impact of transport companies’ activities on the environment and the COVID pandemic has also significantly affected the courier industry. Thus, companies can offer courier services to more customers globally. However, at the same time, the changing world also requires companies to take steps to become more environmentally friendly and more considerate of customers’ wishes.
Today, courier companies aim to offer the best customer service on the market to as many customers as possible while minimising the cost of last-mile delivery. In addition to everything else, the growing demand for environmentally friendly delivery cannot be underestimated.
All this cannot be achieved without help from technology, which is why so many courier companies are looking for ways to successfully implement professional courier software in their work.
What are the challenges for courier companies?
Since 2020 and the COVID outbreak, courier companies have had to cope with the increased demand and the particular requirements for delivering goods due to the pandemic. The business has also become more competitive, and it is not easy to keep up with the big players like FedEx, DHL and UPS, which are constantly raising customer expectations.
Let us examine the top challenges in the courier industry and ways to solve them:
1) Problems managing increasing orders
More orders mean more deliveries and a more significant income for your company. Sounds great, but can your courier company manage the deliveries without compromising the speed and quality of delivery? If your customers are unhappy, word about it will go around fast.
Managing increasing orders is vital for the growth of your business, but it also means you need to do your work smarter than before. Having a professional courier delivery system to handle the increased work is imperative.
2) Delayed deliveries
Ordering online is fun; we all know that feeling when you cannot wait for your order to arrive! It is a real bummer when the package is delayed, and surveys show that many customers discontinue purchasing from a band when they have had a bad experience due to waiting time.
Fast and low-cost deliveries are the key to the customer’s heart, but managing on-time deliveries is also one of the biggest challenges for courier companies. Fortunately, planning optimal (fast and cheaper for both you and your clientele) delivery routes and providing customers with a realistic ETA is much easier with the help of good courier delivery software.
3) Lack of visibility
Customers expect to be updated on their delivery status, so not providing that option for them is a big no-no for courier companies that want to stay competitive. That is why investing in professional courier delivery software that allows you to stay connected with your customers is a must.
The best courier delivery software allows customers to track their delivery throughout the delivery cycle and even see the exact location of the courier and an estimated delivery time with the help of GPS tracking. This allows customers to plan their day better and arrive at the pick-up point when the courier arrives. It also makes deliveries faster and smoother for your couriers.
4) Human error
Managing courier operations like order segregation, planning and optimising routes, assigning drivers, and re-routing manually requires a vast team of professionals. Not only is this costly, but it also gives a chance for human error that can lead to delivery delays, higher delivery costs or even lost customers.
The solution to this is process automation. Implementing courier delivery software to your business has many benefits, including fewer mistakes, faster methods, and lower costs.
5) Delivery costs
For most courier companies, fuel is one of the most significant expenses with staff salaries, vehicle lease, upkeep, and much more. With the consistent rise of prices, analysing and managing business expenses is crucial to finding the right balance between expense management and quality service delivery.
One of the easiest ways to cut costs and boost business performance simultaneously is to implement a powerful courier delivery and management software for your courier business. Automating tasks like route planning and optimising task distribution between drivers will allow you to save money on human resources and decrease fuel expenses.
10 Advantages of using courier management software
Using courier management software can help your courier business thrive and simplify business processes in the rising competition. If you are unsure why you should implement one into your business, look at the top 10 advantages of courier management software.
1# Automatic dispatch process
Dispatch automation not only takes away a lot of the manual work that goes into dispatching orders but allows you to focus on more critical tasks. Courier management software uses advanced algorithms to make the dispatch process much quicker and more accurate than manually. This results in greater efficiency.
2# Improved customer satisfaction
Faster order management and dispatch processes allow your drivers to make faster deliveries; we all know this is what the customers appreciate. Keeping your deliveries transparent and hassle-free builds trust with your customers, boosting customer satisfaction in no time.
3# Reduced costs
By automating the entire delivery process, courier delivery businesses can reduce operating costs by reducing fuel, labour, and other expenses. Implementing courier management software to your business might initially seem like an extra cost. The truth is that courier software will help save money by streamlining delivery routes and eliminating the need for extra resources like delivery personnel or vehicles. Significant savings can also be attained by minimising the risk of lost packages via automation.
4# Better control over your fleet
Courier management software allows managers to track their entire fleet and tasks with their processes in real-time on one software. Managers can look after multiple operations at a time – being informed of the location of the dispatched orders and new ones, available workforce, delays, and much more. Management will be more efficient, and your resources will be used optimally.
5# Paperless and streamlined workflow
Paperless courier delivery management helps save time and money and reduce businesses’ carbon footprint. Courier management software allows you to integrate your central business systems into one and record every step of the delivery process, from an online order to order drop-off. Keeping delivery-related documentation digital also reduces the risk of lost papers and allows us to send all necessary documents to the office and the customer in just minutes.
6# Improved profitability
Courier management software can help improve business profitability in many ways. We mentioned reducing overall costs, which is why courier software helps boost business profit. By improving customer experience, your clients will stay loyal to your brand and are more likely to recommend your business to others, helping you to grow your clientele even more.
7# Effective and automatic delivery process analysis
Analysation is the key when you want to improve your business performance and cut down costs. It would be best to have a constant and accurate overview of what is happening in the field. Courier management software records even the most minor steps of the delivery process and automatically analyses the data you need. Doing this manually is not only time-consuming but inaccurate as well.
8# Less invoicing delays
Quicker invoicing will lead to significant financial benefits. Using courier management software allows you to send out invoices within minutes after the delivery is completed. It is also a lot more environmentally friendly than paper invoices. Practice shows that invoices sent out in less than a week after work completion are usually paid in less than five days, so eliminating invoicing delays will help boost your business’ revenue cycle.
9# Better communication
Courier management software allows managers to oversee everything in one complete system. It is not uncommon for delivery route changes to be made on the go. With courier management software, there is no need to worry about getting a hold of delivery workers or miscommunication. The software automatically finds the nearest available drivers for new jobs or reassigns tasks between couriers. Workers will be notified automatically of any changes on their app.
10# Higher customer retention
The best courier software apps allow customers to track their delivery on a map and even change the drop-off location and delivery time or connect with the courier. Transparent deliveries that make your customers feel valued and essential will probably leave you with a five-star review.
What is the best courier delivery software?
Free trial: yes (14 days)
Essential: $17 per user (unlimited number of free tasks)
Professional $22 per user (unlimited number of free tasks)
Enterprise special price per user (unlimited number of free tasks)
GSMtasks provides a courier management software solution for every delivery service loaded with customisable options tailored to your business requirements. It makes it easy for dispatchers to plan daily tasks with the most optimal routes using the drag-and-drop management option. Couriers can easily manage and analyse their deliveries while using GSMtasks’s intuitive employee app.
GSMtasks has a real-time web dashboard for dispatchers, automatic SMS notifications, and employee tracking for customers. Paperless customer service is achieved with digital documentation, signature capture and fast proof of delivery function. Their API allows for integration with your current systems. If you are looking for good quality and a good deal, then GSMtasks is the software to go for.
Free trial: yes (14 days)
Startup $129 (max 700 free tasks per month)
Growth $299 (max 2000 free tasks per month)
Standard $599 (max 5000 free tasks per month)
Tookan’s courier delivery software promises to meet all their customers’ end-to-end delivery business needs. Tookan’s software helps you with packet entry, alerts and updates, job allocation, return of an order, sorting, scheduling, route optimisation, barcode support, proof of delivery, delivery types, reports and analytics, and real-time tracking.
Their pricing plans are based on the number of tasks per month but allow managers to add unlimited delivery agents to the system. Many delivery businesses have found it to be good quality software. Unfortunately, you do have to pay extra for route optimisation.
Free trial: yes (30 days)
Professional $29 (max 750 free tasks per month)
Branded premium $79 (max 500 free orders per month)
Business Advanced $299 (max 1000 free orders per month)
Shipday is an easy-to-use software platform designed for restaurants, ghost kitchens, ultra-fast grocery delivery services, flower shops, bakery, pharmacy and other small businesses and couriers to manage local deliveries. The software provides functions like packet entry, alerts and updates, job allocation, return an order, sorting, scheduling, route optimisation, barcode support, proof of delivery, delivery types, reports and analytics, and real-time tracking to their users.
Shipday also has a free version for a maximum of 10 users so that their users can try to get to know the software better. Managers should know that the functionalities vary broadly when choosing a pricing plan.
Free trial: yes (7 days)
Standard $35 (max 3000 free tasks per month)
Advanced $59 (max 6000 free tasks per month)
Advanced Plus $79 (unlimited number of free tasks)
Enterprise special price (unlimited number of free tasks)
Track-POD is a single-dashboard, same-day implementation solution. Users can plan unlimited routes using our drag-and-drop planner, generate shipping labels, and dispatch jobs without a hassle. Track-POD courier app comes with a free barcode scanner for load and delivery confirmation. Users can access SMS and email notifications to share live tracking links and customise the Proof of Delivery template to include all the information customers need.
Users should note that Track-POD’s Android Route Manager app is only included in Advanced Plus and Enterprise plans, and their route planning function is very basic for the standard plan. Since it is a must-have function when using courier management software, be ready to pay extra.
Free trial: yes (no. of days unknown)
Launch from $500 (max 2000 free tasks)
Scale $1,150 (max 5000 free tasks)
Enterprise special price (5000+ delivery or pick-up tasks)
Onfleet is a valued software by many users worldwide and the priciest on our list. Onfleet’s modern-looking courier software makes it easier for couriers to manage and analyse their local deliveries. The software includes intuitive smartphone apps for drivers, a real-time dispatcher web dashboard, automated SMS notifications, and customer driver tracking. It has an API integration possibility for integration into online ordering and other systems.
Try for free courier delivery software
The selection of different courier delivery software on the market is extensive, and as became clear from the previous chapter, the possibilities and prices of the solutions differ significantly. For businesses new to using software or looking to change their current provider, we advise getting to know the solution using a free trial option first. It is a great way to acquaint yourself and your field workers with the new software and see how well it can be implemented in your business.
GSMtasks offers a 14-day free trial for all new users. The signup process for a free trial includes sharing information about your business so that the GSMtasks team can cater the perfect trial for your needs. During the trial period, you and your team will be supported in learning about the software and in implementing its functions to maximise your company’s productivity.