Ecommerce and the Logistics Industry: Changes, challenges and advantages

Published: 22 October 2020 | By Lorryz.com

The impact the logistics industry has had on e-commerce has been fairly positive considering the last two decades.


We’ve seen businesses belonging to different industries gradually increase in number when they are present online. Logistics and partnerships with the right transportation companies have made this a possibility. 


In the early 2000s, e-commerce was still a relatively new phenomenon that gradually picked up. Certain aspects of the idea for online businesses made it easier for it to prosper. Transportation of goods being one of these major factors, which has been playing its part for major conglomerates, logistics slowly began to move towards smaller businesses along with established ones. 


Ecommerce businesses having to compete in such a fast-paced world is altogether a different story. The rise of this industry includes making the right decisions, picking the right business partners to handle transportation units of the company and what better than outsourcing these services?


With the aforementioned facts, it is said that e-commerce still accounts for 10% of the market share when it comes to total retail sales. There’s a huge opportunity here for global and local logistics companies to revamp this. With the involvement of tech-based logistics, instant transportation of loads and quality logistics services, things are looking good!


With time, the transportation needs of consumers, businesses, independent entities have become a bit more complex when it comes to their needs from a logistics service. With the inclusion of backhauling, last-mile deliveries, defining safer routes and reverse logistics, there needs to be careful consideration of how these processes need to be executed.


Another challenge being faced is the timely delivery of goods. Customers don’t only want e-commerce businesses to be extra vigilant and prompt but also provide quality services and this is a super important factor that can make or break a business, keeping in consideration the positive reviews by the customer. The power of social media is enough to provide tons of proof on this!


One way this challenge is being overcome by collaborative initiatives between e-commerce and logistics companies is to make instant transportation services available. Lorryz has been doing the same by providing its business partners with 24/7 support and allowing them to monitor the transportation of goods via our digital platform. Technology is surely the way to go!


Another counteractive approach that these industries have adopted is to have an efficient supply chain network, by making products available closer to the end consumer, it has become easier to make instant one-day deliveries possible.


Not only have these factors aided towards changing the logistics and e-commerce landscape, but it has also helped economies grow worldwide with positive results being achieved in terms of GDP, creating employment opportunities and enhancing the process of imports and exports.


It is indeed a harder job to manage logistics for a company inhouse with the rising demands in orders, returns, speedy deliveries and prompt customer service, logistics and transportation companies have made it easier for both online sellers and buyers to improve their overall processes and help the businesses prosper. 


One small flaw in the entire supply chain process can lead to major faults. The reason why it is always advisable to opt for business partners that are trustworthy has a history of good partnerships be it globally or locally to be able to work with online businesses at their best.


As the landscape for e-commerce and the logistics industry continues to prosper, it’s evident that businesses will have to keep updating their business models to enhance and stabilize fast and convenient delivery services that are the main focus of customers and their expectations these days.