Case Study: Cake Delivery company optimizes his own fleet with Kosmo

Customer Introduction: 

Today’s customer is a prominent online cake delivery shop based in Malaysia. With a wide range of delectable cakes and a strong customer base, they have been successfully serving customers across multiple cities. However, as their business grew, they faced significant challenges in managing their cake deliveries efficiently and effectively. To address these challenges, they turned to Kosmo, a last-mile delivery software that provides a comprehensive solution for managing deliveries.

Problem: 

The Cake Delivery business’ rapid expansion posed logistical challenges in coordinating its delivery operations. They struggled with the following issues:

• No or limited visibility on drivers: the team had no visibility on orders delivered by its own fleet, once the driver had left the warehouse. The drivers and the dispatching team were communicating via Whatsapp which made it impossible to send real-time updates to the final customer. At least 2 persons were allocated full-time to chat with the drivers and sharing updates with the customers in case of delay or early delivery
• Multiple dashboards to track live orders: Most of the orders are delivered by the company’s own drivers, but at least 20-30% of the deliveries are assigned to 3rd party couriers every day. Before Kosmo, the team was using multiple platforms to track all the liver orders which led to inefficiency and a high risk of missing actionable updates. 
• Manual route creations: the route creation process before Kosmo was a manual and time-consuming process. Based on the customer's location and on the driver’s availability, a team member was creating routes manually before sending them to the drivers. This process was time-consuming (up to 2 hours of work per day), created non-optimal routes and lacked of flexibility in case of last-minute orders placed by the customers.

Solution: 

The Cake Delivery company implemented Kosmo, a comprehensive last-mile delivery software, to streamline their delivery operations and address the challenges they were facing. By utilizing different components of Kosmo, they were able to save time and money while improving their delivery efficiency.

Driver App

The Driver App component of Kosmo enabled the team to efficiently manage their in-house delivery fleet. Drivers were provided with a user-friendly mobile application that provided real-time updates, delivery instructions, and route guidance. Drivers receive the delivery instructions directly on their mobile and are alerted by a notification. Once they start delivering, the app will show them the best route to take and the amount to collect in case of COD. Through the app, the drivers can easily capture the proof of delivery (POD) which is instantly shared with the central team and stored in the platform. This eliminated the need for manual coordination, improved communication between drivers and the central dispatching platform, and ensured timely deliveries.

Third-Party Couriers

‍Kosmo is directly integrated to all the main and local third-party couriers, allowing the Cake Delivery company to access them when needed (e.g when their own drivers can’t handle all orders timely or when the customer is in a very distant location). This integration streamlined the process of assigning orders to external couriers, ensuring better visibility and control over the entire delivery network. The team could maintain consistent service quality while reducing costs associated with external courier services by comparing real-time delivery fees or automatically dispatchin the order to the cheapest option

Route Optimization

‍ With Kosmo's route optimization feature, the team can now optimize delivery routes for maximum efficiency. The software considers factors such as traffic conditions, delivery time windows, and vehicle capacity to generate the most optimal routes for each driver. This resulted in reduced travel distances, faster deliveries and more efficien allocation of time for the central team (the team is saving 2 hours per day).

Dispatching Platform

Kosmo's Dispatching Platform provides the logistics team with a centralized system to manage all their live and scheduled deliveries. From this platform, they can easily view in one place all their deliveries assigned to their fleet or external couriers. The issue system warns them in case of expected delays and so that they can handle it promptly and they can easily communicate with the drivers or re-assign an order. 

Customer Notifications

‍Kosmo's branded notification feature allows the Cakes company to keep their customers informed throughout the delivery process. Automated notifications are sent to customers, providing real-time updates on their order status, estimated delivery time, and delivery confirmation. This proactive communication helped to reduce the number of support requests received by the team

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Results: 

By implementing Kosmo, this Cake Delivery company achieved significant improvements in their delivery operations, resulting in both time and cost savings:

• Enhanced Delivery Efficiency: The use of Kosmo's Driver App, Fleet Management, and Route Optimization components led to more streamlined delivery operations. The operations team experienced reduced delivery times, optimized routes, and improved overall delivery efficiency;
• Cost Reduction: With Kosmo, the logistics team increased the efficiency of each driver by maximizing their capacity and defining optimized routes, reducing the average delivery cost. By accessing their own fleet and 3pl on the same platform, the team can now take more informed decisions when outsourcing their delivery;
• Improved Customer Experience: With Kosmo's Dispatching Platform and Customer Notifications,  the customer success team could provide real-time updates and proactive communication to their customers. This resulted in increased customer satisfaction, improved trust in the brand, and positive reviews.

In conclusion, the adoption of Kosmo's delivery management solution proved to be a game-changer for this cakes delivery business. By leveraging the various components of Kosmo, they were able to optimize their delivery operations, save time and money, and provide a superior customer experience. With the support of Kosmo, the team is well-positioned to continue expanding their online cake delivery business while maintaining operational excellence.

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