Strategic warehouse location improves logistics speed and customer satisfaction
Speed is becoming more and more important in supply chain logistics to ensure the satisfaction of the end customer. The standard delivery time in the US is currently 2 to 5 days, depending on the respective networks of the retailers. The ever growing demand in e-commerce continues to drive the need for more speed, automation, better responsiveness and customer service and therefore the need for reliable partners who can meet these requirements.
Arvato Supply Chain Solutions opened their Pleasant Prairie, WI warehouse, that has 550 thousand square feet of space to support their B2B and B2C clients. This strategic site put them close to the UPS Chicago Area Consolidation Hub (CACH), and other top hubs. That enables them to reach over 50% of the U.S. population within two days with ground service, including the New York City area, and 80% of the US overall population in 3 days from that site. If needed, they use one of their other strategic locations, to ensure faster delivery times.
Arvato Supply Chain Solutions provides logistics solutions for leading fashion and consumer goods brands. Their customers‘ challenged them to find ways to decrease ship time to New York City, because that is a key market for fashion and beauty enthusiasts.
They rose to the challenge and implemented a new way to sort their consumer products for delivery. By inserting parcels into their carrier network sooner via a twilight sort, Arvato’s customers are able to realize reduced transit times. In addition to taking customer requests for faster delivery, Arvato Supply Chain Solutions prioritizes packages by location, to speed up delivery time in this new process. The twilight sort allows parcels to begin their transit sooner in the day which cuts the total days needed for delivery allowing them to reach consumers in half of the top 20 largest cities in the US within two days with standard ground service, while maintaining a competitive cut-off time.
Their transport management experts didn’t stop there. Arvato Supply Chain Solutions worked with UPS to find a solution that further reduces shipping time to 84 million people in the U.S. by one transit day, as well as provide recommendations for future growth. Arvato Supply Chain Solutions understands the need for their clients to stay competitive and rose to the challenge. The best part about it: There is no extra charge for their clients or their customers, and they throw in Saturday deliveries for free!
“What was once a competitive advantage for retailers has now become a basic expectation for consumers. 25% of customers will abandon their online orders if shipping options are too slow.” said Sean Stokes, Transportation and Logistics Director, Arvato Supply Chain Solutions North America. “Fast delivery is now the norm and fulfillment partners need to be able to keep up with consumer demands. By implementing these creative solutions, Arvato continues to stay at the forefront of transportation trends and add value for our clients.”
These are just some of the ways Arvato Supply Chain Solutions delivers value and continuously look for the best supply chain solutions for their clients and their customers. It is crucial to make the end-customers of clients happy by providing reliable innovative logistics and warehousing services. Being fast, flexible, and focusing on delivery speed is key to their success!
About Arvato Supply Chain Solutions
Arvato Supply Chain Solutions is the trusted supply chain & logistics partner for the most popular brands of IT, consumer electronics, apparel and cosmetics in the world. As a leading global 3PL, Arvato operates and optimizes complex global supply chains in order to continuously maximize CSAT and exceed fulfillment compliance standards.
With industry-leading technology and a highly committed team, Arvato is the partner of choice to take your supply chain to the next level. Services include warehousing, distribution, value-added services and reverse logistics. The reliable management of volume fluctuations and seasonal or promotional peaks along with full retail compliance are some of the core strengths of Arvato.
Arvato Supply Chain Solutions has 15,000 employees that work together across 85 fulfillment locations in over 20 countries including the Americas, EMEA and APAC. All regions run on a single IT backbone which provides you with a truly global supply chain visibility.