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  3. Locus’ 60-second Guide to Omnichannel Retail

Last Mile Delivery Optimization, Supply Chain Optimization

Locus’ 60-second Guide to Omnichannel Retail

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Nishith Rastogi

Dec 17, 2018

2 mins read

A banner illustrating omnichannel optimization

‘Omnichannel’ is the latest buzzword in the FMCG and Retail industry.  Every retailer now wants different channels to deliver its goods, and all of a sudden, selling simply through the traditional brick and mortar shops is not good enough.

But what is omnichannel and why do companies even need it

Omnichannel retailing is a fully-integrated approach to business that provides customers with a unified experience across online and offline touchpoints.

The traditional FMCG distribution model comprised of the products been manufactured from the factory and reaching to the customers after going through C&F agents, distributors and retailers. However, the rise of e-commerce has raised serious questions on the existing FMCG distribution model .

E-commerce companies have radically shortened the delivery cycle, and even though they are currently about 10% of all retail, the growth rate of 24.8% signifies the disruption created in the industry. To compete with e-commerce players; retailers are increasingly looking to shorten their distribution models and cut down the number of components in their operations. Retail conglomerates across various categories are continuously stepping up their omnichannel game.

Here is what the typical distribution models of various companies look like:

Distribution Model Vs OmiChannel Model

By eliminating the middle components of the distribution channel, these companies are shortening the delivery cycle and providing faster gratification to the consumers.

Locus lets you use existing retail infrastructure to build your omnichannel platform by providing the following:

  • Optimal fleet mix (one-time as well as daily dynamic plans) for fulfilment operations.
  • Consideration of business dynamics including SKU bifurcation, retail outlet work timings, regulatory constraints etc. for the optimized dispatch plans.
  • Management of forward and reverse logistics effortlessly.
  • Real-time ETA calculations, with delay notifications and adjustments on the go.
  • Identification of serviceable area for your stores and the optimal warehouse location.
  • Locus analytics and insights help in tracking and comparing the performance of your vehicles, warehouses, and workforce.

To know more about Locus solutions, visit: Tailor-made Locus Logistics Solutions.

Reference:
Forbes | Statista | PublishingIndia

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