Study: Companies looking to ramp up same-day delivery
Retailers are rethinking — and speeding up — their logistics operations to create a faster purchasing journey for customers.
To satisfy online consumers that want a faster purchasing experience, 78% of logistics companies expect to provide same-day delivery by 2023. Meanwhile, 40% anticipate two-hour delivery windows by 2028, according to the “Future of Fulfillment Vision study,” from Zebra Technologies.
To better meet the growing expectations of the on-demand economy, 76% of retailers use store inventory to fill online orders, and 86% of companies plan to implement buy online/pick up in store in the next year. Retailers are also investing in retrofitting stores to double as online fulfillment centers, and shrinking selling space to accommodate e-commerce pickups and returns.
In addition, 87% of retailers expect to use crowdsourced delivery, or a network of drivers that can get orders to customers faster, by 2028.
Next-generation supply chains will reflect connected, business-intelligence and automated solutions that will add newfound speed, precision and cost-effectiveness to transportation and labor. The most disruptive technologies will be drones (39%), driverless/autonomous vehicles (38%), wearable and mobile technology (37%) and robotics (37%).
In other key findings:
- Supply chains will also become less error-prone, as 49% of companies will add more radio-frequency identification (RFID) technology, tagging solutions and inventory management platforms in the next few years. The technology heightens inventory accuracy and shopper satisfaction while reducing out of stocks, overstocks and replenishment errors.
- While 72% of organizations currently utilize barcodes, 55 are still using inefficient, manual pen-and-paper based processes to enable omnichannel logistics. By 2021, handheld mobile computers with barcode scanners will be used by 94% of respondents for omnichannel logistics.
- Accepting and managing returns also remains a challenge for 87% of respondents, especially as the increase in free and fast product delivery corresponds with an increase in returned merchandise. Seven in 10 surveyed executives agree that more retailers will turn stores into fulfillment centers that accommodate product returns.
- More than 60% of retailers that currently do not offer free shipping, free returns or same-day delivery plan to do so, while 44% expect to outsource returns management to a third party.
Walgreens launches Every One Counts Hometown Challenge
In support of the fourth annual Red Nose Day in the U.S., Walgreens on Monday launched its Every One Counts Hometown Challenge – a fun way for customers and communities to demonstrate their city’s commitment to supporting children in need. The challenge will feature 10 markets – deemed ‘Red Rally Markets’ for their integral role in rallying the nation to end child poverty – going nose-to-nose in a challenge to raise the most money for the Red Nose Day cause.
“The Every One Counts Hometown Challenge is a spirited initiative that allows our customers and communities to come together as champions for children in need,” Adam Holyk, Walgreens chief marketing officer and CSR leader, said. “By inspiring the simple act of purchasing a Red Nose, we hope to continue to demonstrate the impact of ‘Every One Counts,’ our belief that helping to end child poverty can start with just one Red Nose at Walgreens.”
For the week of April 2, the 10 markets will include Atlanta, Washington, Miami, Phoenix, Los Angeles, Chicago, Seattle, Philadelphia, Newark, N.J./New York City and Houston.
The rankings for the progress report are compiled using store-level data for combined Red Nose Day sales (Red Noses and Red Nose Day related merchandise) across Walgreens store locations in Red Rally markets. Data for the progress report is analyzed at a geographic market level to measure total store performance of Red Nose Day sales.
In the spirit of friendly competition, Walgreens will share a weekly progress report revealing which Red Rally markets are leading the national charge in overall Red Nose Day fundraising activity in Walgreens stores. The goal is to inspire communities to help end child poverty as part of the eight-week Red Nose Day campaign. Following Red Nose Day, which takes place May 24 with a special night of programming on NBC, Walgreens will announce the winner of the challenge with a formal proclamation to the victorious city, designated as “Red Nose Day Hometown Hero” for the next 12 months.
NPAC names vice chair
The Neighbourhood Pharmacy Association of Canada on Monday named Karl Frank, divisional director, Bayshore Specialty Rx, as the new vice chair of the Association.
“On behalf of our board of directors and all our members and associates, I want to congratulate Karl on his appointment as vice chair,” Justin Bates, CEO Neighbourhood Pharmacies, said. “Through strong leadership from Karl and the rest of the board, we will be in the position to demonstrate pharmacy as an economic growth driver and a key part of Canada’s healthcare system.”
“I am pleased to be named by the board as the vice chair and to support the vision of Neighbourhood Pharmacies as we work towards enhancing the delivery of healthcare to Canadians through pharmacy,” Frank said. “Our members and associates look to us to provide leadership in this time of transition to become more of an integral part of the communities we serve.”
Frank has led the growth and development of Bayshore Specialty Rx and oversees the operations, including call center and patient assistance services, wholesale and a national pharmacy network as well as the national infusion clinic network and nursing services. He is also responsible for payor relationships, business development and marketing.
Prior to joining Bayshore, Frank was vice president pharmacy merchandising and operations at Loblaw. He is a graduate of the University of Alberta’s pharmacy program.
Frank was appointed by the board of the Neighbourhood Pharmacy Association of Canada at its meeting on April 6. He joined the board in 2017, and his term as vice chair will run for 1 year.