Delivery Distribution

An under-served business model in search of digital transformation

 

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The Delivery Distribution Opportunity

There are approximately 100,000 mid-sized businesses in North America whose success depends on the quality of their Delivery Distribution operations. Historically, these businesses have not been able to fully leverage the capabilities of ERP technology because they lack a well-integrated mobile solution.

At xkzero, we recognized this opportunity, and built the first Delivery Distribution platform designed to fully integrate with modern ERPs and meet the challenges of today's omnichannel marketplace.

Delivery Distribution Operations 

There isn’t a single simple model for Delivery Distribution. What these operations all have in common is that they utilize their own fleet of vehicles to deliver products directly to customers. Delivery Distribution operations usually have a dedicated team of drivers, salespeople, and merchandisers. In some models, drivers may also handle sales as well as other tasks.

Delivery Distribution Operations 1

Delivery Distribution Models

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Route Delivery

Route Delivery is the model where distribution companies complete ad-hoc delivery to their customers of pre-existing orders.

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Direct Store Delivery (DSD)

DSD is the model followed by businesses that typically supply grocery and convenience stores. DSD driver responsibilities may include selling, marketing, and merchandizing.

distribution model route van sales

Route & Van Sales

Under this model, vehicles are loaded with expected daily demand, and customers are sold and serviced, usually following pre-established stop orders.

Hybrid: Many companies utilize a hybrid method, loading vehicles with a mix of pre-sold orders and well as extra stock to make additional sales along the route.

Omnichannel Marketplace 

With today’s advances in technology, businesses receive orders through many different channels. This creates greater complexity for Delivery Distribution operations and their customers. Improved technology used by commercial couriers has also created expectations for a modern mobile delivery experience. Delivery Distribution processes that worked in the past (I.E., paper documents, clipboards, spreadsheets, whiteboards, etc…) are inadequate for the demands of today’s modern omnichannel marketplace.

What XMC Offers Delivery Distributors 1

What XMC Offers Delivery Distributors

XMC – xkzero Mobile Commerce is a technology solution like no other. It is a comprehensive Delivery Distribution platform connecting mobile route delivery and sales processes easier with your entire team. XMC enables sales, produces far better delivery outcomes, and eliminates tons of administrative burden and cost. That is the promise of XMC.

XMC Unifies the Delivery-Distribution Process

There can be significant variation by company and industry in the way that Delivery Distribution is performed, but most rely on some variation of this:

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Process Orders

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Manage Routes

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Load Vehicles

process 04

Visit Customer

process 05

Unload Vehicles

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Route Accounting

ERP Data and Process Integration

Master Data Management and Planning Processes establish the foundation on which the activities and transactions of the Delivery Distribution business are based. Master data rules and standardized planning processes must be in place to allow accuracy and sustainability of commercial transactions, warehousing and logistics activities, and financial processing.

Delivery Distribution ERP Data and Process Integration 2

Master Data

The key Master Data components identified are:

  • Customer Hierarchy and Point of Sale (POS)/ Point of Delivery (POD) Master Data
  • Material and Products Master Data
  • Pricing and Promotions Master Data
  • Other Master Data: Routes, Trucks, Users, Warehouse

Master data should provide rules for allowable transactions and activities processing depending on the business scenario. For example, certain promotions should only be available to specific customers in specific geographical regions, or only certain user roles should be allowed to approve financial transactions over certain dollar amounts. The business must establish these rules and controls around each master data type and attribute. Establishing and maintaining these controls helps ensure accuracy and consistency of transactions and activities across the business.

Empowering Your Stakeholders

There are many roles within an organization with a critical stake in a successful Delivery Distribution operation.

Sales and Delivery

Sales and Delivery

Route drivers, Field / Pre-sales reps, Customer Service Reps

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Operations Logistics

Operations & Logistics

Warehouse personnel, Route planners & dispatchers, Transportation & Fleet management, Inventory & production planning, Maintenance personnel, Truck loaders

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Management

Management

Sales and Marketing, Operations, Accounting, Executive, Human Resources

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Information Technology

Information Technology

Network administration, Data specialists, Programmers, ERP specialists

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happy customer

Customer

Owner, Store Manager, Warehouse / Receiving, Accounting, Purchasing / Buyer

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XMC creates a superior experience for your customer with modern technology that drives quality throughout the whole process and into each stakeholder’s role. This is accomplished by streamlining work, sharing mission critical information, reducing lead times, and creating greater overall visibility from warehouse to customer and back.

To put a fine point on it, XMC reduces costs, grows sales, expands market share, and helps promote loyalty to your brand.

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Our industry experts are ready to help accelerate your business forward and keep your customers happy. We're excited to partner with you on this journey!

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