How Will Real-Time Tracking Affect Retail Delivery?
Image Courtesy of Best Buy
Best Buy has launched a new live tracking feature for large deliveries like TVs and appliances, using AI to provide real-time updates. Customers receive a four-hour delivery window on the day of their delivery with a link to track the driver’s location and estimated arrival time on a map.
With this feature, customers no longer need to wait around all day for a large or expensive package to arrive. “Our new live-delivery tracking experience removes the frustration so many of us have felt when we’re given a window of time to wait around at home for an appointment or a larger delivery to arrive,” Brian Tilzer, chief digital, analytics, and technology officer at Best Buy, said in a statement in the company's announcement. “We know our customers’ time is extremely valuable, and we’re proud to bring a level of convenience to technology delivery and installation that nobody is currently providing.”
The launch reflects Best Buy's shift toward leveraging technology to improve customer experience, aligning with its new focus on technology discovery and personalized engagement. Alongside this, Best Buy is revamping its app with features like personalized home pages and video shopping experiences. The company is also investing in AI technology and expanding its workforce to better support and engage with customers.
According to delivery company GoPeople, integrating real-time delivery tracking within a company's e-commerce logistics can significantly boost transparency across the entire delivery process. "With the ability to track their parcels in real-time, customers gain valuable insights into the journey of their orders, from dispatch to doorstep," the company noted. "This increased transparency fosters trust and reassurance, leading to greater consumer satisfaction."
This delivery method also helps create a positive post-purchase customer experience. Per a Salesforce study, "80% of customers say the experience a company provides is as important as its products and services." The study also found that 88% of customers are more inclined to make repeat purchases when they receive excellent customer service.
Additionally, real-time tracking may help alleviate impatience and give the perception of faster delivery for consumers due to their ability to track their own packages.
Similar to Best Buy, when a package is delivered with an Amazon vehicle, the retailer allows customers to track their packages in real time using Amazon Map Tracking. Other carriers, however, don't provide the same feature, so when UPS, FedEx, or USPS delivers Amazon packages, customers can't use Map Tracking.
Though there seem to be many upsides to offering live tracking, the primary obstacle to retailers would most likely be the cost of adding the service.
However, a better mentality may be to see it as "an investment, not a cost," according to Tive. Imagine a logistics company that has real-time visibility into the location of every shipment. While the investment required isn't always low-cost, it's a transformative move that delivers long-term rewards. By utilizing real-time tracking and monitoring, retailers can cut costs, enhance efficiency, and maintain customer satisfaction.