Supply chains have changed drastically in recent years. Consumer convenience demands are creating the need for expedited shipping options. In a competitive marketplace, companies are being forced to explore new ways to stand out. Reducing expenses and inventory in the supply chain, shortening delivery cycles, and responding to demand needs faster are a few ways in which retailers can optimize business operations.
Direct store delivery is a distribution model where supply is moved from the supplier directly to the store location. With DSD solutions, retailers can skip the distribution center or warehouse and delivery faster, fresher products.
The direct story delivery approach is suitable for large and small retailers who require frequent inventory replenishment, or whose stores need expedited delivery windows. The fresh food industry is specifically well positioned for this expedited service model.
DSD services deliver numerous benefits for retailers.
More efficient shipping of perishable products
With the appropriate DSD transportation modes, retailers can quickly replenishment store inventories during volume surges and seasonal demand lifts.
Reduced labor costs
Managing fast selling fresh produce requires labor – employees to handle purchase orders and check inventory for quality. With faster delivery options of fresh products, grocery retailers can boost their bottom line and better service customers.
Safe delivery
Short-lived produce items need to be handled with care and specific temperature controls. Direct store delivery options ensure perishable products make it to shelves faster and fresher.
Shipping control
DSD transportation generally enables more control for the retailer. With direct shipping, retailers can clearly communicate lead times and store locations can anticipate shipments more accurately.
Establishing your DSD strategy
Create a demand profile.
Thoroughly analyze your sales data by identifying vendor and supplier volumes. Focus on products with high demand and high replenishment costs – these items could be a good fit for DSD solutions.
Optimize shipping routes.
Working with a logistics expert who can optimize your shipping modes and methods will bring even more benefits to your DSD programs.At Robinson Fresh, we focus on delivering more with fewer trucks to optimize shipping timelines and costs.
Monitor and track inventory.
Direct store delivery models are only as good as the inventory accessibility they require. Having clear visibility to item level invent