Delivery at the right time for optimal performance of your business
Successful companies operating in the HoReCa sector know how important it is to put customer needs first, and make grocery delivery as fast as possible. By making sure that customers receive their orders on time, a company can gain more than just loyalty.
Customers like fast and convenient service, and this is not surprising, because there are many companies that have set a high level of delivery as a standard, thereby accustoming consumers to high levels of service. Domino’s Pizza is known for its innovative approach to organizing delivery: the company has developed a four-wheeled pizza delivery robot that can reach speeds of up to 20 km/h. At the moment, the robot can serve customers at a distance of 32 km from the pizzeria, which is exactly the radius of the battery charge.
Source: Domino’s Pizza, BBC
Focus on strategy and business development by automating all routine processes and using resources efficiently
Companies operating in the HoReCa sector strive to provide excellent service, and this can only be realized by building clear business processes and using resources efficiently. For companies in this market, it is extremely important to control the supply of the right products in the right quantities according to the schedule. In addition, product freshness is often a decisive factor when choosing a supplier.
Suppliers of products to restaurants should take into account 3 main features of food delivery for the HoReCa industry
1. Narrow time windows. Products must be delivered at a certain time.
Companies in the HoReCa segment need fast delivery within a precisely specified time period because a cafe or restaurant customer will not always be able to forgive the absence of their favorite dish on the menu because the supplier did not arrive.
HoReCa establishments often have a round-the-clock work schedule or an extended one: from 10 am to 11 pm. Thus, orders for the supply of products are formed either before closing or after, and the delivery of the necessary products must take place, most often, by the time the establishment opens. The situation is such that usually a part of the orders comes to the supplier in the evening, after which he prepares the order for shipment, and in the morning the supplier sees that new orders have been received from the same client. It is very difficult to meet the time windows in such a situation.
2. Food delivery to restaurants. Faster, more often, better!
For many cafes, restaurants, and hotels, failures in the supply chain are unaffordable luxuries that can immediately affect profits and reputation.
Limitations faced by HoReCa companies:
- Difficulty in forecasting – it happens that a customer makes several orders during the day, as they face the actual consumption of products, which is quite difficult to predict (unless the establishments are highly specialized or deal with seasonal or promotional products). In turn, it is also difficult for the supplier to predict the optimal amount of stock in the warehouse in order to ship the right amount to the customer on time.
- Limited shelf life – Almost all supplied products have a limited shelf life (dairy, meat, vegetables, fruits), which means that there is no possibility to store large stocks.
- Limited storage space – in the HoReCa industry, every square meter of space should be used rationally, and instead of accumulating stock, it is better to use the area for receiving visitors.
3. Specifics of the delivery and unloading point
Most often, HoReCa establishments are located near residential buildings or are located right in them. In addition, delivery drivers face limited traffic or permission to use only small vehicles. If the driver does not know the places of unloading, access roads, and exit points, a delay in the next delivery is inevitable.
High-quality delivery on time is the main goal when delivering food to restaurants, bars, and cafes
Organizing the supply of products to HoReCa is a key point for the smooth operation of establishments in this area. To get a well-organized delivery process, ABM Rinkai TMS offers to take advantage of all the benefits of an optimal route planning system.
What does ABM Rinkai TMS offer for planning food delivery to restaurants, bars, and cafes?
- The solution to the problem of narrow time windows – planning daily delivery routes is carried out by pressing one button, the manager receives up to 10 optimal routes and spends no more than 5 minutes on this process. In addition, the solution has the function of sending notifications with the planned arrival time.
- A flexible approach to route planning – ABM Rinkai uses a dynamic route planning algorithm that differs from the classic one. Based on specific orders, their frequency and volume, district boundaries as fixed units need to be flexible. This makes it possible to combine districts and close them with fewer vehicles. Dynamic planning can save at least 10 km per 100 km of route, which means a travel time saving of 20 minutes.
- Product quality – first of all, as we have already mentioned, the HoReCa segment will choose a supplier that offers fresh and high-quality products, but the limited shelf life and small warehouse space do not allow for large food stocks. ABM Rinkai TMS guarantees reliable deliveries at the right time and in the right quantities, which allows you to avoid moving popular dishes to the so-called “stop lists”.
- Accurate delivery – the location of unloading points significantly affects the quality of deliveries, as failures during visits to points can disrupt timely delivery and increase transportation costs. ABM Rinkai offers the option of drawing the location on maps, especially drawing roadways with features (barriers, arches), as well as the ability to set the unloading point with an accuracy of one meter. the system will take into account the specifics of the location and accurately plan the route. Updating maps takes a few days, all characteristics of unloading points remain in the system and there is no need to communicate this information to each driver. If a new driver is hired, he or she does not need additional time to learn all the nuances of accessing the points.
- Ease of planning – when planning routes, the logistician does not need to take into account all the features of the transport: weight and size parameters, time and other restrictions – the system itself does this.
Customers have the same requirements for restaurants and cafes. To optimize customer delivery, check out the functionality of modern cloud solutions.
Online demonstration of the TMS system
An online demonstration of cloud-based TMS software not only allows you to get acquainted with a number of tools and functions but also provides information on optimizing food delivery to restaurants, as well as food delivery for restaurants and cafes. If you’re looking for ways to deliver food to Horeca efficiently, our transportation logistics experts will help you develop the best strategy for your business.
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You can learn all about the opportunities, technologies, and effects of optimizing delivery processes for your company at open webinars from ABM Cloud!