Drone Delivery - The Future of Logistics
The future of logistics is in safe hands thanks to the innovative concept of drone delivery.
Envision ordering something online, and within 30 minutes it’s sat on your doorstep. With ‘Amazon Prime Air’ in the works, the future of drone delivery for all companies is not far off. Do you believe drones are the next step for logistics?
Consumers want their purchases now. The promises of quicker delivery have become even greater, and with high capability comes great expectation. With many e-commerce businesses currently offering one-day deliveries, fewer people are likely to choose one-day shipping or more, even if shipping is free.
The first drone delivery system from Amazon, Prime Air, is designed to safely get packages to customers in 30 minutes or less using unmanned drones. Many believe drone delivery has incredible potential to enhance the services that businesses already provide to millions of customers by ensuring rapid parcel delivery that will also increase the overall safety and efficiency of the transportation system.
Jeff Bezos, CEO of Amazon, is confident that drone delivery will become the new normal, within the next 4-5 years. However, there is quite the divide in opinions on whether drone delivery can take the lead in logistics.
What do you think? Here at Bray Solutions, we have put together some Advantages and Disadvantages of drone delivery.
A drone delivery system that can deliver goods in 30 minutes or less will reduce lead time. Traffic, stop signs, and other challenges on the road all have a considerable impact on delivery times. Thankfully, due to drones travelling through air, deliveries will avoid all traffic-related influences.
Reduced Shipping & Operational Costs
According to ARK Investment Management [link], it’s possible that companies could charge just £1 to deliver drone packages. Amazon has stated that they plan to start the process with small packages, weighing less than 5 lbs. Considering that most orders shipped by Amazon weigh less than that, the reduced shipping and operational costs will benefit a high percentage of customers.
Gone are the days where an item is picked in a warehouse, put on a carrier and delivered through the usual steps to a customer. Instead, at the click of a mouse, the system will arrange for the drone to pick the order and deliver directly to the person who ordered it, eliminating route restrictions and many other logistic obstacles.
Reduce Return Issues
In the age of progressive technology, speed is everything. Not only do consumers want instant gratification through speedy delivery times, if they are unhappy with the product they will also expect a refund quickly so they can either order a replacement or simply get their money back.
Drones not only reduce return time cycles but also the bother of having to go to the post office to return a parcel. Heavy duty drones will pick up damaged goods and return to the sender. Returns will even process while the drone is still in transit. The quicker turnaround will result in faster returns without the stress of waiting for confirmation.
Despite the first ever drone delivery in early December 2015, the development of drone delivery is still in the works. Currently, drones don’t have the full ability to handle all logistics needs for a company. At present, the service restricts to small packages and short distances; drones still require skilled technicians, which increases the cost of use and production. As computer generated machines, they’re also vulnerable to hackers and thieves.
It is almost certain that delivery drones will need GPS tracking to locate and deliver products with accuracy. Cameras could also be an excellent way to direct the drones through their surroundings. However, If cameras are not an option, another form of identification, such as entering a pin or code should take place ensuring delivery to the correct person. The concern here is, how exactly is this confidential information get kept and used? Strict guidelines will need to be implemented to protect consumer privacy.
If drones take over all logistics needs, it is certain that many warehouse jobs will no longer exist. While there is a possibility that it could also create new jobs, many of these will require skilled labour and retraining.
With many advantages come disadvantages. However, that’s not to say developers are not in the process of finding solutions for such obstacles. Think about how much technology has advanced in the development of smart phones and virtual reality. Drones are on track and running at the same pace.
Here at Bray Solutions, we believe the future of supply chains will become more efficient, faster and almost entirely self-orchestrated. With the success of Amazon’s first drone delivery, which took only 13 minutes, the future of drone delivery for all businesses is bright and full of opportunity.
Multichannel selling is when a company offers a number of ways for consumers to purchase goods and services. Multichannel selling is known to include options to sell through traditional channels such as retail stores, catalogues, and over the phone....