How to Optimize Your Shipping Business in a Pandemic
Freight is one industry that isn’t escaping the COVID crisis unscathed. While some aspects of the shipping industry have changed dramatically, many businesses and customers are now solely relying solely on shipping services to connect with their clients, customers, families, and friends. With delivery services now more important than ever, shipping companies need to optimize their practices to guarantee success. Consider the following strategies.
Contact Your Clients
Optimization starts with open communication. As businesses prepare to reopen, now’s the time to establish strong ties with past and current clients. With more businesses relying on shipping in today’s environment, clear communication is the key to growing trust in these relationships. Consider offering your clients’ the opportunity to lock in discounted prices detailed in previous contracts. By speaking candidly about pricing, delays, and expectations, you’ll be able to continue growing your client list in these uncertain times.
Identify New Shipping Trends
Another necessary step in optimizing your shipping company is to identify trends in shipping. Airfreight is one trend that is skyrocketing as a result of Covid-19. Thanks to the pandemic, the demand for air freight is higher than ever, giving shipping companies the advantage.
As Covid-19 caused an increase in the demand for shipping by air, shipping companies that are able to offer such services will undoubtedly fare well in a post-pandemic world. As shipping prices set record-breaking heights, airfreight pricing in North America continues to climb, with flights from China to North America well above 1M USD with each full freight flight.
Optimize for Rapid Delivery
Rapid delivery is another feature most shipping companies should consider adding to their list of offerings. With most consumers confined to their homes during the pandemic, the world has already seen an increase in the demand for fast delivery. As more people than ever rely on the likes of same-day delivery from Amazon and similar online retailers, shipping companies that are able to offer faster delivery will see their business skyrocket. Even as the world tries to open up again, delivery will continue to be in high demand, making companies that offer faster delivery via same-day shipping and same-day delivery more valuable than ever.
Shipping companies that want to improve their delivery rates need to optimize their inventory. Experts suggest that shipping companies make efforts to strengthen their supply chain with a focus on resilience as this will help these companies better prepare for the fallout from black swan events like Covid-19.
Offer Your Support
As businesses work to build themselves back up in the aftermath of the pandemic, a little camaraderie will go a long way. Shipping companies that are hoping to optimize their operations should focus on supporting those in need during these uncertain times. If you have the ability to do so, consider reaching out to your partners in areas that are heavily impacted by Covid-19 to offer support. With the world relying on shipping companies and their team members to deliver essential items, offering your support to other businesses in need will help build professional relationships that will last long after the pandemic is over.
Become Agile
Agile is the name of the game for businesses that hope to bounce back after the pandemic. Agile methodology allows shipping companies and similar businesses to quickly pivot in these uncertain times. This data-driven technology allows for quick response to any change in the market, enhanced collaboration, improved flexibility, and the like. By incorporating these tools into your business operations, your shipping company will be able to easily pivot to the ever-shifting post-pandemic environment and its related needs.
Prepare for the Recession
While essential companies have certainly stayed in business during Covid-19, a recession is not far away. As the world prepares for the impending economic downturn, shipping companies need to safeguard themselves against the financial strain. Now is the time for shipping companies to develop a cohesive emergency preparedness plan. While Covid-19 is indeed a worst-case scenario, living through this global pandemic should motivate shipping companies to adopt more strategic and logistically sound business practices
Freight and shipping services are essential in a post COVID world. Make sure your shipping company is able to effectively service your clients and customers by taking the necessary steps to optimize your company.
