When Batch Scheduling Doesn’t Cut it for

Big and Bulky Delivery

You might assume that all customers want their delivery as fast as possible. But when it comes to big and bulky goods, many customers prioritise convenience and precision over speed. This means that retailers are under pressure to provide narrow customer-selected delivery slots at the point of sale. The problem is, these slots are often based on historical averages with no relation to real capacity. On the day of delivery, retailers find themselves unable to keep their promise. Here we’ll find out how dynamic delivery appointment scheduling helps retailers deliver on time at a lower cost.

Key Takeaways

• Customer service is a crucial differentiator for big and bulky goods.
• Customers want precise delivery windows that suit their lifestyle.
• Batch planning leads to over-optimistic or over-conservative delivery schedules.
• By combining scheduling and continuous route optimisation in one step, you can offer time windows that are feasible and profitable.

Why Precision Matters in Big and Bulky Delivery

In the market for furniture and white goods, competition is fierce. The same fridge, sofa, or television is often available from multiple retailers at the same price. Services such as installation and disposal of old items can tip the balance in favour of a sale. In addition, customers expect to choose a precise delivery window that suits their schedule. Drivers can’t leave bulky or valuable items unattended on the doorstep – especially if they require white-glove service or installation. Imagine you’re ordering a new bed to align with a home move. If the item arrives too early, you won’t be there. If it arrives too late, you’ll have nowhere to sleep. Ideally, you need the retailer to offer named-day delivery and a two- to four-hour window.

Why are Precise Delivery Windows a Challenge?

Most retailers estimate their delivery capacity – and therefore their delivery time slots – based on historical averages. Fixed slots are offered to customers without taking into account current capacity including cube, weight, distance, time and driver skillset. This approach ignores the variability of bulky delivery. Delivering a set of light rattan furniture is faster than delivering a washing machine to a high-rise apartment. Equally, a drop off needs less time than an installation. As a result, planners don’t know whether time windows are achievable until batch planning takes place. Normally, that’s just a day in advance of the delivery. This three-step process (determining slots, making appointments, batch planning) leads to one of two scenarios:

• Over-optimistic scheduling There is insufficient capacity to carry out deliveries within the promised time slots. The retailer has to take profit-draining measures such as rescheduling or assigning the job to a third-party logistics provider (3PL). What’s worse, customer trust is eroded.
• Over-conservative scheduling The retailer underutilises vehicles and drivers, making delivery routes unnecessarily costly. Then there’s a potential loss of revenue from the missed opportunity to make more deliveries. With batch planning, you’re making a delivery promise to customers before you know the cost and feasibility of the route. This approach undermines profitability and puts a dent in customer satisfaction.

Smart Delivery Appointment Scheduling

That’s where smart scheduling comes in. With Descartes, appointment scheduling and route optimisation take place at the same time. The software generates slots dynamically based on the current route plan, true capacity, time, distance and order characteristics. Routes are optimised continuously as orders come in. Each delivery slot is assigned a score based on criteria such as:

• Address
• Volume
• Customer priority
• Density of planned deliveries in the area
• Commercial strategy of the retailer

This allows you to show customers the most feasible, profitable, and environmentally friendly delivery slots. Retailers can also highlight cost-effective slots, or price slots dynamically offering premium delivery options to customers who want them.

Benefits of Smart Appointment Scheduling

Smart scheduling makes it possible to offer convenient options for big and bulky deliveries, without compromising profitability. The benefits range from increased customer satisfaction through to tangible financial impacts, including:

• Enhanced customer experience Customers can choose a delivery slot based on their schedule and preferences. Since only feasible slots are displayed, customers are more likely to receive their goods on time.
• Increased delivery profitability The software optimises routes continuously, limiting unnecessary mileage and avoiding missed deliveries. Businesses can eliminate unprofitable delivery windows and charge more for costly stops.
• Reduced carbon footprint Better resource utilisation means fewer empty trips. You can also encourage customers to choose eco-friendly slots when a vehicle is already in their area.
• Agile pricing Retailers can build loyalty with premium and low-cost options to cater to different customer personas.
• Less reliance on third parties By planning deliveries based on the true capacity of your fleet, you can minimise reliance on 3PLs. This reduces logistics costs and allows you to provide consistent customer service.
• Reduced checkout abandonment Without customer-selected delivery slots, you could be leaving money on the table. Many consumers will abandon their cart if they can’t choose a delivery that meets their needs.

Big and Bulky Delivery Success

Reducing the cost per appointment

Luxury kitchen retailer Wren Kitchens is using Descartes’ scheduling solution to improve surveyor productivity. “With Descartes, now when a customer books an appointment, the comprehensive solution works in the background to automatically optimise surveyor schedules and travel routes to appointments. This enables us to increase the number of appointments per day in an area, which not only lowers mileage and fuel consumption but also drives down the cost per appointment. Working with Descartes, we’ve saved 13% on annual fuel costs, which equates to approximately 354,000 fewer miles driven.” Surveyors have been able to complete 56% more visits and significantly reduce the cost per appointment.

Bringing new delivery service options

John Lewis + Partners set a goal that scheduling a delivery had to be easy, fast, flexible and profitable. “The advanced optimisation capabilities and architecture of the Descartes solutions were critical, bringing new delivery service options to our customers in an economically feasible way,” explained Andrew Gay, Systems Manager at John Lewis + Partners.

Get Started with Smart Scheduling

Convenient delivery slots are essential for items like furniture and appliances. But if these slots don’t reflect reality, retailers risk damaging customer experience and inflating delivery costs. Smart scheduling solves this challenge by balancing convenience, feasibility and profitability. Customers can choose timely delivery windows that align with your business needs.