Business

Here is how International Freight Loyalty Program Can Improve Logistics & Customer Loyalty

worldlogisticspassport
worldlogisticspassport
7 min read

In today’s fast-paced world, customers are spoilt for choice because of a plethora of options to get their goods shipped from almost any corner of the world.

Quick shipping and delivery services being a priority for many customers make freight forwarders, transportation, and logistics key players in the customer's experience and eventually the loyalty they develop.

For a customer, the shipping companies and freight forwarders hold relevance only in terms of the shipping and delivery experience they have but in a way, they become representatives of the company and communicate the customer experience one can expect through their services.

Such a great impact on customer loyalty requires a careful selection of service providers.

Logistics companies and well-networked freight forwarding service providers have the ability to get customs clearance documents ready, plan transportation through optimum routes, and most importantly process the import and export of goods quicker and more cost-efficiently.

Some of the best traders and freight forwarders use opportunities such as the International Freight Loyalty Program to become assets to their customers and at the same time scale their business in different markets with the host of benefits offered. 

Why Does Customer Loyalty Hold A High Importance In Businesses?

Whether local or global, all businesses have a client they serve and expect them to return for more business over time.

Even in today’s era, Vilfredo Pareto’s 80/20 rule stands true, indicating that 80% of your business will come from 20% of your customers, hence explaining the importance of retaining customers.

It is also important to take into consideration that acquiring new customers is costlier than retaining old ones. Maintaining customer loyalty is if:

Good quality products and services are offered to customersCustomers are provided good serviceOffered good incentivesCommunicated with before and after sales.

How does Logistics Impact Customer Loyalty? 5 Tips to Improve Logistics For Better Customer satisfaction!

Apart from scaling profits for the company, logistics management contributes to customer satisfaction as well.

Efficient planning and implementation of the flow of goods from the raw material stage to its end product and final delivery, basically makes every step important for the customers. 

The quality of the products and services impacts the customer retention rate and can hence be deemed a clear predictor of customer loyalty.

To reap the ultimate benefits of customer satisfaction, working on a few things can greatly improve the logistics functions of a business.

Listed below are the areas with scope for improvement and some tips to work on them: 

Streamlining the logistics process- Managing the flow of production, storage, and delivery stands of utmost importance and needs strategic planning, especially in larger supply chain networks. Integrated all the functions of the business on a single platform to overview everything together and identify glitches in time for increased productivity.Getting the right technology-based tools for logistics management- ERP solutions for supply chain and logistics management based on AI & Machine learning to improve the efficiency of processes and reduce the turnaround time have become the next level of flawless logistics management.Improving forecasting for better inventory management- Gaining deep insights through data integration and predictive analytics for efficient inventory management and forecasting the availability of stocks can greatly impact the satisfaction of the end customer. Keeping clear customer communication- Whether it is the availability or non-availability of a product in stocks, delay in delivery due to , or return of damaged or unwanted products, empower the customer with end-to-end tracking and keep open communication of all details honestly to instil trust and enhance brand loyalty. Building strong relationships with suppliers and carriers- Not just networking, but building relationships with suppliers, carriers, freight forwarders, customs clearance agents, or brokers such that they too build loyalty towards the business is going to get you the premium services and ultimately serve your customers with an improved experience. 

With such a high value of customer loyalty, it is time traders and freight forwarders incorporate measures that will ultimately lead them to better relations with their customers (shippers in the case of freight forwarders) and end customers (in the case of traders).

How do they do that? Keep reading!

6 Ways an International Freight Loyalty Program Can Help Improve Logistics & Customer Loyalty

As a freight forwarder or trader, the long and tiresome process of goods’ import and export across borders is often a cause for unnecessary delays.

Although freight forwarders take care of getting customs clearance documents ready, the difference in processes of customs clearance in India from that of customs clearance in Senegal can be a cause of delay.

To tackle this problem, the international freight loyalty program steps in as a savior.

Logistics loyalty programs like the World Logistics Passport (WLP) allow access to a network of partners in 40 countries to members that get a wide range of benefits for doing trade. 

WLP members get access to WLP partners in destination countries to help with local dealings and reduce the transit time for international shipping. Other benefits of this cargo loyalty program include:

Advanced cargo informationSimplified Air freight OperationsExtra free storage days in Warehousing and storage facilitiesRescheduling for Re-export declarationSelf-guarantee on customs accountsGreater capacity for weight discrepancies, and more

The greater the trade frequency with a country the better the benefits in that hub. 

This International freight loyalty program has shown an increase of 5-10% annual profit for traders and freight forwarders and cut down the customs clearance time to as little as 3 to 5 days.

Association with such a logistics loyalty program will cut down the turnaround time of the goods and the saved cost can be utilized in enhancing the customer experience with other incentives like special offers, discounts, or with better implementation of their feedback. 

 

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