How will E-commerce Impact the Food and Beverage Supply Chain?
As per expert predictions, the online food and beverage market is expected to experience steady growth in the years to come. But in comparison with the total share of e-commerce market worldwide, there is ample room for improvement in the online food and beverage space. As far as the players in the online market are […]READ MORE >>
As per expert predictions, the online food and beverage market is expected to experience steady growth in the years to come. But in comparison with the total share of e-commerce market worldwide, there is ample room for improvement in the online food and beverage space. As far as the players in the online market are concerned, maintaining and building upon the consumer trust is a key to future-proofing supply chain processes in the future. Due to the high chances of the perishability of products, e-commerce companies handling food and beverages must ensure that the products do not compromise on freshness and quality until they reach the final consumers. To ensure this, it is imperative for online companies to have a robust supply chain and storage facilities. So, how is online shopping transforming the food and beverage supply chain?
Transparency in processes
For maintaining round-the-clock efficiency, it is essential for food and beverage companies to maintain accurate sales and lead-time data in real-time. In the eyes of retailers and logistics companies, supply chain transparency and e-commerce are the important consumer-driven trends that are influencing the future of food and beverage supply chain logistics. The growth in online food and beverage sales is increasing the demand for suppliers in the e-commerce space. However, this rise in demand has made it easier for fraudulent parties to exploit the retail industry and put customers and companies in real danger of theft, contamination, and fraud. This has brought in the need to invoke increased transparency in the processes. Investment in multi-party networking infrastructure can help companies to improve visibility between service providers, manufacturers, and retailers to provide dynamic inventory control in an increasingly fragmented, global supply chain. This also gives online food and beverage companies an opportunity to explore innovative supplier options.
Improvement in warehousing
Advanced cold chain logistics is an inevitable factor for food and beverage companies to maintain the quality of products till their reach the final consumers. To maintain high standards on a global scale, Cold chain logistics is becoming increasingly reliant on modern technologies. But it is important to note that different countries maintain their own standards and certification, so ensuring compliance in a global scenario requires transparent communications and reliable monitoring, with real-time actionable data such as live equipment readings and alerts for machinery in need of maintenance.
Accurate marketing insights data
With the help of marketing analytics data, companies can choose the right advertising and promotion activities that would help push products that may be sourced from local suppliers, or appeal to the individual’s preferences. Additionally, online players can enhance the customer experience using personalization data and on-demand services through dedicated online platforms.The data about the shopping patterns of customers can not only help companies to identify what products should be promoted to a particular customer, but it also gives valuable insights on how customer shopping experience can be enhanced and made easier.
Building the customer trust
As far as the food and beverage market is concerned, customer buying decision is impulsive and largely based on the trust they have on your brand. Companies operating online have come up with various ways by which they can provide better assistance to customers and gain their faith in the brand. A popular example is assistive chatbots that perform the functions of a customer care associates at a traditional retail store in assisting the customers to choose the right products to suit their needs. Additionally, companies can also analyze the past browsing data of customers to provide product recommendations and recipe ideas, maximizing the chances of up-selling and cross-selling.