July 1, 2021

DTC E-Commerce Logistics and the Role of Digital Freight Forwarding

Miles Varghese
Miles Varghese
Helping independent freight forwarders/brokers better stay in-sync, collaborate, and improve operations with their shippers/clients. Co-founder & CEO @ Cargologik.com
DTC E-Commerce

Direct-to-consumer (DTC) e-commerce logistics play a huge role in the era of digital freight forwarding. The rise of e-commerce logistics came with the increased demand for domestic and international goods. The last fiscal year showed significant increases in household spending on these goods, according to CommonThreadCo.com. As a result, some companies were able to increase traffic by 2.5x with DTC e-commerce. DTC e-commerce eliminates the need for a middle man and allows businesses to connect with customers on a more personal level. Digital freight forwarding works to get those goods to their final destination in one swoop and create positive customer experiences. And it’s essential to understand how this happens. 

What Exactly Is DTC E-Commerce and How Does it Impact the Modern Supply Chain Network

DTC e-commerce is the practice of bringing products, goods, or services directly to the customer without the red tape and intermediaries. Digitization helps the modern supply chain by automating different functions for business owners. This concept can be made more accessible by using a digital freight network that eliminates the stresses caused by the back-office backlog. This is due in part so DTC retailers and vendors can continue to focus on what matters: building their brand and connecting with customers, according to McKinsey & Company

Potential Disruptions and Issues That Come With Poor Shipping Management Within the E-Commerce Industry

DTC e-commerce logistics do not come without risks. Missed deadlines, damaged goods, higher fees or surcharges, increased dwell time, more deadhead and dead haul miles, or decline are just some of the potential risks of poor shipping management. Damaged goods can lead to missed deadlines and adverse experiences with customers and can lead to customer dissatisfaction. More deadhead and dead haul miles mean missed opportunities and empty trailers. Some ways to combat this include using a digital freight forwarder to coordinate these steps and keeping preventable profit losses from happening with real-time status updates. The shipping risks in freight forwarding remain, although freight forwarding decreases the likelihood of these events happening. The DTC e-commerce industry evolves each year, and with the growing demand, freight forwarding can offset the issues that may arise. 

How DTC E-Commerce Helps Streamline Shipping and Transportation Amenities With Freight Forwarding Services 

There are several ways DTC e-commerce helps streamline shipping and other amenities. First, the use of domestic freight forwarders assists with better communication overall. Freight forwarders can monitor real-time with on-demand tracking that makes it easier for shippers to view the process. Real-time data monitoring allows each level of the transportation process to access the data, potentially saving thousands of errors that may not have been caught otherwise. 

Freight forwarders create a deliberate strategy to ensure fulfillment for clients and their shoppers. Freight forwarders work as the intermediary and connect with vendors to ensure fulfillment. By doing so, this increases profitability by increasing on-time, in-full deliveries. Building an e-commerce strategy will increase profitability and allow businesses into this ever-increasing market. 

Maximize Growth and Tap Into the Power of Digital Freight Forwarding Today

When it comes to gauging profitability, DTC e-commerce is ready to go to the next level. Freight forwarders are changing the game when it comes to the booming e-commerce world. They maximize growth by tapping into the power of digitization and automation. This creates gains for freight forwarders, retailers, other businesses and their customers. Eliminating the excess processes via multiple channels will ensure ease within shipping. The e-commerce world can be overwhelming, and freight forwarding can put those worries to bed. Tap into the power of digital freight forwarder practices today and integrate this service to increase profitability. Sign up for Cargologik to improve your DTC e-commerce fulfillment strategy today. 

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