5 Ways Drones Will Completely Transform Indian Ecommerce Logistics
Supply chain management is one of the significant aspects of any business, without which service providers can’t reach out to their targeted customers and widen their consumer base in the highly competitive market. The eCommerce logistics and shipping industry can not thrive without a robust supply chain network and with the advent of Artificial Intelligence, the shipping industry now has a plethora of technology-driven modes of transportation such as Drones or UAVs (Unmanned Aerial Vehicles).
As per the report of MarketsandMarkets, a global revenue impact and advisory firm, the market for drone logistics and transportation would increase from USD 534 million in 2022 to USD 17,881 million in 2030, at a compound annual growth rate (CAGR) of 55.1%.
Given the estimated projections, eCommerce giants such as Amazon have already penetrated drone logistics services recently. The Federal Aviation Administration (FAA) permitted Amazon to start shipping drones as an air carrier in early September 2020.
As we go further into the details of drones and their future role in the logistics industry, this blog will further talk about how drones can uplift the logistics industry.
Also Read: Third-Party Logistics Providers for eCommerce
What Is Drone Logistics?
The use of drones for package, cargo, and/or passenger delivery is referred to as drone logistics and transportation. While ground control stations, charging stations, and landing pads make up the bulk of the infrastructure needed for the implementation of drone logistics and transportation, some of the major software include route planning and optimization software, fleet management software, and computer vision software.
Challenges Faced By The Indian Logistics Industry In Supply Chain Management
The eCommerce logistics industry in India is facing several challenges in supply chain management. One of the biggest challenges is the lack of infrastructure. There are not enough warehouses and transportation facilities to meet the needs of eCommerce businesses. This results in delays and missed deadlines.
In case you need a competitive logistics solution, companies like NimbusPost can help in handling your overall logistics needs through domestic/international shipping, and warehouse and fulfilment services.
Another challenge is the lack of skilled workers. There is a lack of qualified personnel who can operate eCommerce logistics systems. This increases the cost of operation and affects the efficiency of the system.
Another challenge is in terms of regulation. The government has not put in place any restrictions specifically for eCommerce logistics. This makes it difficult for eCommerce businesses to comply with the existing laws and regulations.
How Drones Will Transform The Indian E-commerce Logistics Landscape?
1. Drones will enable eCommerce companies to make quicker deliveries: One of the key advantages that drones offer is speed. They can travel at high speeds and reach their destination faster than any other delivery method. This will be a huge boon for eCommerce companies that are always looking to make fast deliveries.
2. Drones will help eCommerce companies reduce their delivery costs: Another big advantage of drones is that they will help eCommerce companies reduce their delivery costs. Drones are much cheaper than traditional delivery methods like trucks and planes.
3. Drones will make it possible to deliver in remote areas: Drones will also make it possible for eCommerce companies to reach remote areas which were earlier inaccessible.
4. Drones will help eCommerce companies overcome the last-mile delivery problem: One of the biggest problems that eCommerce companies face is last-mile delivery. This is the final stage of delivery where the product is delivered to the customer’s doorstep. This is often the most expensive and time-consuming part of the delivery process. Drones will help eCommerce companies overcome this problem by delivering the products directly to the customers.
5. Drones will allow eCommerce companies to track their shipments: Drones will also allow eCommerce companies to track their shipments in real time. This is a valuable feature as it will help eCommerce companies keep tabs on their products and ensure that they are delivered safely and on time.
Concluding Notes
Despite several challenges, the eCommerce logistics industry in India is growing at a rapid pace. With the proper infrastructure and skilled personnel, eCommerce businesses will be able to overcome these challenges and grow their business.
The consistent penetration of AI into the mainstream of almost every industry further paves the way for businesses to explore cutting-edge technology such as drones to redefine their brand value and increase their consumer base.
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