Why Predictive Analytics is a Must-Have for Shipping and CX in Today’s Market
The shipping industry is constantly evolving, and with the increased demand for e-commerce, the need for a seamless shipping experience has never been higher. Predictive analytics is a game-changing technology that can help businesses to not only improve their shipping process but also enhance their overall customer experience. In this article, we’ll explore the importance of predictive analytics in the shipping industry and how it can help businesses to stay ahead of the competition.
Why Predictive Analytics Matters to Shipping and the CX
The escalating economic ambiguity has brought about a surge in threats to the shipping experience, most notably with porch piracy and fraud. In 2022, Safewise reported a staggering increase in 50 million packages disappearing from porches compared to the previous year, totaling over 260 million missing packages. Notably, a recent UPS Capital Insurance Agency, Inc. report revealed that surveyed online shoppers attribute half of the overall customer experience to the shipping process. Given these statistics, it’s no surprise that a majority (71%) of surveyed merchants believe that providing customers with access to advanced shipping analytics would improve their business’ overall customer satisfaction and effectively combat these perils.
Predictive analytics is a technology that enables businesses to anticipate future events and outcomes based on historical data and machine learning algorithms. In the shipping industry, this technology can be used to predict delivery times, mitigate potential issues, and enhance overall customer satisfaction. For example, by analyzing past shipping data and identifying patterns, businesses can predict potential delays and implement corrective measures to avoid them. This not only helps to improve the shipping process but also enhances the overall customer experience.
In line with the report from UPS Capital cited above, nearly four in five merchants (84%) surveyed indicated their willingness to invest in premium access to data insights that leverage predictive analytics. This willingness is driven by their desire to mitigate shipping issues and enhance overall customer satisfaction. By investing in predictive analytics, businesses can gain valuable insights into the shipping process, including real-time alerts, delivery time predictions, and package tracking. This not only enables businesses to stay ahead of the competition but also helps them to deliver a superior customer experience.
The benefits of predictive analytics extend beyond the shipping industry. By leveraging this technology, businesses can improve their overall operations, optimize their supply chain, and increase revenue. The data insights provided by predictive analytics can help businesses to identify inefficiencies in their operations, optimize their inventory management, and better understand customer preferences. This not only improves the bottom line but also enhances the overall customer experience.
The shipping industry is undergoing a rapid transformation, with businesses facing increasing pressure to deliver a seamless shipping experience. Predictive analytics is a powerful technology that can help businesses to stay ahead of the competition and enhance their overall customer experience. By investing in premium access to data insights that leverage predictive analytics, businesses can gain valuable insights into the shipping process, mitigate potential issues, and improve overall customer satisfaction. As the market becomes more uncertain, businesses that leverage predictive analytics will be well-positioned to succeed in the future.