After the second phase of Covid-19, the surge of new cases slowed down several sectors all around the country. Even though, the delivery and logistics remained silent and the transactions kept smooth and uninterrupted all the time.
Right now the delivery logistics witnessing a surge in the transactions and hopefully to be restored to normal soon. In the initial stages of Covid-19, the delivery brands played a key role in holding the surge of the virus to a level. Apart from the fact of delivering the products and needs on time to the customers, the brands stood tall in providing employment opportunities to the young in India.
The pandemic surge resulted in an increased market share of e-commerce brands in India. The past couple of year’s data shows a low penetration on markets for delivery and logistics brands across the country. The pandemic and the adjusted life situation followed by the hike in virus resulted in increased usage and dependency on online delivery brands.
Delhivery, the leading supply chain in India has managed to raise $277 million (over 2000 Crore) from Singapore’s Sovereign Wealth Fund GIC and U.S Fidelity. The latest reports say that FedEx has already invested $100 million in the company. Delhivery also has plans to go for an IPO in the year 2022.
The Forbes report points out that around two-thirds of the logistics companies are in the opinion that the technology adaptation is an inevitable part of gaining significant productivity in delivering. Around 54% believe that the use of advanced technology will result in the overall customer journey. The real-time transportation tracking facility, where the customers can have a clear picture of the location and movement of their products.
Commenting on the increased market share, Ketan Kulkarni, CEO, and Head of Business Development, Blue Dart said, ‘smooth running of trade and commerce is important for the development of an economy, so the demand for logistics and online delivery will always be on top. Since the GDP indicators are hoping to be climbing, we are looking forward to capturing a higher growth scale in the coming years. Focusing on reducing the logistics cost soon, the government will also help in to get us on the right path in cost reduction via applying certain policies, in which most of the developed nations logistics cost is mere 6–7% of GDP’.
(This article was originally published in Passionate in Marketing)