Designing a 1-2 day nationwide shipping network requires careful planning and consideration of several factors. However, if done right, it is possible to meet rising consumer expectations at a highly efficient cost. In this article, we walk you through step-by-step on how to design a 1-2 day nationwide shipping network.
Steps to design an effective shipping network
Define your customer base
Identify the geographic areas where you have the highest concentration of customers. This will help you determine the regions that you need to cover, the shipping zones that you need to establish and where to strategically locate your warehousing facilities.
Establish shipping zones
Divide the country into shipping zones based on distance, transit time, and cost. This will help determine carriers to work with, shipping rates for each zone, and where to locate warehouses.
Select carriers
Identify carriers that offer reliable and cost-effective shipping services to the regions that you want to cover. Consider carriers’ transit times, delivery capabilities, and rates.
Determine shipping cutoff times
Establish shipping cutoff times for each zone to ensure that orders are shipped out on time and meet the 1-2 day delivery window. Consider carriers’ pickup schedules, transit times, and delivery windows when establishing cutoff times.
Establish warehouse proximity
Establish warehouse facilities in strategic locations to minimize transit times and optimize delivery routes. Consider factors such as proximity to carrier facilities, transportation infrastructure, geographic location of your customers, and labor availability.
Optimize transportation routes
Optimize transportation routes to minimize transit times and reduce shipping costs. Use routing software to determine the most efficient routes for each carrier and zone.
Monitor and evaluate performance
Monitor and evaluate the performance of your shipping network regularly to identify areas for improvement. Use data analytics and reporting tools to track transit times, delivery rates, and shipping costs.
Achieve 1-2 day shipping coverage with WarehouseQuote
WarehouseQuote can help your firm improve 1-2 day shipping coverage with our Warehouse Location Optimization analysis. In this study, we will analyze your outbound order distribution through our proprietary algorithm of 7MM shipping points. Additionally, we run SKU analysis studies to determine the right allocation of inventory to drive network efficiency.
Reach out to our team today and learn more about how we can help your business drive cost efficiency and meet rising consumer expectations.