This has shortly become a revolution for business, service providers and customers all at the same time.
The chaos started in 2009 with Uber’s launching peer-to-peer ridesharing service. This soon spread all over the world on a whole.
Uber is simple, convenient, and affordable and that’s what On-Demand businesses stand for; Simplicity and Affordability.
Uber’s Quick Realization of Needs of Customers
Uber identified market gap and realized people were reluctant to travel in taxis. Booking conventional taxis required physical effort. It hurt the social status of some people as taxis were visibly different vehicles. Uber cars are just like one’s car. You can book the cab from comfort of your home. What more could you ask for?
On-Demand solutions deliver as soon, cheap and conveniently as possible. We are on the same page talking about massive potential of technology in business analytics, healthcare, supply chain, logistics, marketing, human resource, and beyond.
86.5 million Americans have already experienced On-Demand services, highlighting the platform’s tremendous potential to attract customers.
Let’s explore how 2020 is going to look like with On-Demand businesses shining in their full glory!
Autonomous Vehicles will Deliver Parcels
Same-day deliveries will increase by 20% to 25%. Some e-commerce companies are already offering same-day deliveries within the city or if the order is placed in the first four working hours of the day. In 2020, the majority of the companies will offer instant delivery.
Research shows that about 25% of customers are willing to pay extra money for immediate delivery. On-Demand delivery solutions will satisfy these consumer preferences by 2020; therefore, boosting sales, increasing conversions, and enhancing customer satisfaction.
Meanwhile same-day delivery sounds like a treat, 2020 will also witness deliveries within a few hours via autonomous vehicles, such as drones and autonomous cars. Autonomous Ground Vehicles (AGV) are ready to replace regular parcel delivery via Artificial Intelligence.
AGV will reduce delivery costs by 40%, enable delivery to rural areas, and increase profit margins by 15% to 20%.
Autonomous vehicles are trained to make smart decisions while driving, by utilizing available information. They include cognitive, sensory, and executive skills to gather data and send it to the intelligent agent for decision-making.
Gartner concludes that 250 million connected cars will hit the roads by 2020. Tesla, Volvo, Ford, Volkswagen, and Audi are already experimenting with the technology and show promising results.
On-Demand Delivery and AI will Join Hands for Smart Delivery
On-Demand business solutions are based on data analytics, provided by Artificial Intelligence, to serve customers righteously.
AI allows On-Demand businesses to deliver products on time. It analyzes various internal and external factors that ensure timely and efficient. AI tracks inventory, production cycle, seasonal variations in production speed, employee morale and performance on the day, along with street layout, geographic location, weather, traffic patterns, available delivery vehicles, the average driving speed of available drivers, and more.
The analysis of data allows companies to predict the delivery time and make promises to the customers. Artificial Intelligence provides a clear picture while considering the obstacles and possibilities of fast delivery. It helps On-Demand businesses to avoid delays and rush hours, so riders don’t spend unnecessary time in transition.
Impeccable Inventory Management for On-Demand Businesses
Delivering products and services on time requires efficient inventory management, to serve unexpected demands as well. One dissatisfied customer or one out of stock item can bring the business down. According to research, poor shelf practices cause about 80% of stockouts, demanding companies to maintain optimum inventory levels. Artificial Intelligence will help On-Demand businesses to monitory inventory automatically. Once the stock reaches a defined level, the system automatically repurchases it from the designated suppliers. The lack of manual work ensures accuracy, avoids errors, and saves time.
Robots are taking over warehouse management. They perform higher frequency work faster than humans. Robots powered by Artificial Intelligence pick out orders and move them to the desired location, using cognitive and sensory skills.
On-Demand delivery solutions will dominate the businesses in the United States, transforming customer service, logistics, inventory management, product deliveries, and beyond. Parcels will dispatch as soon as the order is received, boosting customer satisfaction like never before.
Analysts predict that retail experience will gain popularity as customers will shift to On-Demand businesses. Visits to retail stores will become less frequent; therefore, customers will look for extensive shopping experience when visiting the stores. Therefore, brands will focus on efficient On-Demand platforms while maintaining the caliber of a retail shopping experience.
Rameez Ramzan is a senior digital marketing executive at Cubix, a leading software development company in Washington DC that specializes in On-Demand Apps, and Blockchain Development. With over 6 years of experience in the app development industry, Rameez is passionate about helping businesses to increase their brand presence on the internet via content marketing.