Improved Customer Satisfaction by Parcel Optimization / Adastra

>10%

increase in average fill rate of parcels

improve

cost of void fill materials and environmental footprint

focus

on improved customer satisfaction

Business Case

We all know this situation: Customers receive a parcel, which is hardly filled but has lots of void space, often thinking: “Why was such a big parcel used for shipping my order?” Likewise, from the company’s perspective this is far from desirable. Such packaging leads to unnecessary waste and cost (e.g., for filling material) as well as potential sales reduction resulting from frustrated customers.

Our client – a leading company in shipping beauty products to customers – was receiving several complaints from customers about under-filled parcels with significant void space. The client was looking for a solution to optimize parcel types to improve fill rates.

Customer's Objectives:

Improve fill rates of parcels
Enhance customer satisfaction by reducing void spaces and thereby the enterprise’s environmental footprint
Reduce cost of void fill materials

client

a leading company in shipping beauty products to customers

Solution

Using historical order data and taking the company-specific packing procedure into account, we leveraged our self-built advanced AI-platform to optimize the parcel dimensions in such a way that the average void space per parcel was minimized. We provided our client with a scalable and efficient analytical tool that determines the optimal parcel sizes and improved fill rates for different parcel types.

Benefits

More than 10 percentage points increase in average fill rate
Reduced cost of void fill material
Reduced environmental footprint
Improved customer satisfaction achieved through the shipment of products with the right parcel sizes

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This success story was presented by our colleague Dr. Michael Simora (Lead Data Governance / Data Science Consultant) in a session. You are welcome to watch the recording to get even more details and interesting insights.

Video: Parcel Optimization: How to improve your environmental footprint and customer satisfaction

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Is your company facing a similar logistic problem?

Adastra can offer you the help you need. Starting with initial workshops, we will analyze your current situation and suggest the best optimization approach that can solve your problem. Using scalable machine learning techniques combined with the most efficient optimization algorithm, we will provide you with a cost-effective solution in a period of three to four months. After we have determined the optimal parcel sizes for your logistic needs, we can also support you in the next steps, such as an optimal loading of your containers or trucks, as well as routing them optimally.

Want to know more? Let's talk.

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Maya Petkova

Sales & Business Unit Manager

Dr. Michael Simora

Head of Adastra South Germany

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