Logistics and supply chains aren’t new concepts. But in industries like perishables, they become more complex and present companies with new challenges.
Before selecting a meal kit home delivery partner, make sure to consider more than just the size of the company or the flashy tracking software they use. Start by considering the biggest challenges in the home delivery industry today and how your home delivery partner will help solve these.
So what are the top considerations for meal kit delivery? The Home Direct Express team sits down to lay them out here.
1. Cost of claims: “One of the most common complaints among meal kit customers is lost or damaged packages,” says Elizabeth Harris, COO of Home Direct. “This comes at an enormous cost for companies, wasting not only money and product but also costing them their customer base. Customer complaints are a leading indicator of bigger problem than just the cost of the claim.”
2. Location to market: We use the phrase “from dock to door” often, and it’s important to consider – just how far is the delivery company’s distribution center from your core market? Your customers are expecting fresh perishables, ready to prepare for their meal. Home Direct prides itself on partnering with perishable companies specifically, prepared to help you deliver on your brand promise and avoid unhappy customers.
3. Package sizes: Dimensional weight plays a significant role in pricing models for residential delivery. And while Home Direct’s pricing structure is reliable and typically half of what its competitors charge, companies like FedEx have recently announced that even smaller packages and parcels will be under the DIM pricing structure. This structure can add up to 20% to transportation costs, and when partnering with a company like Home Direct, DIM is not part of the pricing structure, keeping costs down.
4. Delivery times: Make it easy for your customers to use your meal kits. Using a delivery company that delivers by 8 p.m. (most of them do) means you’re most likely missing the dinner-time window for that day. What’s more, some companies only deliver Tuesday/Thursday, not on Saturday, etc. Home Direct recognizes this problem and promises delivery by 6 p.m., 7 days a week so your customers can enjoy their meal kit at its freshest.
5. Special handling: Do you want your meal kits on trucks with other packages like tools, detergents and tires? Often times, residential delivery companies are transporting your meal kits right down the line with all types of packages. Unlike this mass delivery model, Home Direct has designed a supply chain with meal kits in mind, built to handle delicate perishable packages. Special handling and quick delivery ensure your kits arrive in perfect condition. And the icing on the cake – Home Direct doesn’t charge a premium for perishables.