Location analytics to Optimize Distribution Routes

Location intelligence through techniques based on Big Data collects spatial data in order to improve the decisions made in logistics centers, allowing the use of location and its related data points, creating solutions, and optimizing distribution routes.

This new technological tool finds its immediate application in space-dependent businesses, such as delivery and logistics companies. The data collected through infrastructure sensors, cameras, and traffic mapping not only allows them to determine the best locations for their businesses, warehouses, and centers but also allows them to know why certain locations have a direct impact on the success or failure of a business.

You may be interested in: “Footfall analytics: Costco Wholesale Vs. Sam’s Club.

Companies like Amazon have already incorporated location intelligence not only to better understand their customers but also to improve the way they run their operations, with the goal of reducing costs and increasing efficiency.

“Image showing an analysis carried out by PREDIK Data-Driven on the relationship of Amazon’s U.S. distribution centers.”

With the help of location intelligence, companies can determine which periods are the best for traffic flow by analyzing real-time data on traffic and traffic signals.

Applications of this tool in distribution route planning help companies to:

  • Identify possible routes to the destination.
  • Calculate the best possible alternative routes.
  • Analyze different factors, such as time of day, to obtain certain results.
  • Track last-mile delivery.

Location intelligence that optimizes route planning can uncover to reveal the unique way a business or company operates.

Also read: “Spatial Data to Optimize Supply Chains.

Also, it allows selecting the best routes for delivery and assigning the closest agents to the delivery point, providing information on the shortest routes between pickup and delivery locations, which increases the overall cost-efficiency of the process.

“Image showing the vehicular flow on one of the busiest highways in Mexico.”

By positively influencing route optimization, it brings cost-efficiency, thanks to the fact that companies save fuel, increase performance, and allow deliveries to be made on time to avoid complaints, which improves customer trust with the brand.

And finally, it allows accurate tracking of goods and the vehicles that transport them, taking into account different variables such as driver fatigue, weather conditions, road construction, etc., protecting vehicle fleets against theft, keeping goods and drivers safe.

At PREDIK Data-Driven we help our clients in planning delivery routes, optimizing their movement, improving their estimated time of arrivals, both to reach the distributors’ POS, to reach the consumer on time, to improve omnichannel strategies, and to better serve their entire customer base.

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