Velve Logistics

The Problem

Global e-commerce revolves around maintaining a stock of goods, and shipping methods generally rely on the services provided by major national and international express courier companies. Whether it involves curbside delivery or collection from a designated point, the logistical challenge is to efficiently handle a substantial volume of deliveries with relatively simple individual requirements.

IT plays a crucial role in warehouse logistics, particularly in the areas of picking and shipment tracking. E-commerce platforms are specifically designed to operate within this framework, ensuring smooth and effective operations.

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In the case of highly customised goods, such as a significant portion of the furniture industry, unique solutions are required. This is why we have developed Velve Logistics: a comprehensive solution for managing the availability and pricing of last-mile delivery services for just-in-time produced goods on a global scale.

The traditional approach employed by express couriers is not suitable for this type of goods: it is not a matter of delivering "packages". Instead, it involves engaging local micro-operators and addressing the challenges associated with handling large and diverse product categories that require specialized services. Installing a motorised pergola, a horseshoe-shaped walk-in wardrobe, or a tailor-made boiserie demands an entirely new solution.

The Solution

Velve Logistics streamlines the complex system that determines the availability and precise selling prices of delivery services, leading to enhanced customer service and more efficient margin control.

The typical user of Velve Logistics is a company that operates on e-commerce platforms, which often struggle to meet the unique requirements of highly customised goods.

With Velve Logistics, Sales Management can easily intervene in any geographical zone worldwide (1-), with any logistics operator (2-), for any type of delivery service (3-), and all this information is seamlessly integrated in real-time with the individual user's shopping cart (4-).
Velve Logistics automatically generates a multi-dimensional matrix across these four sets of parameters. In a matter of seconds, it enables global actions on last-mile delivery services, enabling adjustments to their availability, selling prices, and consequently, their margin.

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General Functionality

  • prices of delivery services can be displayed as a specific cost item in the basket or 'spread' over the price of the products in the basket
  • a proprietary algorithm allows the automatic selection of the specific Logistics Operator that will carry out a given delivery service in a given area based on customisable criteria such as Price, Territorial Focus, Delivery Time, Special Transports, Damage Incidence, Specialisation, All Risk Insurance, Effectiveness & Efficiency
  • pre-defined Standard Services are Warehouse Pick-up, Curbside Delivery, Floor Delivery, Assembly, Measurement Survey, Sales Commission
  • it is possible to create customised Generic Services, to manage specific cases that may not be satisfied by the Standard Services
  • for each available service, it is possible to manage (from a single panel and for each portal language) the name, description, link to a dedicated information page, possible supplements, and the Multiplier that defines the discount or mark-up with respect to the reference quotations for that service
  • it is possible to create Groups of Commodity Categories, through which specific pricing rules can be created for the various categories

Country Management

All the countries of the world are already classified and immediately available; for most of the countries of the world this is also true for the regions and the postcodes. For each country of the world it is possible to define:

  • the Default Service (the first delivery service that appears in the shopping basket)
  • the Geographical Criterion (the area segmentation criterion, based on country, region or postcode)

Operator Management

For each Logistic Operator entered, it is possible to define:

  • the Operational Zones
  • the Delivery Services offered
  • the main Delivery Service
  • the availability of All Risk Insurance
  • Operator Performance in terms of Effectiveness and Efficiency
  • Summer and Christmas Closing dates

For each Zone created it is possible to define:

  • the address of the reference warehouse
  • Delivery times
  • customised closing dates
  • the availability of Special Vehicles
  • Sub-Zones

For each sub-zone created, it is possible to define (on a postcode basis)

  • the Availability to offer services
  • any Surcharge
  • the eventual Minimum Value of the Surcharge

For each delivery service, in each zone, it is possible to enter specific logistics operator rates. Templates can be used to facilitate the creation of complex logistics networks. The tariffs for each delivery service can be 'unique' or a sum of other services.

For each Delivery Service, a customised interface allows the construction of highly customisable Tariffs. Some examples:

  • Tariff Unit of Measurement selectable from Cubic Metres, Percentage, Unit Fee, Flat Fee
  • possible Minimum Value
  • any surcharge for Area Not Accessible by Van
  • if applicable Limited Traffic Zone surcharge
  • possible Pedestrian Area surcharge
  • definition of managed housing plans
  • Unitary Tariff per Floor
  • possible voluminous package surcharge
  • Lift/Freight management (with Freight Disclaimer))
  • Assembly tariffs differentiated for groups of goods categories
  • Packaging disposal surcharge if applicable
  • management of Measurement Survey (as an Additional Service to other Delivery Services)
  • Generic Service tariff management customised as sum of Rate per Cubic Meter, Percentage Rate, Unit Fee and Flat Fee

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