How On-demand Food Delivery Benefits from Fleet Management Software

Updated on Apr 28th, 2021

How On-demand Food Delivery Benefits from Fleet Management Software

Revenue in the Online Food Delivery segment is projected to reach US$136,431m in 2020 and is expected to show an annual growth rate (CAGR 2020-2024) of 7.5%, resulting in a projected market volume of US$182,327m by 2024. The market’s largest segment is Platform-to-Consumer Delivery with a projected market volume of US$70,741m in 2020. (Source)

Apparently, the on-demand food delivery market is changing how we consume delicacies and satisfy our taste buds. An incredibly thriving industry needs a strong technical back and fleet management software has been doing just the same.

Here we have outlined some of the different examples of the same.

1. Real-time Visibility Gets Your Up-to-date Information About Order Delivery

On-demand-Food-Delivery-Benefits-Fleet-Management-SoftwareReal-time visibility is very often the first thing that comes to mind when you want to integrate technology into your business. This specifically trends in the food and beverage industry where no matter how your delivery partner delivers, everything falls on you. A fleet management software is a must to know where each order is and how long will it take to deliver.

As the business grows, the importance of visibility only increases and it becomes vital for scaling the delivery. A fleet management solution provides you visibility into the driver’s location and that too, to each stakeholder involved. In fact, some of the cloud-based software systems ensure your control and visibility do not diminish as you extend your geographic reach, add more vehicles, or onboard more fleets.

2. Gives The Control of Your Delivery Team

Whether you rely on fleet within your organization or have hired someone like DoorDash, Uber, etc. to help you out, you would want to have complete control over your delivery team. This helps you ensure timely deliveries, justified SLAs, and optimum resource allocation.

Extending driver management capabilities, fleet management solutions help you to:

  • Driver and delivery scheduling
  • Tracking and understanding performance benchmarks and KPIs such as the number of orders completed
  • Permissions management

Fleet management solutions include centralized dashboards for fleet managers with real-time status updates for delivery in progress, as well as for managing driver schedules and vehicle capacity, and measuring driver performance (an important element in driver compensation. Business intelligence is an essential part of this process, so robust reporting tools should be included as well. The driver and delivery scheduling software updates in real-time, in order to help dispatchers or fleet managers optimize driver and vehicle management.

3. Enables You to Plan Fleet Dispatch

fleet-management-solutionOrder allotment is one of the most helpful aspects of fleet management software. With the right fleet management solution with you, you can perform tasks like:

  • Vehicle management – delivery scheduling must also be based on vehicle availability and knowing which vehicle is best suited for each order. For example, some deliveries may require vehicles with refrigeration or heating, or vehicles that can handle an item with unusual or unusually large dimensions.
  • Optimized routing and route management – An efficient fleet management solution lets you narrow down the best routes for order delivery considering various location-based constraints. You can customize the routes based on the cost to deliver, vehicle capacity, road condition, driver breaks, and more. The software allow allows for real-time data sync in order to accurately apply constraints and recommend an optimum route.
  • Driver Breaks – Some countries require fleets by law to allow drivers a certain amount of break time each day, or restrict their working hours to a specific amount. Fleet management solution automatically includes these breaks into the scheduling, to make planning faster and easier for dispatchers.

4. Garner Insights to Improve Processes, Marketing Strategies, and Boost Customer Understanding

In order to reach the optimal fleet performance and efficiency, you need to acquire as much data as possible – on both macro and granular levels. For example, knowing which fleet delivers more quickly can help you decide whom to dispatch – but so does knowing whether that speed is due to faster time on the road, or time on site, or time back to base (e.g. a warehouse or store). A fleet management system can apply historical data to machine learning in order to track time to base, time on side, vehicle unloading time, and other factors.

By better understanding where the gaps in fleet efficiency are, businesses can both address these issues and make more informed decisions about planning deliveries. The benefits of machine learning software don’t end there – besides improving efficiency, speeding up delivery times, and improving the reliability of delivery estimates will improve the end customer’s experience and increase brand loyalty.

5. Effective Boost to Delivery Team’s Efficiency and Retention

Driver turnover and retention is a well-known issue and expense when it comes to delivery businesses. Given that onboarding skilled drivers can take as long as six months, the cost of low driver retention is clear. Improving driver retention rates will significantly impact a businesses’ bottom line, and is therefore a critical component of any fleet management software that you evaluate.

A user-friendly and easy to onboard fleet onboarding software includes as much automation around delivery flows and task management as possible. Drivers should be able to see clearly when they need to scan items, collect signatures, and perform additional services like white glove deliveries.

It also helps to have fewer technologies to deal with – for example, using the same equipment – a mobile phone or tablet – to scan and log items, review routes, and confirm delivery. This functionality will improve performance around deliveries and services, but it will also make your drivers’ lives easier and be a competitive advantage over other potential employers.

6. Enhanced Delivery Team Safety

Besides safeguarding the people performing your deliveries, safety technology can also lower your insurance costs. Fleet management software includes or is integrated with, the following driver safety solutions:

  • Telematics – The most important safety feature vehicles can have are safety-conscious drivers. Telematics solutions use vehicle tracking to monitor speed, how often a driver breaks, and other data that can be used to rate how safely someone drives. This information can be used for gamification, giving drivers rankings for how safely they drive and using it to encourage a healthy competition around safe driving habits.
  • No Go Zones – Restrict fleets from traveling through (or to) unsafe areas. These can be temporary (e.g. a slippery frozen road or one struck by a landslide) or constant.
  • Hands-free driver app – Use a mobile app that automatically reverts to a hands-free setting when a vehicle is in motion.
  • Contactless delivery – both internal and external fleets should be tasked with leaving packages at doors where relevant and utilizing contactless methods of proof of delivery such as uploading photos of the delivered item.


Are you still an on-demand food delivery business aloof from telematics?

It’s time to revolutionize to grow your business?

And to help you with that, Matellio brings you a cutting-edge white label solution that brings all the necessary features right on your fingertips. Tailored to the specific needs of your users like fleet managers, drivers, individual starters, and large enterprises, our system offers all the vital tools to manage their day-to-day jobs and is fully compatible with most of the GPS tracking devices. The best part- we rebrand it for you. Book a free demo right away and get started.

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