Grocery logistics are a constant necessity and a service that will never fall out of demand. Indeed, entire markets and economies of many areas across the nation hinge on food and beverage transportation.
Demand increases continue for both online grocery sales and grocery delivery. In June 2024, online grocery sales reached $7.7 billion – and 8% increase compared to last year. At the same time, grocery delivery jumped 18% year-over-year to hit $2.9 billion.
And that’s just one example of the trends that affect the evolving grocery business.
In the current environment, grocery store supply chain management is critical for organizations focused on competing and building competitive advantage.
Here are some common challenges in grocery logistics and our experts’ solution suggestions.
1. Grocery Logistics Must Overcome Risk of Spoilage
The single most significant obstacle facing grocers and F&B shippers is the risk of spoilage. Many products can sit an extra day or even a week with little concern. When produce sits at a grocery distribution center or in long load lines due to poor dock scheduling, entire loads can spoil, costing everyone a great deal of time and resources.
Use Temperature-Controlled Delivery or Ensure Proper Insulation for Short-Transit
2. Poor Visibility Results in Delayed Deliveries, Odd Substitutions
In some situations, if a particular item or product is unavailable, substitutions may be made to fulfill delivery quotas and stocking needs and satisfy transport management guidelines. This might not be an issue in some markets. It can be a problem for those dealing with grocery store supply chain management when certain produce is unexpectedly substituted.
Gain Real-Time Visibility Into All Inventory to Avoid Backorders
3. Limited Controls Over the Final Mile Remain
Track and Optimize Final Mile With Dedicated Service Providers
Partnerships with shipping and courier networks make it easier to find delivery carriers who know how to handle reefer and other sensitive loads safely and efficiently. With real-time tracking and near-instant disruption notifications, these transportation experts know how to move produce from grocery distribution centers to the final storefront.
4. Poor Integration Between Systems Contributes to Fulfillment Delays & Errors
Unify Your Grocery Supply Chain Data Within a Single TMS
Industry experts with tools, software, and technology innovations make grocery logistics easier. Coordinating with grocery distribution center teams, drivers and shippers, and grocery management is more accessible with a single TMS integration for food and beverage transportation. This yields fast and reliable delivery assistance.
Calculate your potential Saving While Using an enterprise TMS
Deliver a Fresh Grocery Logistics Experience With the Right Partner
Keeping up with the latest trends and advancements in grocery logistics and transportation services can seem daunting. Managing team members, third-party vendors, and a network of drivers requires fully integrated TMS platforms. The technology makes the entire process of produce and grocery transportation more accessible than ever for grocery store supply chain management.
The right tools, insight, and guidance can make the entire process fast, easy, and affordable.
Download our Sprouts case study to learn how MercuryGate helped overcome core challenges.