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Case Study: Package.ai and Stella Home Delivery

January 02, 2023

The automation of its fulfillment processes and customer engagement helped Stella Home Delivery successfully scale its business while reducing employee hours and costs.

Company Overview 

Stella Home Delivery is the primary logistics company for dozens of appliance retailers in the New York Tri State area, providing both delivery and installation services. For over 30 years Stella Delivery has continuously offered premium white glove service for its customers. As a third-party logistics provider it has over 40 high-value retailers as clients, which it services with two warehouses and a fleet of 55 vehicles that make over 300 daily stops.

Success Indicators 

-10% failed deliveries

+60% confirmation rates

-50% labor costs

+100% increase in business

 

“With Package.ai, we were able to reduce costs and measurably improve customer satisfaction by providing visibility and control. Most importantly, package.ai helped us double our business.”

Andrew Lysandrou, Owner, Stella Home Delivery

Reasons For Approaching Package.ai

The manual management of orders, delivery planning, scheduling and confirmation required 10 full-time staff members and a day’s work to set the routes. The laborious nature and intensity of these daily tasks meant Stella Home Delivery’s warehouses were constantly running behind schedule. This had a significant knock-on effect to costs as extra employee hours and additional staff were frequently required to get things back on track. However, ultimately it was customers that suffered the biggest impact, with frustrated retailers left with poor visibility of the status of their orders. This was causing some to seek alternative logistics companies.

The Business Challenge

At the heart of its commitment to its customers Stella emphasizes reliable deliveries. However, as it struggled to cope with the growing requirements on its logistical department it began undermining this commitment. It realized things needed to change.

The company knew it needed to:

  • Transform its manual management and planning processes.
  • Eliminate reliance on additional employee hours and headcounts.
  • Improve customer communications to make the delivery status more transparent.
  • Improve customer experience by optimizing confidence in delivery reliability.

The Solution

  • The automation of scheduling, routing and delivery operations radically reduced employee hours.
  • These automated processes established order in the warehouse by increasing efficiency and reducing time and labor to prep the lines.
  • Interactive chatbot conversations powered by AI & automation dramatically improved customer engagement.
  • The resulting seamless and transparent fulfillment experience reduced failed deliveries.
  • Stella was able to reverse the tide of defecting retailers and rapidly grow its business.

Results 

The implementation of Package.ai’s complete customer engagement platform helped Stella Home Deliveries to:

  • Radically improve customer engagement, boosting delivery confirmation rates 60%.
  • Continuously connected fulfillment saw a 10% reduction in failed deliveries.
  • The automation of fulfillment planning reduced labor costs 50%.
  • The efficiencies and ability to seamlessly scale without the need for additional employees empowered Stella to grow its operations exponentially, quickly increasing business by over 100%.

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