Strategies for Running an Expedition Business with ERP Software

For those of you who often shop online, you may be familiar with the term expedition. Expedition is the activity of sending letters, goods, and so on.

Expeditions with e-commerce have a relationship with each other, when you make a purchase through e-commerce, then you need an expedition in sending the goods you order.

Quoting through Kominfo, the growth of the value of electronic commerce or e-commerce in Indonesia reached 78% and Indonesia is the highest country in the growth of e-commerce in the world.

According to databoks, there are 20.8% of Indonesians who often do online shopping activities. It can be said that this number is a fairly high number.

With so many Indonesians who carry out e-commerce purchase activities, then as an entrepreneur, you can make a strategy in running expedition services in Indonesia.

To find out more about what expeditions are to the right expedition business strategy, see the explanation of the SAP Bandung article below until it's complete!

What is an expedition

Expedition is an activity provided by the company in the field of goods transportation services, mail delivery, and so on. The shipment is carried out either by land, air, or sea route.

Through expedition services, sellers and customers will get convenience in sending goods from one city to another. In sending goods through expedition services, usually buyers will be charged shipping costs according to the weight of the goods and the distance of the city to be traveled.

How Does Expedition Work?

·    The way of work in an expedition can be divided into several stages, among which are the following:

·      Prepare the goods to be delivered. The goods to be shipped must not violate the provisions of the shipping company.

·  Packing or packaging goods. Packing must be done correctly so that no items are damaged during shipping.

·   Take care of the papers for administration and customs clearance, especially for goods shipped from abroad.

·      Specifies the type of transportation to be used, whether by land, sea, or air.

Differences between Expedition, Logistics and Freight Forwarding Services

In the activity of shipping goods, there are three services that you can use. The three services are expedition, logistics, and freight forwarding services. However, the three services have differences, among which are the following.

1. Expedition

Expedition is a service that focuses on the activities of delivering goods. In general, expedition services are used for small goods.

2. Logistics

Logistics is an activity that usually handles the needs of shipping goods of larger companies, such as fleet procurement, warehousing, to logistics management at a company.

3. Freight Forwarding

Freight forwarding is an activity of shipping goods that is more towards exports and imports, both from abroad and abroad. Usually the delivery of goods using freight forwarding services is carried out in large quantities.

Expedition Business Opportunities in Indonesia

With the high development of e-commerce in Indonesia, of course the expedition business has a great opportunity. This is inseparable from the role of people who often carry out buying and selling activities online.

The presence of e-commerce in the midst of society can connect buyers who need goods and sellers who need expedition services in sending buyers' goods.

In addition, the expedition business is considered to have affordable capital. With a small capital, you can already run an expedition business. Currently, there are also many expedition service companies that open partnership opportunities starting from IDR 5 million.

1. Promoting

Every time you run a business, of course you need a promotion. You can promote the expedition services you run through social media such as Instagram, WhatsApp, Facebook, and so on.

On social media, you can provide information about ongoing promos to attract customer interest.

2. Cooperating with Merchants

This second strategy is also considered quite important to do in running a business.

In this case, you as someone who has a business in the field of expedition services can cooperate with merchants or several stores that need freight forwarding services.

This cooperation will provide a two-way advantage, because the seller has a shipping service for the goods sold and you as the expedition party can make a profit.

3. Determine Prices Tailored to Competitors

As you know, price is an important consideration of customers when using your services. Regarding prices, you must be able to determine shipping rates or shipping costs that are not too expensive, but also not too cheap from the prices set by existing competitors.

How ERP Software Helps Logistics Business

The development of the digital era that is happening today certainly presents many conveniences in various fields. One of the results of digital development is the creation of ERP software that can provide convenience for business people in carrying out logistics business activities.

ERP Indonesia software can provide you with convenience in presenting data accurately and in real time. This will certainly make it easier for superiors or responsible parties to make a decision quickly and precisely.

One of the best ERP software you can use is PipeSys Software. Through the distribution and inventory modules provided by the PipeSys distribution software, companies will find it easy to implement inventory automation systems in the warehouse effectively and efficiently. You can also find out the ins and outs of goods to and from the expedition warehouse.

Using PipeSyssoftware, you can also monitor stock levels in warehouses, store all information about warehouse items, assess inventory, and track company inventory in real time.

Want to control the inventory in the expedition warehouse easily, quickly, and accurately? Use pipesys software  right now!  You can also custome ERP software according to your company's needs.

That's information about the strategy of running an expedition business that you need to know, hopefully the information above can be useful for you!