Multi-stop route planning and why is it important?

Updated on: Jul 14, 2022

How do you get your drivers to make more deliveries each day and become significantly more efficient without compromising on their time and energy? The answer is simple: multi-stop route optimization.

According to a report by Mordor Intelligence, the route optimization software market is expected to witness a compound annual growth rate (CAGR) of 10.9% between 2021 and 2026. A robust route optimization solution has the potential to transform businesses with uninterrupted on-time deliveries, putting a smile on the customer’s face and multi-stop route planning can help with that.

Multiple deliveries mean manually planning multiple routes with multiple stops, which is time-consuming. Fleet managers need to factor in route constraints such as traffic congestion and roadblocks while planning when solving the vehicle routing problem. When this planning is carried out manually, the chances of making mistakes are high, resulting in delays in deliveries and disappointing customers.

Keeping the customer happy is the top priority for every delivery business. Here’s how you can plan delivery routes with the help of a multi-stop route planning software when there are multiple drivers and thousands of destinations.

What is multi-stop route planning?

Delivery agents and sales representatives are always on the run and usually pressed for time, visiting customer after customer. Multi-stop route planning selects the optimal and most productive route for visiting multiple customer locations. It considers several variables such as fleet and driver availability, delivery address, shipment volume, fuel efficiency,  and traffic conditions. It also makes room for unforeseen events that can happen at the last minute, such as vehicle breakdowns and road closures to figure out the fastest and the most efficient routes for delivery agents.

What is a multi-stop route planning software?

Multi-stop route planning software helps optimize delivery routes that have multiple customer locations. It makes last-mile delivery more efficient and helps businesses increase their profit margin. A route planning software with unlimited stops also helps riders drive smartly and makes the fleet manager’s job easy by planning effective delivery routes.

Some key factors that can be taken into consideration when planning multi-stop routes include:

1. The geographical area: By studying territory or locations with data science algorithms, routes can be planned in a better way. Often, the larger the geographical area is, the fewer stops a driver can make in a day. 
2. Prioritizing customers: Focusing on the customers who promise the most returns first can be an effective strategy in multi-stop route planning. 
3. Being efficient: The main function of a multi-stop route planning software is to minimize the time on the road and carry out the maximum number of deliveries in a set time.

The Essential Features Every Fleet Manager Need

Why consider using a multi-stop route planner for your delivery business

Planning routes for multiple vehicles and multiple stops using a multi-stop route planner for your delivery business can help save time and resources by automating and organizing processes. Here’s how a multi-stop route planning software can help your delivery business reach customers faster and operate more efficiently.

1. Helps to plan routes quickly

Multi-stop route planner allows you to add specific time windows, taking business-level considerations into account to plan delivery routes quickly. They are easy to use and adjust routes automatically in case of any unexpected events like traffic, roadblocks, etc.

2. Allows easy and automatic distribution of routes to fleet drivers

Last-minute route changes trouble drivers and fleet managers very often. Calling or messaging drivers on route updates, confuses them and leads to delivery delays.

Multi-stop route planning software automatically sends route updates to the driver’s smartphone. In the event of last-minute deviations, your drivers will get to know the exact details of the destination, thus avoiding confusion.

3. Convenient re-optimization of routes

Unexpected situations like vehicle breakdowns, accidents, or roadblocks can delay your daily delivery plan. The fleet manager has to re-assign deliveries to other drivers to compensate for the loss of a vehicle. A multi-stop route planning software enables you to shuffle the fleet and plan deliveries.

4. Makes your driving productive and efficient

Drivers riding additional miles increases your last-mile delivery costs. The extra time they spend on the road leads to increased maintenance and liability costs for the fleet. This also impacts the productivity and efficiency of the fleet.

A multi stop route planning software saves unnecessary miles, thereby reducing the money spent on fuel. Real-time tracking helps fleet managers analyze deliveries and devise ways to enhance their productivity and efficiency.

5. Maximize routing efficiency with a limited fleet

The biggest challenge for small and mid-sized fleets is to maximize routing abilities with limited fleet and budget. A multi-stop route planning software helps in solving the vehicle routing problem by finding an optimized route for multiple stops based on fleet size, budget restrictions, vehicle capacity and other important factors. Multi-stop route planners enable small and mid-sized fleets to segment routes and set delivery zones. These abilities help them improve fleet operations and save money.

How to choose Route Optimization Software for Small and Mid-Sized Fleet?

Conclusion 

A multi-stop route planning software enhances efficiency and customer satisfaction, thus helping logistics companies thrive in a competitive business environment. Locus’ Dispatch Management Platform plans day-to-day dispatch operations and creates detailed routes for unlimited stops for drivers to follow. It carries out street-level routing and does intelligent task allocation to maximize efficiency and productivity.

Any last-minute changes are taken into account and implemented swiftly. Locus’ Dispatch Management Software makes multi-stop route planning operations economical and transparent.

Partner with us and optimize your day-to-day delivery routes now. Get in touch for a quick tour of the platform.