Are Consolidated Deliveries Right For Your Drinks Business?
As drinks businesses continue to grow, many start to search for ways to make their drinks deliveries faster, more convenient and more eco-friendly. One often overlooked way to do this is through consolidated deliveries.
Consolidation in drinks logistics is something you often see in the service offering of third-party logistics partners (or a '3PL'). This is because 3PLs know and understand the importance of consolidating deliveries for multiple clients to help increase delivery efficiency, reduce carbon emissions and even make next-day deliveries possible.
Let's take a look at the benefits and potential drawbacks of using a 3PL's consolidated delivery system for drinks producers.
What is Consolidation in Drinks Logistics?
Consolidated deliveries in the drinks industry mean grouping orders from multiple drinks producers into one simple shipment. By consolidating smaller orders into full van loads and utilising multi-drop routes, transportation costs are lowered and deliveries become more efficient.
The Benefits of Consolidated Deliveries
What are the benefits of consolidation through third-party logistics providers for drinks businesses?
1. Environmental Impact
Transport For London carries out regular studies on the city's overall air quality, with their recent studies confirming that road vehicles are the biggest cause of air pollution in London, producing nearly half of all nitrogen oxides into the air we breathe.
Consolidating deliveries naturally reduces the number of vehicles on the road, which can have a significant impact on overall emissions. By loading vans with multiple brands, third-party logistics companies help reduce your drinks brand's carbon footprint, making it a more eco-friendly option compared to running your own dedicated fleet. For businesses looking to strengthen their environmental credentials, this is a great move forward into becoming more eco-friendly.
2. More Frequent Deliveries
One of the biggest benefits of consolidated drink deliveries is the ability to visit venues more frequently. For example, some UK 3PLs such as Tap'in offer delivery into London up to four times a week, ensuring your products remain in stock and your venues never run dry. This frequency is made possible by consolidated deliveries and helps your brand maintain a consistent presence in bars, restaurants and pubs while ensuring you're still expanding into multiple locations across the South-East and London.
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3. Next-Day Deliveries
Thanks to consolidation, most third-party logistics providers can offer next-day delivery services, which is a game-changer for many drinks businesses. Whether your venue needs restocking quickly or you're responding to seasonal demand, the efficiency of shared deliveries means that your chosen 3PL provider is more likely to be able to deliver your drinks the very next day—keeping venues stocked and customers satisfied.
4. No More Fleet-Running Costs
Running your own fleet of vehicles can be costly due to the price of fuel, insurance and vehicle maintenance. Don't forget the added inconvenience of vehicle breakdowns!
By partnering with a third-party logistics company and utilising their consolidated drinks delivery model, these costs are eliminated. Not only do you gain access to the 3PL's reliable fleet, but consolidated van deliveries mean more products can be delivered. Think: more vans with more deliveries per van means more products delivered at a lower cost!
The money and time saved on fleet management can be reinvested into other aspects of your business, such as marketing or product development, allowing you to focus on growing your business, without the added logistical headache.
Want to weigh up the costs of your in-house delivery against 3PL charges? Check out our PDL tool to see how much you could save when partnering with Tap'in.
5. Happier Venues
A 3PL’s consolidated delivery system can make for healthier venue relationships by ensuring reliable stock availability, simplified receiving of stock and reduced admin burden. Venues experience fewer stockouts and the stress that comes with it. With predictable, grouped deliveries, they spend less time managing multiple shipments. Happy venues, happy drinks producers!
Many venues also prefer consolidated deliveries as they offer a more convenient drop-off process compared to larger, palletised shipments, which can be challenging to manoeuvre on London’s narrow and bustling streets. Consolidated deliveries can minimise disruptions, improve efficiency and help create a smoother delivery process.
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The Disadvantage of Consolidated Deliveries
While the benefits of consolidated deliveries are clear, it’s important to consider the potential disadvantages.
1. Non-Branded Vans
One noticeable disadvantage of using a 3PL for consolidated deliveries is the lack of your brand's logo on the van. When you run your own fleet, you have the opportunity to customise your van using your brewery, winery or distillery's logo and slogan, helping to advertise your drinks brand while your products are on the road. 3PL use their own vans, which will not feature your specific brand logo. For businesses looking for any way to increase brand visibility, this could be a potential downside.
2. Less Control Over Delivery Times
Deliveries may have to adhere to fixed schedules set by the 3PL in order to make the most efficient service possible. However, most third-party logistics providers offer a bespoke service and will always try to accommodate special delivery requirements or needs. Consider this when enquiring about using a third-party logistics company and opt to choose a 3PL with a large reach to get the most out of your partnership.
Conclusion
Consolidated deliveries are a generally efficient, cost-effective and environmentally friendly solution for many businesses in the drinks industry. The benefits, including more frequent deliveries, next-day service and reduced fleet management costs, make it a popular choice for many drinks brands. However, businesses must weigh these advantages against the drawbacks, such as the lack of brand visibility on the van and less direct control over specific delivery times.
Whether consolidated deliveries are right for your business will depend on your unique needs, priorities and current resources. By carefully considering both the pros and cons, you can make an informed decision that best supports your logistics strategy and brand goals.
Consolidated Deliveries and More Benefits- Contact Tap'in 3PL to Outsource Your Logistics
Looking for an all-inclusive logistics solution that manages storage, order fulfilment and drinks delivery services for your brewery, winery or distillery? Tap'in has got you covered.
Our warehouse is conveniently located just outside of London is equipped to handle your whole product range, from kegs and casks to cans and bottles.
Tap'in can help support your drinks brand in multiple ways:
- Next-day Deliveries: keep venues stocked and customers happy with our next-day drinks delivery service
- Flexible Scheduling: we deliver drinks to key London postcodes up to 4 days a week, giving you the flexibility to meet demand and include an extra delivery if required
- Eco-Friendly Solutions: Tap'in use Packfleet for our London e-commerce deliveries, meaning all our DTC drops into the city use an electric fleet. This helps to reduce emissions and impact our carbon footprint positively
- Room To Grow: our service model is scalable, giving your drinks business the room to grow alongside your customer base
- Simple Pricing & Lower Costs: Tap'in charge by pence per delivered litre (PDL)- this means you're charged based on your business's individual quantities
- Focus On Your Craft: let us handle the logistics, so you can concentrate on what you do best: crafting exceptional drinks
Find out more benefits through our latest Tap'in blog:
10 Signs It Might Be Time To Use a Third-Party Logistics Provider For Your Drinks Business
Get in touch with our expert team today to learn more about how we can offer a bespoke, streamlined South-East and London logistics service. Scale with confidence with Tap'in.
You’re one step away from finding the operations team of your dreams.
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