Direct Store Delivery and its importance for retailers
Direct Store Delivery (DSD) is a business term for a way to get the product from the supplier directly to the retail store. And the manufacturer, then it is agreed on the group of products that Direct Store Delivery or (DSD) will be applied to, Also, DSD is an alternative distribution model for distribution center and tends to be widely used in the food industry for fresh products such as milk and bread. And in this article we will learn all the details about Direct Store Delivery or (DSD) and its importance for retailers.
What is Direct Store Delivery (DSD)?
It is a supply chain management in which the product is delivered from the place of manufacture directly to the retailer, and this process is widely used in the food industry, and perishable products.
Direct store delivery is becoming more and more popular; as this type of delivery helps producer companies maintain quality control at every step of creating, storing, shipping and delivering their products.
And that helps companies in reducing inventory loss, which costs companies billions each year.
Advantages of dsd (Direct Store Delivery)
There are a number of advantages offered by using Direct Store Delivery, the most important of which are:
- Better inventory management, due to the fact that the company representative visits the retailer frequently;
- Lower costs for labor expenses that include rearranging and marketing products;
- Low labor cost associated with inventory and warehousing process;
- Reducing the delivery time and the speed of the product’s transfer to the market, as it is supplied directly to the points of sale.
DSD distribution
When companies follow the policy of dsd, they depend on distributing their products to sales representatives.
The sales department employs a number of delivery workers and distributes them to the areas covered by their products. It also adds a percentage of sales for each representative to stimulate and activate the sales and distribution process.
DSD meaning in retail
As for dsd meaning in retail, it is one of the tools that helps retailers reduce operating costs by avoiding the retailer’s distribution center, so that goods are transported directly from suppliers to the retail store.
This effectively helps reduce time and more costs, thus increasing the retailer’s bottom line, and also gives retailers greater control over their inventory, allowing them to grow their sales easily and quickly.
Direct store delivery software LOGSTIAT
DSD is a process in which a product is created, stored, and delivered to retailers without the use of an external logistics provider or an intermediary shipping company.
Direct store delivery software helps to complete this process easily and quickly with superior accuracy through delivery management system, as it provides warehousing, routing and other logistics services along with a number of additional features that unify operations across the supply chain, which will help companies in:
- Improve supply chain visibility.
- Taking greater ownership of deliveries.
- Develop more effective communication with customers.
LOGSTIAT can offer you the best direct store delivery software along with a number of other technologies and logistics based on artificial intelligence and the latest technology.
