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How small businesses can compete with the giants in logistics

Large companies are squeezing small businesses in logistics by price, scale and technology. If you simply work according to the old schemes, the money will go to the giants of the industry. To survive and make money - you need to be faster and more flexible. In this article on the website of LLC «FabriQuanta» you will find recommendations on how to bypass major competitors and not lose profits.
Niche and personalisation
Don't try to please everyone. Big companies can afford to deal with a huge number of customers, but you can bypass them if you specialise in a narrow segment. Offer customers not only a fast service, but also cater to their individual needs, so you provide something they probably won't get from a big player.

It is advisable to research what your customers need and create offers that the big competitors don't have. Also, implement flexible terms for different customers: be prepared to provide more personalised delivery.

Local expertise
You know better what customers in your region need. Large companies often don't have a deep understanding of the local market and specific needs. You can offer more convenient routes, better fares and serve customers the way they want to be served.

Recommendations:
  • Study the market and offer routes and delivery times that will be your advantage.
  • Work with local partners and warehouses to reduce costs and improve service.
  • Focus on quality and uniqueness of service rather than quantity coverage.

Outsourcing and partnerships
Don't pull everything on your own - partner with other local businesses and pool resources. This will help you cut costs and offer a better service. Agreements with smaller companies can be helpful, as can working with marketplaces and online retailers to provide them with logistics solutions.
Customer care
You can't compete with monopolists on scale, but you can offer something they can't - customer care for every customer. Customer retention is key to keeping you afloat. Loyalty programmes that encourage repeat orders will help you with this. It's also important to establish personalised contact with your customers: address them by name, find out their preferences and offer only what they need.
Digital marketing
Even if you can't afford huge advertising budgets, that's no reason to stop. Technology and social media are your trusty friends. Use targeted advertising on social media to precisely hit your audience, work with bloggers, customise SEO, attract attention through interesting content.

Small logistics businesses can win through speed, flexibility, and customer focus. As long as there is no action, there is no profit. The sooner you start acting, the better chance you have of carving out a niche and growing your business rather than fighting for survival.
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