Does the relocation and packers and movers industry have a strategy for smooth AI adoption in India?
For the relocation industry greater adoption of technology to drive operations and promote transparency in the business has been one of the most prominent changes impacting the industry.
However, it is only a handful of established and large packers and movers (P&M) and new-age aggregators have taken the lead in adopting technology.
The adoption of technology offers several benefits to P&M players. In a crowded market, the biggest advantage of deploying technology is that it proves to be the biggest differentiator in delivering customized services to customers. Other expected benefits of technology adoption are that it helps logistics players automate repetitive tasks and engage human resources in more productive activities.
Further, digital solutions help P&M players improve upon tracking and undertaking efficient end-to-end management of relocation projects.
Despite the multiple benefits of adopting technology, the industry is still a few years away from deploying technology en masse and at scale. There are several factors contributing to this slow adoption of technology.
A majority of moving companies in the country are boutique businesses that have small pockets with customers. Often such players have limited national and regional presence. Such boutique businesses are focused on offering customers a personalized experience instead of commoditized service offerings. Given the nature of their business, these smaller businesses see limited merit in adopting technology as there is lesser scope to build scale.
Other challenges are the high cost of technology solutions, the availability of cheap manpower, and the lack of customizable solutions. At present, most of the P&M players while considering technology adoption end up choosing the alternative of deploying cheaper manpower to run their business. Doing so helps P&M players avoid the initial high-cost involved in technology rollout.
In addition to high upfront technology rollout costs it’s the lack of customized solutions in the market that poses challenges for P&M players. Even with evolving technology and emerging digital solutions, they find it difficult to find customized solutions that suit the specific needs of their businesses. AI service offerings available in the market today are too generic. Importantly, the move to customize solutions to suit the business size, and geographical footprint, becomes a big barrier to deploying technology. Because customization implies that the cost of sourcing and deploying a particular solution goes up significantly making technology deployment an expensive and unviable proposition for the industry.
Do these challenges imply that the relocation industry is a laggard when it comes to adopting technology? The good news is that the answer is no.
A few areas where AI can be used in the relocation and packing and moving industry in the future are:
Automation in Warehousing and Storage
Automation in warehousing and storage using AI can offer a range of benefits, from reducing operational costs and increasing efficiency to improving accuracy and safety. AI-powered systems can automate inventory management, optimize warehouse layout and design, and provide real-time tracking of inventory and orders. By analyzing data from sensors, cameras, and other sources, AI algorithms can identify patterns, predict demand, and adjust operations accordingly. This enables warehouse operators to streamline processes and make data-driven decisions to improve overall performance.
Self-driving Vehicles
Self-driving vehicles using AI can transform the relocation and packing and moving industry by reducing costs, improving safety, and increasing efficiency. These vehicles can navigate through traffic and congested areas with greater precision, eliminating the need for human drivers. They can also make real-time adjustments to their routes and schedules, avoiding traffic jams and reducing delivery times. Additionally, self-driving vehicles can be equipped with sensors and cameras that provide real-time data on traffic patterns and road conditions, allowing companies to make data-driven decisions to optimize their operations. With the ability to operate 24/7, self-driving vehicles using AI have the potential to revolutionize the entire logistics industry, providing a faster, safer, and more efficient supply chain.
AI in Route Optimisation
AI-powered route optimization using machine learning algorithms, relocation and packing and moving companies can analyze large amounts of data, including traffic patterns, delivery locations, and vehicle capacity, to optimize routes for their drivers. AI can also factor in variables such as time windows, delivery priorities, and weather conditions to create the most efficient routes. This leads to reduced transportation costs, faster delivery times, and increased customer satisfaction.
Automation in Document Processing
Automation in document processing using AI can reduce errors, increase efficiency, and improve accuracy. AI-powered systems can extract relevant data from various documents, such as bills of lading and customs declarations, and classify them automatically. This technology eliminates the need for manual data entry, reducing the risk of errors and speeding up the processing time. Additionally, AI can verify the accuracy of the information against other sources, such as government databases or customer records. This ensures compliance with regulations and minimizes the risk of fines or penalties.
Automation in Scheduling Moves
Automation in scheduling moves using AI will ensure that large amounts of data can be analysed for customer preferences, move dates, and availability of resources, to optimize the scheduling process. Additionally, AI-powered scheduling allows the adjusting of schedules in real-time based on changes in customer needs, providing a more flexible and responsive relocation process.
Virtual Surveys
Virtual surveys using AI can revolutionize the relocation and packing and moving industry by providing a more accurate and efficient assessment of moving needs. Instead of physically visiting a customer’s home or office, AI-powered virtual surveys can be conducted remotely. Using advanced imaging technology and machine learning algorithms, virtual surveys can accurately identify the size and weight of items, estimate packing materials required, and even provide a 3D visualization of the space. This technology reduces the need for in-person assessments, saving time, increasing transparency and reducing costs for both customers and logistics companies.
App-based Instant Quotes
App-based instant quotes using AI can analyze customer data, such as the size of the move, distance, and level of service required, to provide instant quotes via mobile apps. This technology eliminates the need for time-consuming and potentially inaccurate manual assessments, providing customers with a more efficient and convenient service.
Customer Service Chatbots
Customer service chatbots using AI can provide customers with fast, efficient, and personalized service. Chatbots can handle a variety of inquiries, such as delivery status updates, scheduling changes, and pricing information, providing customers with instant assistance without the need for human interaction. By leveraging machine learning algorithms, chatbots can learn from customer interactions, providing more accurate and relevant responses over time. Additionally, customer service chatbots using AI can handle multiple inquiries simultaneously, reducing wait times and improving customer satisfaction. Overall, customer service chatbots using AI are a game-changer for the relocation and logistics industry, providing significant benefits for companies and customers alike.
Conclusion
Overall, the adoption of AI in the packers and movers industry in India can be challenging due to various reasons such as cost, availability of manpower, and technological readiness. While it is important to recognize the potential benefits such as improved efficiency, cost savings, and enhanced customer experience.
(This article is written by Mr. Rahul Pillai – Moving l Relocation l Logistics Expert, and the views expressed in this article are his own)
