Address Verification Solutions – Transforming Logistics Companies

By: yangung

Online shopping is the new normal for customers around the globe as home appliances, medicines, and every other product are available in e-stores. Moreover, logistics companies deliver them within days to buyers’ doorsteps. With over 21.5 billion parcels moving across different regions, online address verification has become crucial for parcel delivery services. 

Data discrepancies, pins at false locations, and other such mistakes result in additional chargeback claims which further increase the need for building efficient address verification systems. They cross-check details customers provide across global registers to ensure accurate deliveries. In return, logistic companies can reduce failed shipments, additional correction charges, and refunds due to customers’ complaints. The blog provides insights into how AI-powered address verification solutions ensure frictionless parcel deliveries. 

Online Verification of Address – Reducing Friction for Accurate and Timely Deliveries 

AI-powered IDV solutions are way more efficient than manual interpreters as they do not involve human errors. Furthermore, they verify address in real-time while limiting the hassle for both customers and logistics companies. As failed deliveries can compromise the reputation of the service providers and the e-commerce business, integrating efficient client locating solutions has become a liability. 

Online address verification APIs enrich and reduce discrepancies in customer data for logistics companies. They automate the parcel delivery process helping systems to correct typo mistakes, false information, and other such discrepancies. Furthermore, AI-powered verification of address also fills in loopholes left by online stores while saving resources and time for logistics companies. These solutions also provide insights into the kind of area where the customer is present, for instance, residential or commercial. It further enables courier services to:

Reduce Additional Shipping Charges 

E-commerce platforms lose a considerable amount every year to failed deliveries and chargeback claims. Furthermore, this also exposes logistics to waste fuel, manpower, and resources as they have to re-dispatch the packages. To reduce postage costs, cargo services require online address verification services. 

Optimize Checkout Experience

Logistics companies serve as a bridge between buyers and e-commerce sites. They pick purchased items from retailers and deliver them to the correct addresses. Courier services maintain records of customers they have once dealt with. By connecting these with e-commerce sites, logistics companies can add to enhance checkout experience. With AI-powered IDV solutions in place to validate address, customers won’t have to undergo the hassle to re-enter their information. Furthermore, buyers can autofill their details, increasing conversion rate for e-commerce sites. 

Overcome Fraud and False Chargebacks

Fraudsters often use false information or chargeback claims to exploit e-commerce sites and avail financial benefits. However, with advanced and automated verifying address solutions in place, online stores can identify these attempts in real-time. With solutions such as geotagging, AI-powered IDV solutions restrict fraudulent orders. Hence, logistics companies can differentiate between fake and actual locations by integrating address verification services. 

Standardize Customer Location Details

With millions of parcels flowing across different countries, it becomes tricky to deal with huge datasets. Moreover, every region has a distinct format to record addresses which further makes locating customers a challenge. Incorporating AI-powered IDV tools can help logistics companies to overcome this problem by enabling them to combine a variety of datasets. While enabling access to global records, online address verification solutions streamline locating buyers around the world. 

Address Verification Systems – Outlining Their Importance for Logistics Companies

Customers are more concerned about their privacy, on-time product delivery, and less hassle. Similarly for logistics companies, upholding their worth and retaining more clients is a topmost priority. However, with inadequate address verification systems, this becomes challenging. Therefore, courier services need to establish efficient mechanisms for carrying out location analysis on their part. With AI-powered IDV services in place, logistics companies can cross-validate address and prevent fraud. These solutions further benefit logistics companies in the following ways:

Reduce Financial Repercussions

Inaccurate data entries drive inefficiencies while verifying an address as they result in failed deliveries, lost items, redeliveries, and false chargeback claims. Moreover, these scenarios cause serious financial repercussions for logistics companies. This requires the courier service providers to integrate online address verification for stopping these issues from re-arising.

Map-Based Validation

AI-powered address verification solutions enable logistics companies to provide map-based data entry. With this feature customers only have to drop a pin at the exact location and cross-check the fetched data. This process allocates two-way benefits to both online stores in reducing hassle and for courier services to ensure accurate deliveries. 

Final Thoughts

Logistics companies are facing several drawbacks in delivering parcels to exact locations since the systems went completely digital. However, online IDV solutions help courier services not only validate address but also identify any shipping restrictions that exist in a particular region. Hence, logistics companies can reduce delivery errors, cut down on additional costs, and improve the overall customer experience.

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