Introduction to Retail Logistics

What is Retail Logistics?

Retail logistics’ is the process of managing the flow of goods from the source of supply to customers through efficient movement of logistics. Retail logistics system is highly dynamic and customer-focused in nature, these end-to-end supply chains need a high degree of synchronization and collaboration—both of which are being made easier by technology.

There are a wide variety of products in the market currently days and this requires a planned approach right from the start line until the point of delivery. Retail logistics ensures that everything is in place to offer better delivery and service at lower costs by way of efficient logistics and added value.


Functions of the retail logistics system

  • There are a variety of products in the market which has created the need to follow an effective logistics system. It takes care of the flow of merchandise from the producer or treater to the warehouse, arrangement of transport to the retail units till the merchandise is sold and delivered to the customers.


  • Retail Logistics system need systematic planning of movement of numerous goods to the customer in a proper way the system follows every step to satisfies the customer by taking the right product to the right customer, at the right place and at the right time in a cost-effective way.


  • Profitability of the present and future are maximized by the logistics system by means of fulfillment of orders in a very value effective approach.


  • It makes sure the availability of infrastructures such as warehousing, transport, inventory, and administration. The interrelationship that exists between these elements is effectively synchronized.


  • Retail logistics system strives to feature worth for the consumers. For this purpose, the cost elements in the supply chain are brought under the direct management of the retailer. Depending on sales volume, retailers produce central or regional distribution canters. The decisions such as investing in property, plant, and equipment with associated overheads are handled by the retailers.


  • The functions incorporated in the retail logistics are summarized below:
    • The transportation of products
    • the holding of the products in stock holding points
    • the holding of products in quantities needed to fulfil demand from the customer aspect
    • the management and administration of the method in a modern complex distribution system.

Get in touch with the experts at Tenaxx Logistics today for more information and updates about retail logistics system.