Contract Deliveries vs. On-Demand: Which Is Right for Your Singapore Business?

Contract Deliveries vs. On-Demand: Which Is Right for Your Singapore Business?

Nov 22, 2024

Nov 22, 2024

Every business in Singapore depends on timely deliveries, but choosing the best service model for your operations can be a tough decision. With the rise of sustainable options and the push for operational efficiency, it’s no longer just about moving goods from point A to B; it’s about doing so in a way that aligns with your business goals. Enter the two main delivery models: contract deliveries and on-demand deliveries. Each offers distinct advantages, but how do you determine which is the right fit for your needs?

This guide will break down the pros and cons of each model, the value of sustainability in deliveries, and how EVFY’s eco-friendly fleet can take your logistics strategy to the next level.

The Core Differences: Contract Deliveries vs. On-Demand

1. Contract Deliveries: Consistency and Predictability

Contract deliveries are a solid choice for businesses with regular, predictable delivery needs. If you’re shipping a specific volume daily or weekly, contract deliveries can provide consistency and often result in cost savings over time. When you set up a contract, you’re guaranteed a dedicated service and schedule, creating a delivery rhythm that benefits both you and your customers.

  • Reliability: With contract deliveries, you can count on consistency. You know that your products will be shipped and delivered on time, creating a seamless experience for your customers.

  • Cost Efficiency: Since you’re essentially bulk-purchasing delivery services, contract deliveries can often be more cost effective than one-off options, especially for businesses that rely on frequent deliveries.

  • Enhanced Planning: Contractual agreements provide the structure for planning resources, inventory, and even promotions around a reliable delivery schedule.

Yet, contract deliveries aren’t for everyone. If your business faces fluctuating demand or requires urgent, unpredictable deliveries, then being locked into a contract might limit your agility.

2. On-Demand Deliveries: Flexibility and Speed

On-demand delivery services are exactly what they sound like—services that cater to immediate, as-needed requests. This model is highly valuable for businesses with irregular delivery needs or sudden spikes in demand, such as seasonal businesses or those dealing in perishable goods.

  • Immediate Availability: On-demand services allow you to respond to real-time needs without planning ahead, making it perfect for unexpected orders or last-minute customer requests.

  • Scalability: As your delivery needs change, on-demand services give you the freedom to increase or decrease the volume as required, helping you avoid overpaying when demand dips.

  • Cost for Convenience: While on-demand deliveries are convenient, they often come at a higher price per delivery than contracted services. However, for some, the agility and speed justify the additional expense.

With on-demand delivery, businesses can enjoy rapid fulfilment and respond quickly to customer needs, but the variable nature can mean slightly higher costs and less predictability.

How Sustainable Delivery Solutions Fit In

In Singapore’s compact urban setting, the shift toward sustainability is gaining momentum. Businesses are increasingly prioritizing eco-friendly choices, not only to lower their carbon footprint but also to align with customer expectations. This is where EVFY’s electric fleet comes in. Our zero-emission vehicles operate at the crossroads of sustainability and efficiency, making each delivery an eco-friendly choice that benefits both your brand image and the planet.

  • Green Reputation: Partnering with an eco-friendly delivery service positions your brand as a forward-thinker in the industry. Customers recognize and appreciate companies that care about environmental impact.

  • Lower Environmental Impact: With zero emissions, EVFY’s fleet reduces greenhouse gases and air pollution, transforming each delivery into a step toward a cleaner Singapore.

  • Cost Efficiency Through Smart Routing: EVFY’s proprietary routing technology cuts travel time and conserves energy, optimizing every delivery’s environmental impact while ensuring cost savings for your business.

Choosing Between Contract and On-Demand: Key Considerations

When deciding which delivery model to go for, there are a few crucial questions to consider:

1. How Predictable Are Your Delivery Needs?

If you have a steady stream of orders and need frequent deliveries, contract deliveries offer structure and reliability. For businesses facing unpredictable demand, on-demand might be the better choice to help you scale up or down as needed.

2. Do You Prioritize Flexibility or Predictability?

A contract model gives you the predictability to set clear delivery timelines, manage inventory, and organize staffing. However, if you’re in a fast-paced or seasonal industry, the flexibility of on-demand delivery allows you to react quickly to sudden spikes in demand without being locked into a schedule.

3. What’s Your Budget?

If cost control is a priority, contract deliveries can offer more financial stability and efficiency. On-demand deliveries might come at a higher per-delivery cost but can prevent unnecessary spending when demand is low.

4. Does Sustainability Matter for Your Brand?

As sustainability becomes a business imperative, consider how your delivery choices impact your environmental goals. Partnering with a service like EVFY’s electric fleet allows you to minimize your carbon footprint, regardless of whether you choose a contract or on-demand model.

EVFY’s Electric Fleet: An Eco-Friendly Advantage for Both Models

EVFY’s fully electric fleet works seamlessly with both contract and on-demand delivery models. Whether you need predictable deliveries or spontaneous service, our zero-emission vehicles make every delivery a greener, more sustainable choice. Here’s how we make it happen:

  • Eco-Efficient Routing: Our cutting-edge routing technology reduces travel times, conserves energy, and minimizes costs.

  • Emissions-Free Operations: EVFY’s fleet doesn’t contribute to air pollution or greenhouse gases, making it a cleaner choice for every delivery.

  • Customer Satisfaction: Sustainability matters to today’s consumers. With EVFY, your deliveries showcase a commitment to green practices, adding value to your brand and building loyalty.

Final Thoughts: Which Model is Right for Your Business?

Choosing between contract and on-demand deliveries largely depends on your operational priorities. Contract delivery works best for those who need consistency, and cost-efficiency, and can forecast demand with precision. Meanwhile, on-demand delivery provides flexibility, scalability, and the ability to respond to fluctuating customer needs. And regardless of which model you choose, partnering with an eco-friendly provider like EVFY brings added benefits that align with Singapore’s push for greener business practices.

By choosing EVFY, you’re not only optimizing your logistics strategy—you’re embracing a future of clean, sustainable delivery. Every mile we drive is emission-free, creating a better future for both your business and the planet.

Ready to power up your logistics with an eco-friendly solution? EVFY’s electric fleet offers sustainable, reliable, and cost-effective delivery options tailored to your needs. Let’s make every delivery count. Contact EVFY today and take the first step toward a greener, smarter delivery solution!

Decarbonise your logistics and unlock efficiency with EVFY

Decarbonise your logistics and unlock efficiency with EVFY

Decarbonise your logistics and unlock efficiency with EVFY