LogiPe – A One Stop Financial Solution For Indian Road Logistics
Published By: LogiPe on August 25, 2022
The state of logistics payment services in India
The logistics sector is a significant player in the Indian economy. Its share in the GDP is steadily rising, and it provides a large number of jobs. However, it is beset with many issues due to systemic problems. Here we discuss a few prominent issues, both in logistics and payments.
Poor infrastructure: There is a lack of infrastructure investment, which reduces operations’ cost-effectiveness. Indian logistics services have to choose less efficient methods of operation, lowering their profit margins.
Reluctance to adopt new technology: Most logistics firms are slow to use the latest technology. As a result of persisting with older methods like physical paperwork and billing, their operating efficiency drops.
Labour challenges: The labour pool for logistics is mainly unskilled. To achieve better productivity, the firms must provide employees with a significant amount of training. This training could be relevant for drivers, maintenance inspectors, warehouse managers, and data analysts. Since external providers of such training are highly uncommon, most labour is unskilled. Further, the high labour turnover pushes away the workforce’s skilled section.
Non-digital means of operation: Indian logistics services have not been fast on adopting a digital payment management system. Many still use a pen-and-paper approach for invoicing, billing, collections, and keeping track of expenses. As a result of using traditional methods such as the ones discussed above, logistics firms run into severe delays and irregularities. Such discrepancies cut down on the profit margin by slowing cash flow.
Caption: Payment solutions are key in the logistics industry to ensure a healthy bottom line.
Image by katemangostaron Freepik
LogiPe: A financial solution for logistics firms
As we have seen above, sticking to outdated procedures is why logistics firms face significant revenue issues. There is a dire need for modern financial solutions. LogiPe provides payment services that caters to these needs. The services offered by LogiPe address many pain points regarding the cash flow of logistics companies. Streamlining cash flow can significantly boost the company’s bottom line.
Below we discuss the various ways LogiPe's payment services help fleet owners manage their finances.
LogiPe cards: digitizing payments across service providers
Drivers face a range of expenses on the road, and keeping track of such costs is a major issue for any logistics firm. Accurately accounting for spending on each dispatch is vital for ensuring that money is being spent well. LogiPe card, provided by LogiPe, offers a financial solution to monitor all such payments digitally.
The drivers can use the card at all stations accepting cards as a payment mode. Further, if the driver uses the card at a partner fuel pump, they receive a 2% cashback on expenses. The fleet manager can digitally track all such expenditures on a dashboard. Using the same dashboard, they can recharge the balance or limit spending remotely. This payment management system streamlines expenses on the road.
FASTag is the predominant means of digital payment at toll booths in India. Usage of FASTag is governmentally mandated and requires the owners to register their vehicles on an online portal. LogiPe helps fleet owners simplify this process. The FASTag for a fleet vehicle can be obtained free of charge via LogiPe. Further, they can monitor all expenses from the app, resulting in an effective payment management system. The owners can also recharge the FASTag balance with a simple wallet top-up.
Other benefits of LogiPe FASTag include 0% transaction fees and 1% cashback on all FASTag transactions. These features result in significant savings over the long term, improving the company’s bottom line.
Receivables on LogiPe
Receivables is a feature of LogiPe that digitizes the payment collection process. The owner must upload all bills and invoices relevant to the transactions. The software allows the fleet owner to track all payments’ due dates. It also allows the manager to send proactive reminders to customers via text and WhatsApp.
Keeping track of payments lets the owner know which ones are overdue. This payment management system on LogiPe helps the owners follow up on delayed payments and hasten the payment cycle. This speeding up helps cut down unnecessary delays. The software also allows all credited money to be transferred to a master account, streamlining cash flow.
Other services offered by LogiPe
LogiPe also provides various services to fleet owners outside of payment streamlining. Here we discuss a few prominent ones.
Logideposit is amongst the financial solutions offered by LogiPe to select customers. Under this feature, the customer can invest a sum of money starting from ₹1000 up to ₹5 lakh. The returns are at an interest rate of 8%, more than fixed deposit rates of 5%. Further, the interest is credited daily, and money can be withdrawn anytime. The only condition is that the deposit period must have been 15 days.
Logideposit thus provides a valuable tool for earning revenue for fleet owners.
Credit on fuel
LogiPe provides credit on diesel purchases while on the road. This feature is activated once the fleet owner uses LogiPe for all transactions.
LogiPe provides drivers with a range of benefits. Driver insurance is offered free of cost, and they can obtain up to ₹2000 a month in terms of benefits. Further, expenses are all centrally managed by the expense dashboard. Drivers receive reward points to motivate them to improve their productivity.
How to sign up for LogiPe services
Signing up for LogiPe services is a simple process. The fleet owner has to download the LogiPe app from PlayStore. The app then prompts them to fill in basic verification details such as business name, contact details and Aadhar number. Once these preliminaries are complete, they can register for LogiPe services.
Further, a fleet owner can reach out directly to LogiPe support from the website/app for assistance on any queries they have. They need to provide initial details about their business, and then the support team shall assist them with whichever question they have.
In a modernizing economy sector, logistics owners must adopt the latest practices to stay ahead of competitors and provide their customers with the best value. They can make sizeable savings and increase profits by streamlining their collections process. LogiPe provides key financial solutions that help regulate cash flows and provide credit to logistics firms when needed.Visit our website now to understand our features offered, and sign up!