Mercado Libre, an e-commerce platform, announced on Thursday advancements in its logistics network to ensure fast and efficient deliveries with the support of Artificial Intelligence (AI) across the entire Latin American region.
Omar Ramírez, Senior Fulfillment Director at Mercado Libre Mexico, emphasized that the company’s delivery logistics chain is a complex process involving over 90 facilities dedicated entirely to e-commerce, 24 cities in Mexico with same-day shipping, over 900 electric vans for last-mile delivery, nine distribution centers powered by renewable energy, among others.
“To reach the remote corners of the country, primarily in the southeast and northwest, the only way to deliver within 24 hours and in record time is through our air network. We have four planes with a capacity of 20 tons each, with its airport hub in Querétaro, strategically selected for its proximity to Mexico City and its logistical and economic development,” added Omar Ramírez.
He noted that they have incorporated electric vans, recyclable packaging, and other sustainable logistics practices.
Regarding the efficiency of its logistics chain, he indicated that they use AI, technology, and algorithms so that when reaching the last mile, the routes can be the most optimal.
He mentioned that they employ four logistic solutions, such as fulfillment, which is the stage of the supply chain involving all operations of custody, preparation, and shipment of customer orders.
Cross-docking, where Mercado Libre’s Meli service collects packages from sellers, and shipments are sorted to be sent to the buyer.
Flex or Self-service, where the seller provides logistics and Mercado Libre provides the technology; and finally, Drop Shipping or Drop off, where the seller dispatches the packages with the assigned carrier, and the carrier sends them to the buyer.
He also explained that they rely on strategic partnerships with leading transportation companies such as FedEx, DHL, and others to offer even faster delivery times.
“Fulfillment is our flagship solution. 72% of all Mercado Libre sales in Mexico go through it,” said Omar Ramírez.
In addition to their focus on speed and efficiency, Ramírez indicated that Mercado Libre is committed to environmental sustainability. With the introduction of a thousand electric vans in its transport fleet, the company aims to reduce its carbon footprint and promote more responsible logistics practices.
By 2024, they plan to significantly increase the number of electric vehicles in circulation and have their largest distribution center in the State of Mexico powered by renewable energy.
He explained that with these advancements and strategic partnerships, Mercado Libre is addressing the challenges of last-mile delivery, ensuring that their customers receive their products quickly, efficiently, and sustainably.
Omar Ramírez’s statements were made during the panel “Learn why e-commerce is the top choice during the Hot-Sale season,” where they explained the benefits and offers offered by the company, being the sponsor of this event during 2024.
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