Excel Distance Matrix for Multi-Stop Delivery Route Planning: How One Dispatcher Cut 3 Hours from Daily Route Planning

Excel Distance Matrix for Multi-Stop Delivery Route Planning: How One Dispatcher Cut 3 Hours from Daily Route Planning

"Every morning at 5 AM, I'd sit with a giant map, a calculator, and 73 delivery stops to organize for 6 drivers. By 8 AM, I'd have routes that 'looked right' but drivers would call all day complaining about backtracking and wasted miles. I was basically guessing."

That's Tom Rodriguez, dispatch manager for a regional food distributor, describing his daily nightmare before discovering distance matrix calculations. Like many delivery operations running 20-100 stops daily, Tom was playing an impossible puzzle game: trying to optimize routes without knowing the actual distances between every possible stop combination.

Think about it: With 50 delivery stops, there are 2,450 possible point-to-point combinations. Checking each one manually in Google Maps would take 20 hours. Yet without this data, you're routing blind—costing your company thousands in wasted fuel and overtime.

Here's what changed everything for Tom: The ability to calculate all 2,450 distances in under 10 minutes, directly in Excel.

What Is a Distance Matrix and Why Deliveries Need It

A distance matrix is a table showing the distance from every location to every other location. It's the foundation of route optimization. Here's a simple example with just 4 stops:

From/To Stop A Stop B Stop C Stop D
Stop A 0 5.2 mi 8.7 mi 3.1 mi
Stop B 5.2 mi 0 4.3 mi 7.8 mi
Stop C 8.7 mi 4.3 mi 0 6.5 mi
Stop D 3.1 mi 7.8 mi 6.5 mi 0

Now imagine this for 50+ stops. Without this data, you can't answer critical questions like:

  • Which stops should go on the same truck?
  • What's the optimal sequence for each route?
  • How can we minimize total miles driven?
  • Where are we wasting fuel on backtracking?
  • Which driver territories overlap inefficiently?
  • What's the true cost of adding "just one more stop"?
10,000 Calculations/Hour
28% Average Mile Reduction
$97 One-Time Cost

Building Your First 50 x 50 Distance Matrix in Excel

Here's the magic: The Excel Matrix Distance Calculator transforms your stop list into a complete distance matrix automatically. No programming, no complex software, just Excel.

The Simple 4-Step Process:

1
List Your Addresses: Paste your "From Addresses" in the first row and "To Addresses" in the first column
2
Set Your Parameters: Choose miles or kilometers from the Settings
3
Click "Calculate": The tool queries Google Maps for every combination
4
Analyze Your Data: Sort, filter, and optimize using Excel's built-in tools

For Tom's 73 stops, this meant 5,329 distance calculations completed in 11 minutes. Data that would take three full days to gather manually.

"First day using the matrix calculator, I found we were sending two trucks to the same neighborhood daily. Consolidated those routes and saved 47 miles per day. That's $8,500 annually in fuel alone."
- Maria Santos, Logistics Manager, Fresh Direct Produce

From Matrix to Optimized Routes in 10 Minutes

Once you have your distance matrix, Excel becomes a powerful routing command center. Here's how Tom uses his matrix data:

Real Example: Wednesday's 73-Stop Challenge

The Problem: 73 deliveries across the metro area, 6 drivers, 8-hour shift limit

The Matrix Solution:

  1. Generated complete 73x73 distance matrix (5,329 calculations)
  2. Used Excel's sort function to find clusters of nearby stops
  3. Identified 6 natural geographic territories
  4. Balanced routes by stop count and total distance
  5. Sequenced each route to minimize travel
312
Miles Saved
4.5
Hours Saved
100%
On-Time Delivery
$186
Daily Savings

Real-Time Traffic vs Baseline Distance Planning

A common question: "Should I use real-time traffic data or baseline distances?" The Excel Distance Matrix Calculator offers both, and here's when to use each:

Territory Planning

Baseline Distances (No Traffic)

Best for:

  • Creating permanent delivery territories
  • Capacity planning
  • Pricing delivery fees
  • Long-term route optimization

Why: Provides consistent data unaffected by temporary conditions

Real-Time Traffic Data

Best for:

  • Same-day delivery planning
  • Time-sensitive routes
  • Urban deliveries during rush hour
  • Appointment-based deliveries

Why: Accounts for current conditions, construction, accidents

Driver Territory Assignment Using Matrix Data

Stop guessing about territory boundaries. The matrix reveals natural clusters and optimal driver zones:

Smart Territory Design Process:

  1. Generate Master Matrix: Include all regular delivery points
  2. Identify Clusters: Sort by minimum average distance to find natural groups
  3. Balance Workload: Ensure each territory has similar stop counts and miles
  4. Minimize Overlap: Use matrix to find and eliminate territory crossovers
  5. Plan Growth: Add potential new customers to see impact on routes
"We used the matrix to redesign our service territories. Found that two drivers were crossing paths 15 times daily. Redrew boundaries based on the data and cut 90 miles from our daily total. Drivers are happier, customers get earlier deliveries."
- James Chen, Operations Director, QuickServe Logistics

Scaling from 50 to 500 Delivery Points

As your business grows, the matrix scales with you:

50-100 Stops

Matrix Size: 2,500-10,000 cells

Calculation Time: 5-15 minutes

Best Use: Daily route planning

Tip: Update weekly as customers change

100-250 Stops

Matrix Size: 10,000-62,500 cells

Calculation Time: 15-45 minutes

Best Use: Territory optimization

Tip: Create sub-matrices by region

250-500 Stops

Matrix Size: 62,500-250,000 cells

Calculation Time: 45-90 minutes

Best Use: Strategic planning

Tip: Run overnight for next-day use

Pro Tips for Large Matrices:

  • Break mega-matrices into regional sub-matrices for faster processing
  • Cache stable commercial addresses—they rarely change
  • Update residential stops more frequently
  • Use filters to focus on specific day's deliveries
  • Keep historical matrices to track route efficiency over time

Stop Guessing. Start Optimizing.

Join 1,500+ delivery operations saving 25-30% on routing costs

Just $97 - Lifetime License

No monthly fees. No per-calculation charges. Unlimited matrices forever.

Get Your Matrix Calculator Now →
100% Money-Back Guarantee: If you don't reduce delivery miles by at least 10% in your first week, get a full refund. No questions asked.

Frequently Asked Questions

Q: How is a distance matrix different from simple point-to-point calculations?
A distance matrix calculates EVERY possible combination between your locations, not just A-to-B routes. With 50 stops, instead of calculating 50 individual routes, you get all 2,450 possible combinations. This complete data set reveals optimization opportunities you'd never find otherwise—like discovering that resequencing just three stops saves 15 miles, or that two customers 8 miles apart are only 2 miles from a third location you're already visiting.
Q: Can the matrix handle time-based calculations, not just distance?
Currently, the Excel Distance Matrix Calculator calculates distance matrices only (miles/km). However, the team can build a customized version that includes time-based calculations (e.g., drive times in minutes, or combined distance + time). This would fall under a different pricing structure. 
Q: What's the maximum size matrix I can create?
The tool handles matrices up to 500x500 (250,000 calculations), though most users work with 50-200 stops. Excel itself can display matrices up to 1,000x1,000, but calculation time becomes impractical above 500 stops. For larger operations, we recommend creating multiple regional matrices - much faster and more manageable than one massive matrix.
Q: How does this integrate with route optimization software?
The matrix exports in standard CSV format compatible with all major routing platforms. Many users actually find they don't need expensive routing software once they have the Excel Distance Matrix Calculator
Q: How accurate are the Google Maps distances for commercial routing?
Google Maps provides commercial-grade accuracy, typically within 2-3% of actual driven distance. It accounts for turn restrictions, one-way streets, and actual road paths—not straight-line distances. 
Q: Can I save and reuse matrices for regular routes?
Absolutely! This is one of the tool's best features. Save matrices for your regular customers and update only when adding new stops. Many users maintain a "master matrix" of all possible stops, then filter it daily for actual deliveries. You can also compare matrices over time to track route efficiency improvements. Tom keeps monthly matrices to show his boss exactly how much they're saving.
Q: What if some of my addresses are residential and change daily?
Perfect for that scenario. Create a stable matrix for your commercial/regular stops, then append daily residential deliveries. The tool's incremental calculation feature means you only calculate new combinations, not the entire matrix. For example, if you have 50 regular stops and add 20 new residential deliveries, you only calculate the 1,000 new combinations (20x50), not all 4,900 (70x70).
Q: Does this work for service calls, not just deliveries?
Absolutely! HVAC companies, plumbers, cable installers—any business routing technicians between appointments benefits from matrix calculations. Actually, service calls often see bigger improvements than deliveries because you're optimizing for time windows AND minimizing windshield time. One HVAC company increased daily calls from 8 to 11 per tech just by better routing through their matrix data.
Q: How much can I realistically save on fuel and time?
Real customers report 15-30% reduction in total miles driven, with 28% being average. For a typical delivery operation running 500 miles daily, that's 140 miles saved—about $90/day in fuel and labor. The tool pays for itself in 1-2 days. But the bigger win is capacity: those saved hours mean each driver can handle 2-3 more stops without overtime. That's pure revenue growth without adding trucks or drivers.

Success Story: Regional Food Distributor

Challenge: 6 trucks, 400 weekly stops, routes taking 10+ hours

Solution: Generated weekly 400x400 matrix, reorganized territories

Results after 30 days:

1,847
Miles Saved Weekly
$47,622
Annual Fuel Savings
32
Hours Saved Weekly
18%
More Stops Per Day

"The matrix showed us what we couldn't see on a map. We were sending trucks past each other constantly. Now each driver owns their zone, and we handle 18% more deliveries with the same fleet. It's like getting a free truck."

- Tom Rodriguez, Dispatch Manager

"Bought this thinking it would help with routing. It revolutionized our entire delivery operation. We now bid jobs more accurately, schedule better, and our drivers finish on time. Best $97 we ever spent."
- Kevin Walsh, Owner, Walsh Appliance Delivery

Ready to optimize your delivery routes with real data, not guesswork?
Get Your Excel Matrix Calculator Today →

Questions? Call Vinnie directly at (801) 243-8350 or use the chat window.
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