Last-mile delivery is the final and the most important phase in the logistics chain. This is the process concerned with the movement of goods from a local or regional distribution center to their final destination, which is usually the doorstep of the customer. Even though it is the shortest distance in the entire supply chain, it is usually the longest and the most expensive component of the entire process. With the growth of e-commerce, this is why companies always try to come up with better ways to enhance their last-mile delivery activities.
According to the best logistics company in Kolkata that has already made its mark in the logistics industry, delivery last mile strategy is important not only to happy clients but also to the growth of the business. In this blog, we look at 10 innovative solutions that are on the rise in the last-mile delivery and logistics environment.
Software for optimal routing
The last-mile delivery is also drastically improved with route optimization software. Such technologies employ artificial intelligence (AI) and machine learning to collect and process data from different sources and offer the best delivery trajectory for drivers. It includes but is not limited to, traffic and weather conditions, available time slots for deliveries, topography, and distance.
Route optimization software makes it possible for businesses to cut on time taken for deliveries, fuel expenditure, and even carbon footprints enhancing the efficiency of service delivery. It is not just about making faster deliveries, but also increasing customer satisfaction. With an active capability of changing route directions to the drivers based on the traffic situations in real-time, this technology is quite essential in the modern world where speed and accuracy are of utmost importance.
Crowdsourced Delivery Applications
The concept of crowdsourcing has changed the vivacious economy of work-from-home and last-mile deliveries too. From the last mile delivery, Richard provides what is a crowd-sourced delivery platform that allows businesses to tap into a vast community of independent drivers and gig workers. These applications primarily aim at providing food deliveries like Uber Eats and Door Dash, but the focus is widely shifting to e-commerce and retail deliveries too.
Crowdsourced delivery platforms allow businesses to quickly scale up their delivery operations without the inherent capital costs of buying a fleet of vehicles or employing permanent staff. It eliminates the burden of fixed expenses and enhances operability but allows drivers to select their working hours and location. Given the current trends of consumer behavior, where everyone desires that the goods and services purchased be delivered within the shortest time possible, then it is crowdsourcing that has come in to help.
Using Drones for Deliveries
The idea of drone technology has moved away from being a concept of the future and is now achieving success in last-mile delivery. Carrying small packages to far away or inaccessible locations is easily and quickly accomplished by the use of drones than a traditional delivery van would. Amazon Prime Air and Google’s Project Wing are among the companies that have already initiated testing of drone delivery services.
Drones alleviate market challenges presented with cost, time, and environmental impact concerning deliveries aided by road vehicles. Although drone delivery has regulatory and technical challenges, it is a solution that can disrupt last-mile delivery services in the first world’s economies and other countries very soon.
Electric and Electric Type Cargo Bikes
Transportation occupies a significant portion of the supply chain and with the increase in awareness about climate change issues, electric vehicles (EVs) are becoming an alternative for last-mile transportation instead of the conventional use of the fossil fuel internal combustion engine. Apart from being economical, it can also effectively get into terrible traffic congested uncleared zones where restrictions on emissions and road access can hide a whole lot of issues.
Why are e-cargo bikes so popular in urban cities nowadays? Well, apart from the EVs e-cargo bikes can also be seen as a good alternative in cities. This is because these electric bicycles come built with a large box, which makes them suitable for maneuvering even during heavy traffic or narrow streets. Electric delivery trucks and cargo bikes have been incorporated into the operations of companies such as UPS and DHL, thus enhancing their businesses by being more cost-friendly as well as less polluting.
Driverless Delivery Vehicles
The creation of autonomous delivery vehicles ranks among the most fascinating innovations in last-mile deliveries. Self-driven vehicles including cars, vans, trucks et cetera, robots fitted with cameras allies, and artificial intelligence are able to traverse the streets and hooligans and even make deliveries without a driver.
The use of these vehicles is expected to lower delivery costs, and hence cut the risk of human error and improve safety levels. As a matter of such vehicles have found importance in places where normal drivers can be problematic such as crowded cities and even in the countryside. External factors still hinder delivery at the last mile, in terms of risks. autonomous delivery is yet to be considered commercially safe. Nuro and Starship Technologies are working on grocery and food deliveries while Waymo has self-driving cars already being used for deliveries.
Virtual Storage and Recipient Stations
The smart lockers and recipient points concept is gaining traction in the context of delivery service efficiency optimization in the last mile. Additionally, many companies tend not to deliver packages to customers’ residences, but dispatch them to lockers or other delivery points, which are usually secured and are of a self-service kind. After that, the customers have the option of picking up their parcels without any time constraints thus helping the delivery companies to save on time and minimize any chances of deliveries going uncollected.
These solutions are of high importance to the customers who are likely to be out of their premises during the regular delivery hours. Smart lockers are also helpful in eliminating the burden that most companies face after failed delivery attempts. Corporations such as Amazon and 7-Eleven have progressed to a level where users can easily access their lockers and this is a field that is expected to increase with the rise of online shopping.
Robots For Delivering Parcels
Parcel robot is a name given to a lightweight and self-driving machine carrying products for a short distance mostly around cities. These robots are meant to operate on sidewalks and come with GPS and sensors to help steer clear of pedestrians and objects in their path.
In terms of small items and books, parcel delivery by parcel delivery robots can be characterized as the last mile of hard transportation as it is straightforward and very environmentally friendly. These robots are very cost-effective as they take away the need for driving men and their cars thereby lowering the costs involved in delivering parcels. They moreover cut the population density of the roads hence making them a better option within the cities.
Tracking and Communication in Real Time
Real-time tracking and communication mechanisms play a key role in enhancing visibility as well as efficiency in last-mile delivery. This allows the clients as well as the business to know the status of the delivery in real-time, how far it is from delivery if delays are expected, and the driver’s location.
Delivering real-time tracking to its clients also enhances the experience of waiting for the delivery of goods. Also, customers are able to change their delivery preferences within limits, for instance, changing the delivery address or the time of the delivery. Moreover, the tracking insights can be easily employed by businesses to improve their processes and eliminate wastage.
Demand Forecasting Through Artificial Intelligence
One of the biggest issues in last-mile delivery is accurately gauging the levels of demand. Customer tendencies tend to change, and this coupled with rains and other mishaps can directly affect the volumes of deliveries. Demand forecasting that is AI-powered makes use of past demand data predictive analytics and machine learning to predict future demand trends and create corresponding delivery schedules.
With proper forecasting, the management can devise means to guarantee the availability of the relevant resources at the appropriate time thus minimizing delivery delays. Resorting to peak demand forecasts lets the organization control stock, workforce, and vehicle for distribution operation more effectively with lower operational costs.
Offering Flexible Delivery Methods
As the tastes and preferences of consumers keep changing, businesses are expected to provide and meet the flexible demand delivery. Whether it is same-day delivery services or a time indicated by the customer, represented well-structured can give customers more than just delivery but order management by time helping them choose when they want the goods and how. Organizations that can afford various design methods of delivery services have a greater likelihood of satisfying the clientele.
Amongst some of the innovative flexible-user delivery offers are:
- Time-defined deliveries: Allowing for a selected delivery time range to be preferred by the customers.
- Click-and-collect: Customers pick up their delivered retail items from the point of sale or a pick-up center conveniently located within reach.
- Subscription-based services: Enabling the customers, who are loyal for a while to receive their orders at intervals that the customer has requested.
It is possible for businesses to add more ways of delivering goods to their customers so that it contributes towards customer retainment and minimizing instances of failed deliveries that usually attract more costs and are delivered late.
Conclusion
There continues to be a very dynamic evolution of the logistics, especially the last-mile, landscape. A 3PL at a time when the extreme pressures for the transportation of goods faster, cheaper, and greener has to be experienced by all businesses is inclined towards new technologies and solutions. The new last-mile delivery solutions which include route optimization software, electric vehicles, drones, and AI forecasting technology among many others are truly the last-mile delivery concerns of the future.
For example, there are solutions offered by the best logistics company in Kolkata that enable an organization to know where it stands very quickly about other competitors and make the necessary adjustments whenever conservative business strategies threaten to lag behind the market. The use of such technologies addresses the needs of the business operations that require such efficiency and also helps in creating the users a better experience thus making the business competitive and promoting expansion of the business.
With such innovations, logistics, and supply chains will not only enhance the service quality but also significantly improve the market share and outperform the competitors.
