Last-mile delivery, also known as last-mile logistics, is the final step of the delivery process where packages that reside in warehouses are delivered directly to a customer’s door. It’s considered the most important stage of the process given its time-sensitive nature.
There’s a lot on the line and if customers don’t receive their package at the designated time, possibly lead to a loss of repeat customers, having to give refunds, poor word of mouth, and negative reviews impacting future customers. It’s also the most expensive part of the delivery process because of excessive idling and multiple stops.
Last-mile delivery is a problem that all businesses struggle with. It is a challenge that can be difficult to overcome without the proper tools.
The Last Mile Delivery Problem
Last-mile delivery is the most expensive part of the delivery process because of possible failed deliveries, refunds, more idling in cities, etc. Making more stops makes it harder to find the most efficient route as manually planning is a long and stressful process as fast as possible. Because Last-Mile Delivery totals more than half of shipping costs, not finding ways to combat this challenge will only accelerate your expenses and consume most of your business’ profits.
Also, customers will be less likely to use your services if they experience significant delays, receive their order in a damaged state or even have a parcel missing. The increasing consumer demand for faster deliveries means customers are less forgiving when they don’t receive their goods at the allocated time.
The last-mile delivery challenge is something all businesses must deal with, however, some solutions can save you money and increase your driver’s productivity throughout the final delivery stage.
How Route Optimization Can Help
There are many ways to solve the last-mile delivery problem for your business, the most important being route optimization.
Planning the most efficient routes can be a difficult, time-consuming, and stressful task for businesses. By using route optimization software, you can have dozens of stops planned in just a few minutes instead of a few hours. Optimizing your routes means drivers will spend less time on the road, reducing fuel costs. It also saves time so more deliveries can be completed, increasing your business’ productivity.
How Locate2u Can Help
Locate2u is a route optimization software that can save your business time and money. Locate2u’s route optimization software automates your route planning so that all deliveries are completed in an order that best suits your business requirements. More efficient routes mean your drivers will spend less time on the road and in traffic, reducing excessive labor costs and overtime, as well as the overconsumption of fuel. It can also pop in last-minute deliveries without major disruptions to your schedule, meaning your team can complete as many bookings as possible.
Whether you need certain deliveries completed at certain times, or you operate vehicles that only fit a specific amount of stock, Locate2u is perfect for the job. You can also have access to real-time tracking which allows you to see the location of your drivers in real-time, having peace of mind that they are being as productive as possible. When it comes to last-mile delivery, Locate2u has you covered.
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About the author
Founder and CEO at Zoom2u & Locate2u (ASX:Z2U). Steve has significant software development and entrepreneurial experience. Operating in the delivery space for more than 15-years, he actively contributes to the development of the industry. He has a strong focus on job management and job despatch systems.