An increase in trends such as crowdsourcing, e-commerce, and same day delivery has resulted in the evolution of last mile package delivery. Last mile delivery refers the transportation of goods from a storage center to the end user’s destination.

Last mile package delivery service is executed by reliable click and collect retailers, freight transportation companies, independent couriers and drivers, self-service parcel lockers, courier firms, and postal service destination centers. Vehicles used in the last mile package delivery service include electric trucks, gas and diesel powered vehicles, bicycles, and autonomous vehicles. The continued growth of e-commerce has resulted in an increase in the volume of deliveries and a further increase in delivery vehicles.

What’s more, the demand for urban delivery services is evolving and more independent package delivery drivers and companies are entering the market to compete with the conventional courier companies.

Last Mile Challenges

While last mile deliveries are a critical process in the business scheme of any city, various factors may have an impact on the final delivery process. Often, delivery vehicles have been accused of congesting the streets and causing pollution which affects public health safety. Delivery trucks in small villages and towns can clog narrow streets, especially during business hours, leaving little space for pedestrians.

This situation is not only unhealthy for the residents but can also create a risky situation for the delivery drivers as they attempt to navigate through constricted streets in search of a legal parking area to complete the delivery. Studies suggest that urban policymakers and planners can collaborate with delivery companies to enhance urban package freight and delivery through:

• Packing more parcels and goods in each truck
• Combining loads in functional distribution centers
• Designating freight corridors to accumulate shipments

It’s no doubt that the package delivery industry is evolving. Reforms in local governance are focusing on a number of issues facing the logistics industry today. These measures hope to minimize traffic congestion, reduce emissions, enhance service delivery while reducing the cost of efficiency, and make the cities safer for cyclists, pedestrians, and public transport passengers.

Last Mile Package Delivery Solutions

Advancements in short distance deliveries depict a huge opportunity for smart cities. With traditional package delivery systems, heavy-duty vehicles transport small and lightweight products. Research conducted by Tecnico Lisboa indicated that numerous deliveries within the urban centers are approximately within a 5-kilometer distance. Non-motorized vehicles or bicycles can easily execute nearly 25% of those deliveries. Semi-autonomous and robotic vehicles will grow to  play a major role in the package delivery industry.

These non-traditional vehicles move traffic congestion out of central business districts. Their goal is to create a conducive environment for moving products across shorter distances. Further, last mile enhancements are enabled by the layout of advanced analytics and algorithms. These include dynamic routing, integrated inventory management, proof of delivery tools, and courier collaboration.

Finally

The package delivery industry will undergo a major transformation in the near future. We can expect to see advanced concepts such as flexible delivery, parcel lockers, and social delivery services implemented. Smart cities and their continuing advancements will only further these changes.