The Past, Present & Future of Last Mile Deliveries: Vision for 2030

 

Article by Kush Dani, Product Marketer, LogiNext

 

The Past:

 

The foundations & need for last mile delivery optimization:

 

The advent of the 21st century, brought in the dotcom boom. Businesses discovered new visibilities via a platform that was informative and dynamic. The internet brought in an economy of a different species to the market.

 

The end customer was now armed with information at the click of a button. Online Stores & Outlets that provided home deliveries were in their nascent stages. It revolutionized the customer’s shopping experience in a whole new manner. Companies like Amazon & eBay saw their stores getting rapid customer growth.

 

Logistics unfortunately didn’t evolve at the same speed & tenacity as the internet. The courier & package delivery industry was still driven & marred with manual processes (try LogiNext Mile). Customers of eCommerce websites used to wait for 7-15 days at a stretch to receive their orders. This customer touchpoint became one of the deterrents for eCommerce platforms.

 

Businesses realized the need for optimization & technological overhaul of their existing operations. That’s where we find the roots of Last Mile Delivery optimization.

 

The Present:

 

How are Last Mile Deliveries shaping up currently?

 

Last mile delivery is the most important customer touchpoint for many industries.

 

Its KPI’s are different for each industry but its core applications are universal. Optimizing the last mile delivery experience is vital to improving customer delight.

 

Last Mile Delivery Optimization has large scale applications in

 

1. Retail & Ecommerce (Walmart, Target, Ikea, Carrefour)
2. Quick service restaurants (McDonald’s, Subway, Dominos)
3. Courier & Express Parcel industries. (National Posts, FedEx)

 

Intelligent Transportation management systems improved the last mile experience. They offered optimization on every step of the last mile delivery experience.

 

 

There were specific feature sets that needed to be developed. Software & technology aided efforts made improvements in the following domains

 

1. Intelligent Assignment & Grouping of Orders
2. Delivery Scheduling
3. Route Planning & Optimization
4. Fleet Tracking Solutions
5. Delivery Associate Compliance & Last Mile Tracking
6. Customer Satisfaction Rating

 

These strides in use of technology aided optimization improved the last mile experience. When Covid-19 hit, the On Demand Delivery market skyrocketed. These improvements & their positive impact kept many businesses afloat during global crisis.

 

The Future: Vision 2030

 

As technology evolves, so do its applications. The past decade has seen the monumental rise of autonomous vehicles & drones. Reducing the “Human” element has taken center stage for last mile delivery optimization.

 

These new age autonomous vehicles are going to shape the future of last mile deliveries. Equipped with millions of data points & sensor driven decision making.

 

Examples of Cases in QSR, CEP & Ecommerce Platforms already exist.

 

a) In QSR: Drones for short distance delivery have started testing in the US market. Regulatory approval & experience enhancement will be the cornerstone of QSR for drone delivery.

 

Dominos Drone Delivery

 

Ensuing KPI’s around drone delivery will be as follows:

 

1. No of deliveries per hour
2. Flight Path Optimization
3. Path based order grouping
4. Customer Trust rating

 

b) For CEP & eCommerce: Autonomous Delivery Vehicles do doorstep & kerbside deliveries. These vehicles can replace bulky vans & navigate through urban landscape efficiently. Testing for these autonomous vehicles has commenced in Downtown NYC & Los Angeles

 

FedEx Bot Delivering Parcels

 

Ensuing KPI’s around Autonomous delivery will be as follows:

 

1. Route Planning Optimization
2. Capacity Planning
3. Bulk Order allocation
4. Territory Based Order Grouping
5. Customer Trust & Delight
6. Integration with current order management system.

 

How is LogiNext Revolutionizing Last Mile Delivery:

 

Our SaaS based Logistics solution provides a 1 stop shop for Transport Automation. Our API – Webhooks based architecture integrates seamlessly with your existing OMS. Its feature set includes delivery route optimization, automated order assignment, delivery tracking System & Real time tracking of orders. It provides complete control of your last mile delivery operations. It helps you optimize its cost efficiency & helps create customer delight. We are building our platform to be robust enough to survive the robot takeover of 2030 as well! Here’s hoping we can serve our customers until judgment day arrives!

 

 

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