In recent years, consumer behavior has been evolving in a very remarkable way, in parallel with the advance of new technologies. Logistics companies must find a way to improve the efficiency and reduce the costs of their shipping logistics, with the aim of making them better and faster to meet the needs of new consumers, if they want to remain competitive in their sector.
A big part of this comes down to the delivery process, called Last Mile Delivery. This means that for a company to survive in this market, it needs to find ways to improve efficiency in this area.
Let’s look at what Last Mile Delivery means and the importance of delivering greater efficiency in this area.
What is last mile delivery in logistics?
The term Last Mile Delivery or “last mile” in logistics refers to the stage of the shipment at which delivery occurs. It involves all the tasks necessary for the arrival of the products at their destination.
Last Mile Delivery is the final part of the delivery process, in which logistics companies try to perform this action in the most cost-effective, accurate and quickest way.
A crucial last step in order to offer a more convenient and effective logistics service to stakeholders.
Why is it becoming more and more important?
There is no doubt that logistics is a key sector for the transport of goods. Like any company, offering an increasingly better and optimal service to customers is crucial to take the business to a new level.
Last Mile Delivery’s main objective is to respond to this increased demand by trying to offer faster and faster delivery.
The last mile delivery process and experience is at the forefront of companies’ minds, highlighting the importance of this delivery process.
The final contact with customers is essential for the image of the company and the service offered to obtain the best possible feedback. It is useless to perform a large part of the transport service at a high level if the delivery process is unsatisfactory for the end customer.
Finally, the “last mile” must be highlighted as the most crucial aspect of the entire delivery process, as it directly affects end users, which becomes a challenge for companies, especially those selling online directly to end consumers, as we will see below.
Last Mile Delivery, key to the present and future of e-commerce
One of the clearest scenarios where the importance of the Last Mile Delivery process can be seen is the online environment, the e-commerce context.
E-commerce has transformed in a key way the idea of business, communication and treatment is very close.
For the e-commerce customer, a direct connection is created only when the delivery person arrives with the package. This final part of the order fulfillment operation is where we find Last Mile Delivery.
Customers not only want a smooth checkout process and enjoy an outstanding user experience, but they also require speed, convenience and efficient support when questions arise.
When a customer does not feel comfortable throughout the purchase cycle of a product or service, they will go to a competitor. Part of that satisfaction comes from the Last Mile Delivery part of the process.
There is no doubt that the future of e-commerce and its growth, in a very volatile market of great supply, lies in providing the best options and advantages in the “last mile” part of the delivery process.
Last Mile Delivery logistics challenges
According to recent data, 61% of companies believe that the “last mile” or Last Mile Delivery is the most inefficient part of their supply chain.
In order to achieve an optimal Last Mile Delivery process, a series of challenges have been identified to overcome in order to achieve the desired objectives.
Last Mile Delivery is a very timely moment in the delivery process. But issues such as order cancellations, delays… can increase costs at this point.
It is important to provide an efficient infrastructure for deliveries, and if a problem arises, to shift the cost away from the end customer.
Delays in deliveries and failure to meet deadlines can be a major economic and image problem for the company.
Having an effective contingency plan for this type of incident is necessary to provide a rapid and optimal response.
Provide the necessary technology and options, not only to be able to see where the products are, but also to provide the customer with the facility to consult and locate the status of their order.
Improving the Last Mile Delevery process will provide a better delivery system, in addition to generating a good user experience for end customers.
Logistics and warehousing for e-Commerce
At Across Logistics we are experts in e-commerce warehouse logistics. We provide warehousing, shipping and delivery services through technological solutions that improve delivery speed and reduce shipping costs for your online store.
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