Faster, greener, more cost-effective. The last mile challenges

Context

For the past 18 months, the last mile market (equals the most expensive service in logistics) has become a major source of losses for retailers. E-commerce logistics has been historically outsourced to third parties for some years, torn between two businesses with contradictory visions: logistics wanted to lower costs, e-commerce wanted to enhance customer experience. With e-commerce reaching unprecedented volumes, both visions are coming together around a common goal: customer satisfaction. The last-mile market has started to structure itself, with a profusion of companies eager to combine logistical efficiency and environmental performance. An impossible mission?

Key figures 

-The last mile represents 30% of a product’s transportation costs.

-Of more than 1.3 billion parcels delivered in 2020 in France, 30% (i.e.,390 million) were not delivered to the right recipient on the 1st delivery attempt. 

-60% of customers will not return to a website following a failed delivery. 

-Less than 1% of online retailers offer ‘green delivery’ at checkout. 

-Only 10% of DNVB include a return label in the parcel  

K.P.I.

– Delivery NPS.

– Returns NPS. 

Success rate of deliveries on the 1st attempt

– Lost package rate.

– Carbon impact. 

– % of customer service tickets related to delivery issues

Legal issues. In the U.K.,…