The last-mile logistics market is snowballing and is expected to grow by $165.6 bn from 2023-2027, accelerating at a CAGR of 15.62% due to factors such as the massive increase in the number of online purchases worldwide.
Be it B2B or B2C businesses, knowledge of last-mile logistics will help you make business decisions more informatively – be it in terms of deciding your warehouse locations, arriving at your product cost, or formulating your returns & refund policy. While the exact nature of last-mile deliveries differs across both models, the underlying concept remains the very same.
We’ll discuss everything you need to know about last-mile logistics and how choosing the right logistics partner can help you grow your business.
What Is Last-Mile Logistics?
Delivering products from the nearest hub to the customer or the concerned delivery location is called last-mile delivery or the final leg of the delivery process. Efficient last-mile logistics saves time and money by optimising routes and rates and allows businesses to expand their reach more aggressively.
The Importance Of Last-Mile Logistics
Consumers demand instant deliveries, a purchasing practice influenced mainly by the pandemic, where people depended a lot on delivery services. And in some instances, customers are even willing to pay extra for fast deliveries.
To meet this surging trend and to keep customers satisfied, businesses have to focus on increasing their delivery speed by using last-mile logistic services to their advantage.
Your customers would not want to know what goes into packing and shipping the products but would pay attention to how hassle-free and timely the package delivery is.
A delivery process that is inconsistent, unplanned, or abrupt will ultimately result in losing your customers. Properly planned last-mile logistics will equally ensure business growth as it will ensure your customers can track the products and receive them right on time. On-time delivery of goods by deploying efficient last-mile logistics services increases the chances of repeat orders while also improving the probability of customers referring your business among their family and social circles, having themselves experienced a smooth delivery process.
The Challenges Faced by Last-Mile Logistics
Last mile logistics service comes with several challenges that have the potential to directly impact your delivery time and customer satisfaction levels, ultimately hurting your business, if not addressed promptly. What exactly are those challenges? Let’s find out.
It Can Get Expensive
Customers are increasingly expecting quicker deliveries across all businesses. This requires seamless last-mile logistics which ensures that your goods are delivered to customers within the lowest possible delivery time. By availing services from a logistics provider that has a vast fleet of vehicles, goods are delivered swiftly after arrival at the last warehouse along the delivery route. But not many companies can offer such services at affordable rates, making the whole process expensive. Hence, it is essential to take some time in finding a reliable logistics provider with prices suitable for your business.
Not optimising your delivery routes can cause unnecessary delays and cost overruns. So it is essential to note the delivery locations, sort different addresses, and use mapping tools to chart the most efficient delivery routes based on traffic conditions and distances involved.
It will save your time, money, and energy.
Risks are a part of any business. Situations like vehicle or product damages, traffic, wrong delivery routes, and many more can arise anytime.
This is why it is crucial to be prepared to tackle unforeseen issues without affecting customer satisfaction.
The Key to Smooth Last-Mile Logistics
The best way to ensure well-ordered last-mile logistics is to plan thoroughly, integrate technology, provide customer support, and build an efficient team.
But the good news is that you do not have to go through all that trouble if you choose an experienced logistics partner for your business. Last-mile logistics is a complex process and using experienced partners generally brings with it the benefit of a wider delivery network and a more methodical delivery process, which provides you more surety about getting the maximum value for your money spent.
So whom should you choose for last-mile logistics then?
Porter, of course!
Why Choose Porter for Last-Mile Logistics?
At Porter, we understand customer demands and the importance of efficiency and agility in business logistics. We have overcome such challenges through our tech-enabled platform, with optimised routes and vehicle use to save more time on the road. Our upgraded routes enable our driver-partners to make more deliveries in a day to keep up with the last-mile logistics demand.
To ensure on-time deliveries, we have vehicles on our platform that serve both B2B and B2C models. Customers can easily track their vehicles, add stops if needed, get multiple and safe payment options, and have an overall seamless delivery experience.
We are also committed to providing services such as rental packages, outstation services, helpers, etc, at affordable rates to give our customers a better logistics experience.
Learn more about how Porter overcame the challenges in the logistics market.
Porter, an efficient logistics platform, will take care of all your logistics needs anytime and anywhere. We are cost-effective, quick, experienced, and currently operating in 18 cities across India! Visit Porter or download the app for a seamless last-mile logistics experience for your business.