Logistics companies have long struggled with the “last mile” of delivery – the final stage of the delivery process where goods are transported from a transportation hub or warehouse to their final destination, which is typically a residential or commercial address. There are several reasons why logistics companies are struggling with the last mile:

1. Increased demand for e-commerce: The rise of e-commerce has resulted in a significant increase in the volume of packages being delivered, which has put pressure on logistics companies to deliver more packages in shorter time frames. This has made the last mile more challenging as it requires the delivery of packages to a greater number of individual addresses, often in densely populated urban areas.
2. Complex delivery requirements: Deliveries to residential and commercial addresses can be complex and time-consuming, requiring multiple attempts to deliver packages, managing access to secure buildings, dealing with restricted delivery windows, and coordinating with multiple parties such as property managers and building security.
3. Traffic congestion: Urban areas can be congested, making it difficult for delivery vehicles to navigate streets and making delivery times less predictable.
4. Difficulty finding qualified drivers: Logistics companies often struggle to find and retain qualified drivers, which can make it challenging to meet delivery schedules and provide quality service to customers.
5. Cost: Delivering packages to individual addresses can be more expensive than delivering them to a central location, such as a warehouse or transportation hub, due to the increased labor and transportation costs associated with the last mile.

To address these challenges, logistics companies are exploring a range of solutions, including the use of drones, autonomous vehicles, and bike couriers for last-mile deliveries. Some companies are also experimenting with innovative delivery options such as lockers, pickup points, and package delivery to alternative locations such as gas stations or convenience stores.

In addition to technological solutions, logistics companies are also exploring new business models, such as crowdsourced delivery, which relies on a network of independent drivers to make last-mile deliveries. These drivers can use their own vehicles to make deliveries, which can help to reduce the costs associated with last-mile delivery.

Another approach that logistics companies are taking to address the challenges of the last mile is to work closely with retailers and other stakeholders to optimize delivery schedules and routes, reducing the number of delivery attempts required and ensuring that deliveries are made during optimal time windows. This can help to reduce the overall cost of last-mile delivery while also improving customer satisfaction.

In conclusion, logistics companies are struggling with the last mile of delivery due to a range of factors, including increased demand for e-commerce, complex delivery requirements, traffic congestion, difficulty finding qualified drivers, and cost. To address these challenges, logistics companies are exploring a range of solutions, including technological solutions, new business models, and collaborative approaches with stakeholders. While there is no one-size-fits-all solution to the challenges of the last mile, companies that are able to innovate and adapt are likely to be the most successful in this competitive and rapidly evolving market.

Flitt are proud to be helping reduce the bottleneck of traditiional logistics, and by partnering with us, we can ensure timely and cost-effective ways to get your goods to your customers faster.