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Why Last Mile Delivery Logistics Solutions Can Disrupt Logistics?

By Shilpi Chhabra 21st May 2021

The technology evolution is pushing the boundaries with the latest inventions. How Last-mile Delivery Logistics has changed the world’s way of doing business. Technology has transformed the future of logistic. 

Logistics has five elements

Warehouse where the products are stored, packaging solutions and unitization, inventory department, transportation, information and delivery status. Each part has a critical role within a supply chain and needs to work in unity for a successful business. 

Last-mile logistics is the reason why the eCommerce industry today is working smoothly. It is one of the latest innovations that has made the eCommerce business function easily and allows same day or one day delivery of the products. 

According to research, the market of Last-Mile Delivery Solutions is forecasted to increase at a compound annual growth rate of 8.9% from 2021 to 2026. It is speculated to reach $66,000 million by 2026.

With Last-mile logistics, people receive their ordered products in less than 48 hours at their doorstep. Every kind of transport —from trains, trailer trucks, vans to cargo ships, aeroplanes —has become a part of the logistic supply chain, thus making people’s lives easier. 

What is Last-mile in Logistics?

The most critical stage in logistics is last-mile logistics. In manufacturing or shipping, last-mile logistics is the final leg  of a product’s journey— from the respective transportation site to the delivery destination. In this leg, it is also ensured that the goods are competently packed and delivered to the customer address safely.

Each stage of the logistics process is crucial and needs intense planning. From picking up the product from the warehouse to delivering the package to the customer’s doorstep

There are two main challenges faced by last-mile logistics — delivery speed and costing. Customers need the goods delivered faster at minimum cost. Therefore, last-mile logistics need to work the extra mile to provide the best solution to their customers to ensure they meet their customers’ needs.

What are Last-mile Delivery Logistics Solutions?

There has been a significant increase in the use of technology with time; hence, the demand for faster delivery has also increased. The main aim of last-mile logistics is to deliver the product as quickly as possible.

The last-mile delivery logistics solutions have five main vital features that make last-mile logistics more efficient.

  1. Auto-dispatch features: Helps reduce labour cost and service time by assigning the nearest suitable driver the delivery task automatically.
  2. Tracking the inventory: Helps in scanning the goods when loading for dispatch. The process of scanning saves labour cost and energy by leveraging technology. 
  3. Data Storage: Every data is stored in the cloud storage in appropriate folders,  which makes it easier to track. 
  4. Monitors the goods movement & driver related details: Supply chain can disrupt if any little thing goes out of track. It is necessary to trace the goods movement, the driver’s whereabouts, and allow the customer to track the location of their goods which is possible through a last-mile logistics solution. 
  5. Proof of Delivery: Digital time stamp signature to ensure the delivery. The digital stamp works as proof of delivery which reduces a lot of paperwork.

How Could Last-mile Delivery be Helpful in Logistics Solutions?

Over recent years, logistics have moved from big cities to small to rural areas. With the surge in shipments in big cities, the multi-tier distribution system was introduced, making the process easy and hassle-free; Small logistics centres were built in many areas. 

Last-mile logistics have enormous benefits: 

  1. Mobile Integration: The main backbone of last-mile logistics is mobile integration with features that allow the company to track the logistics process and keep customers updated. 

It enables access both from computers and mobiles and reduces the burden of manually handling everything. 

  1. Customer Feedback: It is a crucial part of building brand loyalty. For last-mile logistics, it is critical to constantly update services—everything from packaging to delivery and all the services in between. The customer’s feedback here can help other potential customers to make purchasing decisions.
    Customer satisfaction is achieved with logistics movement optimization and results in improved customer feedback.
  2. Data Analytics: A well-developed last-mile logistics is significant to keep the data in sync — the status of the goods, delivery, driver performance, usage of resources, etc. With all the data, a proper analysis can be done. Data analytics helps with future predictions, understand performance, and boosts the growth of the companies and brands. 

Last-mile logistics is a solution that empowers logistics; big brands and retailers. 

Tracking for Logistics Companies

In the logistics and transportation industries, GPS technology plays a vital role in helping both the parties — the company and the customer, to stay updated and sharing the data on a real-time basis. 

By 2024, the global tracking market is expected to reach $11 billion with a growth of 12% from 2017-2024.

The most basic use of tracking in logistics is to know the right location of the vehicle, monitoring routes, vehicle speed, driver whereabouts, etc. It also beneficial in case of an emergency — accident or fire, or stolen vehicle.

Simultaneously, tracking also helps the customer track the movement of their goods right from the packaging process.

Tracking in the last-mile delivery provides a transparent system between the company, driver, and customer. 

How Can Tookan Help?

Tookan is an on-demand ready-made delivery application software that is fully customised and has features needed in the logistic business. It offers an inclusive inbuilt package that can be used both in mobile applications and on computers. 

Tookan’s software is equipped with many features. It  provides auto dispatch delivery, route optimisation, reminders, task alert, geofencing, SMS gateways and track the driver’s earnings. 

The inbuilt app works seamlessly; providing intelligent analytics, proof of delivery, and a customer app to enable them to track their goods. 

Tookan is the ultimate solution software for last-mile logistics to meet logistics needs.

Final Thoughts

Manufacturers and retailers are changing their services according to the changing demand of the customers. Increasing supply of products requires more efficient logistics to deliver the products. 

The last-mile logistics has grown to be a vital part of the logistics industry by providing services to many customers at the same time. Last-mile logistics solutions reduce administration resources and deliver unmatched efficiency at a minimal cost. With the proper execution, last-mile logistics can fit just right to the customer.

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