Last mile logistics, or last mile delivery, refers to the final leg of the delivery process, where goods and products are transported from the warehouse to their final destination. The last and most critical stage in the delivery process, last mile logistics directly impacts customer experience and satisfaction.
Businesses strive to deliver items to their customers as quickly as possible – but last mile logistics can create a set of challenges that directly impact business’ timeliness, and ultimately their bottom line.
The Problem with Last Mile Logistics
Along with the rapid rise of e-commerce, businesses have struggled to meet the expectations of customers that are becoming accustomed to speedier timeframes. While there is the desire for free, fast, and accurate deliveries, last mile logistics is the most complex and expensive part of the supply chain process. It is estimated that 53% of total shipping costs are in the last mile, and additional logistical issues can raise the cost and complexity even further.
Consequently, some of the key challenges include:
- Cost inefficiencies
- Unpredictable delivery addresses
- Poor route optimization
- Outdated delivery and real-time tracking tools
Ultimately, a primary last mile logistics roadblock is the lack of effective communication. Businesses often rely on third-party logistics providers (3PLs) to enhance service quality without have make a significant financial investment. Nonetheless, human error and difficulty in effectively managing inventory can lead to shipping and delivery delays.
Addressing the Last-Mile Problem
When addressing the last-mile problem, high delivery costs and delivery time windows are just a few of the issues that need to be addressed to ensure efficient and sustainable delivery. Businesses can overcome these numerous challenges by optimizing delivery routes, implementing sustainable delivery practices, and working with a 3PL that partners closely with them to ensure speed and accuracy.
Warehouse proximity can be improved to reduce delivery times, fuel usage, and delays due to unpredictable traffic.
Finally, investments in technology can provide real-time information that allows businesses to make better logistics decisions. By leveraging technology, businesses can also make improvements to the fulfillment process and eliminate human error.
How We Can Help
At W.I.S. Logistics, we go above and beyond to provide you and your customers the best quality service. As your 3PL, we treat your freight like our own. We work closely with you to ensure your shipments are right, delivering the care and follow-through you deserve. And in those situations when your receiving customer is not ready to receive the delivery, our carriers will store and deliver it when they are ready. W.I.S. will even store shipments at our facility if that is needed.
Our cloud-based Transportation Management System digitally connects to your supply chain management – offering real time tracking, enhancing workflow, and more. Reverse Logistics also makes the return process, which is normally time-consuming and expensive, a simple way to improve customer satisfaction and loyalty.
If you’re looking to enhance your customer experience, improve margins, and scale your operations, give us a call.