The rise of online commerce is changing consumer behavior 

February 2, 2024

The last mile delivery, crucial in the age of online commerce, represents the final phase of transporting products from the warehouse to the customer. Although often associated with online orders, this stage also involves other shipping services such as the delivery of pharmaceuticals, medical supplies, and food products.

The exponential growth of online commerce, driven by giants like Amazon, has raised customer expectations for delivery speed, demanding one- to two-day delivery windows. Last mile delivery accounts for 30% to 60% of the total delivery cost, subject to expensive constraints such as traffic, roadworks, and address errors. This phase can impact efficiency, costs, customer experience, and the company’s reputation.

To optimize this stage, solutions such as internal logistical planning, ongoing training, the use of technologies like artificial intelligence, fleet electrification, streamlining of flows, establishing strategic drop-off points, and in-store pickup are recommended. Catherine Richard, Logistics and Transport Director, has written an article on this topic in L’actualité ALIMENTAIRE (in French only).

Companies must remain agile and adapt to changes by collaborating with distribution and transport partners. The Novia platform is evolving to Novia 2.0 with enhanced features to meet the changing market needs. For more information on the solutions offered by Novia 2.0, please contact the Logistics and Transport department of Group Export at transportge@groupexport.ca.

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