ArtsAutosBooksBusinessEducationEntertainmentFamilyFashionFoodGamesGenderHealthHolidaysHomeHubPagesPersonal FinancePetsPoliticsReligionSportsTechnologyTravel

Why Last Mile Delivery Software Solutions is A Growing Business

Updated on May 4, 2015
Source

Market for Same Day Last Mile Delivery

Many brick-and-mortar companies as well as e-retailers are scrambling to offer same day last mile delivery software solutions. While same-day shipping is attractive to consumers, less than 3% will pay the current fees. As Mark Magill, vice president of business development at OnTrac, noted, “Same day is still rare. Out of a million packages, less than 50 packages are shipped same day. Consumers are still willing to wait rather than pay a lot more for same day.”

A 2013 survey of online shoppers by research company comScore showed 92% were willing to wait four or more days for free delivery. The shoppers surveyed said that they chose the most economical shipping option three times out of four and the fastest option only 1% of the time.

Source

Consumer Preferences are Changing the Face of E-Commerce

The big e-commerce platforms and bricks-and-mortar retailers wanting a piece of the online shopping revenues pie started out with large distribution centers having more than 1 million square feet of space. Such large centers could only be located in smaller towns, far from the suburbs of major cities. However, as the online shopping model grew in size, customers started demanding faster delivery with lower shipping costs. Now, retailers prefer distribution centers that are closer to the consumers in major cities as well as in smaller towns. However, the shift from the enormous distribution centers beyond the suburbs to so-called “mini distribution centers” will take time.

Crossing the 'Last Mile' - 2013 Skoll World Forum

Small Businesses Provide New Options for Last Mile Delivery

Nowadays, consumers who are opting for online shopping tend to do so after coming home from work, and hence prefer a next-day delivery to same-day delivery. Consumers also prefer to be able to set the time and place of delivery. Small businesses are partnering with retailers; they are receiving shipments on the consumer’s behalf, and then shipping the parcel to the consumer at a time of his or her choosing.

Small businesses are also giving e-retailers an option of on-site storage, similar to P.O. boxes. They are offering a facility with mail boxes, where clients who sign up can pick up their deliveries at their convenience. This is particularly useful for customers who travel a lot, and are unable to receive their deliveries at home.

Source

New Business Models are Emerging

Some companies offering logistics software solutions are partnering with companies providing point-to-point delivery in order to expand their customer base and enhance their logistics solutions. There is clearly a niche for same day last mile delivery solutions, especially when it comes to local deliveries.

Comments

    0 of 8192 characters used
    Post Comment

    No comments yet.

    working

    This website uses cookies

    As a user in the EEA, your approval is needed on a few things. To provide a better website experience, hubpages.com uses cookies (and other similar technologies) and may collect, process, and share personal data. Please choose which areas of our service you consent to our doing so.

    For more information on managing or withdrawing consents and how we handle data, visit our Privacy Policy at: https://hubpages.com/privacy-policy#gdpr

    Show Details
    Necessary
    HubPages Device IDThis is used to identify particular browsers or devices when the access the service, and is used for security reasons.
    LoginThis is necessary to sign in to the HubPages Service.
    Google RecaptchaThis is used to prevent bots and spam. (Privacy Policy)
    AkismetThis is used to detect comment spam. (Privacy Policy)
    HubPages Google AnalyticsThis is used to provide data on traffic to our website, all personally identifyable data is anonymized. (Privacy Policy)
    HubPages Traffic PixelThis is used to collect data on traffic to articles and other pages on our site. Unless you are signed in to a HubPages account, all personally identifiable information is anonymized.
    Amazon Web ServicesThis is a cloud services platform that we used to host our service. (Privacy Policy)
    CloudflareThis is a cloud CDN service that we use to efficiently deliver files required for our service to operate such as javascript, cascading style sheets, images, and videos. (Privacy Policy)
    Google Hosted LibrariesJavascript software libraries such as jQuery are loaded at endpoints on the googleapis.com or gstatic.com domains, for performance and efficiency reasons. (Privacy Policy)
    Features
    Google Custom SearchThis is feature allows you to search the site. (Privacy Policy)
    Google MapsSome articles have Google Maps embedded in them. (Privacy Policy)
    Google ChartsThis is used to display charts and graphs on articles and the author center. (Privacy Policy)
    Google AdSense Host APIThis service allows you to sign up for or associate a Google AdSense account with HubPages, so that you can earn money from ads on your articles. No data is shared unless you engage with this feature. (Privacy Policy)
    Google YouTubeSome articles have YouTube videos embedded in them. (Privacy Policy)
    VimeoSome articles have Vimeo videos embedded in them. (Privacy Policy)
    PaypalThis is used for a registered author who enrolls in the HubPages Earnings program and requests to be paid via PayPal. No data is shared with Paypal unless you engage with this feature. (Privacy Policy)
    Facebook LoginYou can use this to streamline signing up for, or signing in to your Hubpages account. No data is shared with Facebook unless you engage with this feature. (Privacy Policy)
    MavenThis supports the Maven widget and search functionality. (Privacy Policy)
    Marketing
    Google AdSenseThis is an ad network. (Privacy Policy)
    Google DoubleClickGoogle provides ad serving technology and runs an ad network. (Privacy Policy)
    Index ExchangeThis is an ad network. (Privacy Policy)
    SovrnThis is an ad network. (Privacy Policy)
    Facebook AdsThis is an ad network. (Privacy Policy)
    Amazon Unified Ad MarketplaceThis is an ad network. (Privacy Policy)
    AppNexusThis is an ad network. (Privacy Policy)
    OpenxThis is an ad network. (Privacy Policy)
    Rubicon ProjectThis is an ad network. (Privacy Policy)
    TripleLiftThis is an ad network. (Privacy Policy)
    Say MediaWe partner with Say Media to deliver ad campaigns on our sites. (Privacy Policy)
    Remarketing PixelsWe may use remarketing pixels from advertising networks such as Google AdWords, Bing Ads, and Facebook in order to advertise the HubPages Service to people that have visited our sites.
    Conversion Tracking PixelsWe may use conversion tracking pixels from advertising networks such as Google AdWords, Bing Ads, and Facebook in order to identify when an advertisement has successfully resulted in the desired action, such as signing up for the HubPages Service or publishing an article on the HubPages Service.
    Statistics
    Author Google AnalyticsThis is used to provide traffic data and reports to the authors of articles on the HubPages Service. (Privacy Policy)
    ComscoreComScore is a media measurement and analytics company providing marketing data and analytics to enterprises, media and advertising agencies, and publishers. Non-consent will result in ComScore only processing obfuscated personal data. (Privacy Policy)
    Amazon Tracking PixelSome articles display amazon products as part of the Amazon Affiliate program, this pixel provides traffic statistics for those products (Privacy Policy)