Last-mile delivery for ecommerce: getting parcels to the customer’s door
Last-mile delivery is the final stage of the journey, from a local depot to the customer’s door, locker or collection point. It is usually the most expensive part of shipping and the part customers notice most. A missed delivery, a vague time window or a parcel left in the rain can undo all the good work that came before it.
This guide covers delivery options, how to manage customer expectations, reducing failed deliveries and keeping costs under control.
Delivery options customers expect
- Standard and economy delivery: lower cost, typically two to five working days.
- Next-day delivery: increasingly expected for in-stock items ordered before a cut-off time.
- Nominated-day and timed delivery: customers choose a date or time window.
- Same-day delivery: possible in larger cities through couriers or local fulfilment.
- Click-and-collect and lockers: customers pick up from a store, parcel shop or locker at a time that suits them.
Offer a small number of clear options rather than every possible service, and show delivery dates rather than service names at checkout.
Keeping customers informed
Most “where is my order?” emails come from customers who do not know what is happening. Send a dispatch confirmation with tracking, use carrier notifications that give a delivery window on the day and let customers redirect or reschedule where possible. A branded tracking page keeps customers on your site and gives you a chance to recommend related products.
Reducing failed deliveries
Failed deliveries cost money and frustrate customers. Reduce them by:
- Validating addresses at checkout and asking for a phone number for delivery updates.
- Offering safe-place, neighbour and locker options.
- Including clear delivery instructions fields.
- Choosing carriers with good first-time delivery rates in your key areas.
Managing cost
Last-mile costs rise with distance, failed attempts, premium speeds and remote areas. Use rate shopping to pick the cheapest carrier that meets the promised date, encourage collection-point delivery with a lower price, and consider regional carriers for dense urban areas. For high volumes, fulfilment centres closer to customers can shorten the last mile.
Sustainability
Customers increasingly care about the environmental impact of delivery. Consolidating orders into fewer parcels, offering slower greener options, using lockers and choosing carriers with electric fleets can all reduce emissions and, often, cost.
Measuring performance
Track on-time delivery rate, first-attempt success, delivery complaints and cost per parcel by carrier and region. Review the figures monthly and move volume to carriers that perform best for each area.
Last-mile delivery depends on a reliable handover from the warehouse. See Shipping & Freight Services for choosing carriers and Fulfillment & Warehousing for dispatching on time.
Part of: Shipping & Delivery