Final Mile Delivery Trends Change: What do Shippers Need to Know?

Final Mile Delivery Trends Change: What do Shippers Need to Know?

What is final mile delivery, and why are shippers and truckers concerned about delivery rates and population percentages?

Final mile delivery focuses on the end-delivery logistics for parcel and truckload deliveries in its most simplistic form. Many factors can contribute to difficulties with the last leg of delivery, from local traffic and road conditions to driver error and missed delivery ETAs.

For shippers specializing in residential delivery, final-mile logistics and supply chain visibility are more critical as driver shortages and freight hauling costs continue to impact the final-mile transportation industry.

Role Customer Experience Plays in Consumer Shipping Choices

A driving factor of successful final-mile deliveries remains the ability of shippers to meet customer demands and expectations. The customer experience is among the most impactful factors that dictate delivery success rates.

The U.S. Census Bureau estimates that approximately 83 percent of people in the U.S. live in urban areas, and by 2050, that number is expected to be nearly 90 percent overall. This projection brings even more focus to freight management parties and their practices.

This trend has been demonstrated with reliable data. The best response to these trends is for shippers to work on adjusting delivery services to meet this unique situation. Because customer demand is constantly changing, flexibility and scale are vital to creating sustainable final-mile delivery solutions. However, the investment is always worthwhile as customer loyalty is worth its weight in gold. That loyalty is often just one lousy delivery away from a shattered relationship.

Technology Powering Final Mile Delivery Options

Benefits of a technology-backed approach to final mile deliveries can include:

  • Ability to adjust final-mile shipping processes to account for volatile market trends.
  • Easy scalability and effective capacity management with final-mile tracking numbers.
  • White-glove delivery and final-mile tracking services for an affordable price.
  • Capacity to address disruptions or delays and respond to complaints in real-time.
  • Enhanced visibility and transparency into the final mile from start to finish.
  • Reduced final-mile freight issues such as deadheading to boost overall profits.
  • Ability to improve final-mile services with guaranteed on-time in-full delivery.
  • Streamlined approach to truck fleet management and logistical planning.
  • Optimized process to handle on-demand orders, reschedules, and final-mile logistics.
  • Dynamic capacity and load planning options tailored with final-mile delivery in mind.
  • Improved services, including scheduling, invoicing, and final-mile delivery tracking.
  • Accounting improvements within budgeting, as well as freight settlements and payments.
Modern tools and technology make it easier for logistics managers, drivers, team members, and consumers to stay on the same page regarding final-mile delivery.

Enhancing Final Mile Shipping with Analytics and Insights

Final-mile deliveries have rightly been called one of the most expensive parts of the fulfillment and delivery network. According to surveys and reports from AMCS in late 2021, final-mile delivery services account for 35-53percent of the total delivery costs shippers incur.

Freight costs to ship packages average $10, and with most shippers charging an average of $8 shipping to customers, it leaves the remainder falling on the shipper themselves to cover. And final mile transport for more oversized items, such as electric appliances, could hit $50 per package or more.

This is why a close eye on final-mile logistics and successful final-mile drop-offs are critical for continued growth and success for all shipping companies, regardless of their size. It all comes down to transportation logistics and creative innovation.

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Improve Final Mile Freight Transportation and Delivery With Innovative Insights from MercuryGate

Consumers demand fast and reliable delivery options, and transportation service providers must keep customer needs front and center of logistical plans. Further growth and productivity depend upon it!

Services such as final-mile delivery tracking, end-mile customized drop-offs, and real-time final-mile tracking number monitoring are some ways innovations impact shipping and delivery logistics. Integrated system insights and reliable tech make final-mile delivery faster and easier, regardless of company size or customer base.

Answer the question of what is final-mile delivery with our ebook on final-mile services, “Final Mile Technology: Improving the Customer Experience.”

Download the Final Mile ebook today.

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