Ecommerce: Last-Mile Challenges - Global Trade Magazine
  February 28th, 2018 | Written by

Ecommerce: Last-Mile Challenges

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  • The dissemination of digital technology has been a key driver for the growth of ecommerce.
  • Digital tools have become critical for logistics providers and retailers to succeed in the last mile.
  • Delivery standards need to catch up to meet increasing expectations.
  • Automation, personalization, and visibility tools play a strategic role in achieving ecommerce success.

The last mile is bearing the brunt of the ecommerce boom. This is creating a set of unique challenges for all those involved. For example, as shoppers head online, retailers find themselves without the comfort and stability of brick and mortar for managing the customer experience.

Logistics providers also face their own set of challenges. The last mile might be one of the highest growth sectors in the logistics industry, but it is also one of the most expensive.

The dissemination of digital technology across all walks of life has been a key driver for the growth of ecommerce. Digital tools have become critical for logistics providers and retailers to succeed in the last mile. The rapidity and complexity of the resulting advancements have put last mile on its back foot.

Delivery standards need to catch up to meet increasing expectations, and tools that allow automation, personalization and greater visibility will play a strategic role in achieving this.

Ultimately, the most important factor in the last mile is the experience of the end customer (the consumer). Consumers have the same expectations of service and engagement from the places they shop online as they do in-store, except they expect it faster, in line with the speed of the digital world. For the first time, logistics is on the front line of the customer experience as retailers take a step behind the scenes. In essence, can logistics effectively provide good last mile customer experience at an affordable price? Can retailers maintain control of the customer experience even without in-store contact?

For successful retailers and logistics providers, the solutions to these challenges will come through innovation, modernizing processes, digital transformation and the effective use of technology. This whitepaper seeks to provide insight into the state of last mile delivery for retail providers.

Companies in the retail and logistics industries are being forced to adapt to meet the fulfilment demands of their consumers. The minimum expectation is now: What I want, where I want and when I want it. We are now in the age of the Individual Economy (Iconomy for short).


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