Challenges in Last-Mile Delivery

India’s Quick Commerce (q-com) platforms are turning to order batching — grouping nearby deliveries into a single run, Udisha Srivastav reports for Business Standard. Why? To cut costs, improve efficiency, and optimise inventory management. Top players including Zepto, Blinkit, Swiggy Instamart, Flipkart Minutes, and BigBasket are now making this practice a core part of operations. “By grouping nearby orders, we reduce return trips and optimise routes for our delivery partners, thereby minimising delays even during peak hours. Delivery partners are rewarded with additional incentives on batched orders, making each trip more productive while creating value for both users and partners,” says Vikas Sharma, Chief Operating Officer (COO) at Zepto. Flipkart Minutes, which began batching in August 2025, is also using its algorithm to automatically club orders within a 500-metre radius to manage surges, the report adds. The firm is currently using this strategy in Tier-I and Tier-II cities. BigBasket is using a routing engine that “plans batches using the customer’s promised ETA and optimises routes to reduce kilometres per order,” according to Aashutosh Taparia, Head of Last-mile Delivery at BigBasket. Q-com firms aim to lower delivery costs from ₹40–₹50 to about ₹30 per order through such measures, the report adds further. However, delivery partners report that batching reduces per-order payouts, and delay second deliveries by 5–10 minutes. Not just this, platforms such as Eternal and Swiggy are also investing in dining-out and live-event segments to boost engagement, margins, and brand stickiness, reports Anees Hussain in Financial Express. The two firms are shifting their focus from home orders to “going out” experiences as delivery growth stabilises, notes Bernstein Research. While profitability will take time, this pivot offers a sustainable growth path as food delivery stabilises, and quick commerce remains capital-heavy, the report adds further. How do you think this new playbook will help quick commerce players scale in India? Share your thoughts in the comments. ✍: Nakul Ghai 📷: Getty Images Source: Business Standard: https://lnkd.in/dBZrCnrK Financial Express (India); https://lnkd.in/dbWDyRTX #Quickcommerce #Batching #Delivery

Most companies still treat logistics as a back-office function. A cost center. A line item to squeeze. That mindset? It’s outdated. The good news is that we’re seeing a shift in 2025: Logistics is becoming a growth lever. Forward-thinking brands aren’t just moving goods more efficiently—they’re using logistics to move the revenue needle. Here’s how leading brands are making that happen 👇 👉 Volatile demand? Logistics should flex—not break. - SKU counts are exploding, channels are multiplying, and customers want products yesterday. - Legacy logistics networks can’t keep up. Static models = missed sales, bloated costs. - Instead, we’re seeing brands build adaptive ecosystems—ones that respond to real-time demand signals, shift inventory placement, and enable dynamic routing. Flexibility isn’t a luxury. It’s survival. 👉 Digitization ≠ Just Cost Savings. It’s a CX play. - AI, automation, predictive analytics—yes, they streamline ops. But they also open new doors for revenue. - From predicting order surges to personalizing delivery experiences, tech is turning logistics into a competitive differentiator. - The smartest brands are turning fulfillment into a CX advantage—and seeing it pay off in retention and LTV. 👉 Org design matters more than you think. - When logistics is buried in ops, it stays reactive. - When it’s tied to strategy, IT, customer experience? It drives growth. - This requires breaking silos, aligning cross-functional teams, and making logistics part of strategic planning—not just post-sales execution. 👉 Profitability lives in the promise. - Customers don’t just buy the product. They buy speed, convenience, reliability. - Fail to deliver on that promise—and you don’t just lose a sale, you lose trust. - Winning brands are designing logistics around margin-aware promises—localized inventory, smart delivery windows, real-time updates. The result? Higher conversion, better margins, and loyal customers. 📝 Want to dive deeper into these strategies? 📖 We unpack all of this (and more) in our latest blog: https://hubs.la/Q03dsxFX0 #SupplyChain #LogisticsStrategy #RevenueGrowth #eCommerceLogistics #SupplyChainLeadership #RetailInnovation #FulfillmentIQ #DigitalTransformation

𝗟𝗮𝘀𝘁-𝗠𝗶𝗹𝗲 𝗜𝗻𝗻𝗼𝘃𝗮𝘁𝗶𝗼𝗻 𝗥𝗲𝗽𝗼𝗿𝘁 𝟮𝟬𝟮𝟱 Innovative Projects From Major Last-Mile Players Revealed. As the e-commerce boom continues to reshape consumer expectations and environmental challenges mount, Last Mile Experts (LME) has released the 𝗟𝗮𝘀𝘁-𝗠𝗶𝗹𝗲 𝗜𝗻𝗻𝗼𝘃𝗮𝘁𝗶𝗼𝗻 𝗥𝗲𝗽𝗼𝗿𝘁 𝟮𝟬𝟮𝟱, a comprehensive overview of the technologies and trends redefining parcel logistics in Europe. The 1️⃣5️⃣0️⃣-page report, available free of charge, showcases a wide range of forward-thinking projects and strategies that are transforming the last mile into a smarter, greener, and more customer-centric delivery ecosystem. Developed in partnership with SwipBox and Nova Post Europe and supported by media partners Parcel and Postal Technology International and Last Mile Prophets, the report draws on expert analysis, first-hand interviews, and submissions from logistics innovators in 1️⃣1️⃣ countries across Europe. Key Insights from the Report Include: 🟩9️⃣1️⃣% potential CO₂ emission reductions in last-mile delivery through smarter logistics and OOH solutions 🟩The emergence of “Meaningfully Different Experiences” (MDX) as a new CX benchmark, replacing outdated metrics like NPS 🟩Nova Post’s transformative work in Ukraine, integrating 2️⃣5️⃣0️⃣0️⃣0️⃣+ parcel lockers, AI-powered apps, and resilient infrastructure The expansion of agnostic parcel locker networks by players like SwipBox, enabling multiple carriers to share infrastructure and reduce redundant trips 🟩The rise of AI and orchestration platforms like EPG/Greenplan and GEL Proximity, helping carriers cut operational costs and failed deliveries 🟩Regulatory and market trends shaping the future of electric fleets, crowdsourced delivery, and platform labour models in the EU With its focus on practical last-mile delivery innovations, the report serves as both a roadmap and a call to action for carriers, retailers, policymakers, and technology providers. The full list of companies that submitted projects is as follows: ▫️SwipBox International A/S – Denmark ▫️Stuart – France ▫️EPG Ehrhardt Partner Group – Germany ▫️GEL Proximity s.r.l. – Italy ▫️CiPiO – The Netherlands ▫️Prepair – The Netherlands ▫️Alsendo – Poland ▫️Emapa S.A. – Poland ▫️Software Mind – Poland ▫️Łukasiewicz – Poznański Instytut Technologiczny Research Network - Poznań Institute of Technology – Poland ▫️Bloq.it – Portugal ▫️ARKA Smart Parcel Lockers – Romania ▫️Sameday Romania – Romania ▫️Scandit AG – Switzerland ▫️Nova Post Europe – Ukraine ▫️Evri (Hermes Parcelnet) – United Kingdom The 𝗟𝗮𝘀𝘁-𝗠𝗶𝗹𝗲 𝗜𝗻𝗻𝗼𝘃𝗮𝘁𝗶𝗼𝗻 𝗥𝗲𝗽𝗼𝗿𝘁 𝟮𝟬𝟮𝟱 is available now and can be downloaded for free on our report page: https://lnkd.in/de-7X3ru #lastmile #innovation #report

Deliveries are happening from the sky, and robots are packing your orders. Need a missing ingredient? It can be at your doorstep by the time the water starts boiling. Speed and convenience are part of everyday life. I saw the 15-minute deliveries space closely when I advised the acquisition of Blinkit (e-grocer) by Zomato (food aggregator) in 2022. Blinkit's valuation has grown from $568 million at the time of acquisition to $13 billion as of last available valuation (26x MOIC in 2 years!) - now valued more than its acquirer. Several innovations are reshaping every leg of delivery: 🦾𝗪𝗮𝗿𝗲𝗵𝗼𝘂𝘀𝗲 𝗿𝗼𝗯𝗼𝘁𝗶𝗰𝘀: Autonomous Mobile Robots (AMRs), automated guided vehicles (AGVs), and palletizers are historic. Now, warehouses deploy robotic arms for picking any item with the precision of surgeons (Dexterity, Inc. Accio Robotics), grid solutions where robots travel over a grid packing 50 SKUs in just 5 minutes! (UK’s Ocado Group). 🎒𝗪𝗲𝗮𝗿𝗮𝗯𝗹𝗲 𝗿𝗼𝗯𝗼𝘁𝗶𝗰 𝗲𝘅𝗼𝘀𝗸𝗲𝗹𝗲𝘁𝗼𝗻: Worn during heavy lifting in warehouses, these leverage AI, ML, IoT, sensors to augment strength and reduce physical strain. Exoskeleton innovations in India are limited to applications in army and healthcare - a clear whitespace. 🛣️𝗔𝗜/𝗠𝗟 𝗱𝗿𝗶𝘃𝗲𝗻 𝗿𝗼𝘂𝘁𝗲 𝗼𝗽𝘁𝗶𝗺𝗶𝘇𝗮𝘁𝗶𝗼𝗻: Identifies the shortest delivery routes, optimizes load capacity, cleans up addresses with geotagging algorithm - resulting in cost savings and lower carbon footprint. Startups in focus - Routify, Intugine, and Roadcast. 🚁𝗩𝗲𝗿𝘁𝗶𝗰𝗮𝗹 𝗱𝗲𝗹𝗶𝘃𝗲𝗿𝘆 𝗱𝗿𝗼𝗻𝗲𝘀: Meituan and JD.COM of China have commercialized food deliveries from the sky. In India, SkyeAir, Vizzbee, Redwing, TSAW Drones and TECHEAGLE are taking off. 🚘𝗔𝘂𝘁𝗼𝗻𝗼𝗺𝗼𝘂𝘀 𝗱𝗲𝗹𝗶𝘃𝗲𝗿𝘆 𝘃𝗲𝗵𝗶𝗰𝗹𝗲𝘀: can handle groceries deliveries and takeouts by navigating around pedestrians and traversing sidewalks autonomously. Indian Innovators (Addverb, Ottonomy) are revolutionizing last-mile worldwide. 🌲𝗘𝗹𝗲𝗰𝘁𝗿𝗶𝗰 𝗮𝗻𝗱 𝗴𝗿𝗲𝗲𝗻 𝗳𝗹𝗲𝗲𝘁𝘀: Quick commerce is adopting climate positive fleets due to strong regulatory push, falling battery prices and supply chain localisation. Charging infrastructure and hydrogen/ biofuels will power the future of logistics transportation. 📥𝗦𝘂𝘀𝘁𝗮𝗶𝗻𝗮𝗯𝗹𝗲 𝗽𝗮𝗰𝗸𝗮𝗴𝗶𝗻𝗴: Blume Ventures backed Bambrew replaces single use plastic with recycled paper based alternatives and plant fabrics. Z47 backed Cirkla Inc. manufacturing molded fiber packaging. Agropak sells eco-friendly packaging made of coconut shell powder and zero plastic. Read more in my full deep dive "Grocery Tech Trends from Warehouse to Doorstep" (link in comments). The future of hyper local deliveries is where the entire process from order to warehouse to delivery is highly automation and inter-connected with no human intervention - this would be the pinnacle of Grocery Tech! #FoodTech #GroceryTech #QuickCommerce #VentureCapital

📦 𝗧𝗵𝗲 𝗖𝘂𝗿𝗯𝘀𝗶𝗱𝗲 𝗖𝗿𝘂𝗻𝗰𝗵: 𝗪𝗵𝘆 𝗬𝗼𝘂𝗿 𝗣𝗮𝗿𝗰𝗲𝗹 𝗛𝗮𝗯𝗶𝘁𝘀 𝗮𝗿𝗲 𝗥𝗲𝘄𝗿𝗶𝘁𝗶𝗻𝗴 𝗟𝗮𝘀𝘁-𝗠𝗶𝗹𝗲 Have you ever looked at a delivery truck outside your window and wondered how many parcels it's carrying for your neighborhood alone? 🚚 The data tells a massive story about the future of our cities. Looking at the annual Parcels per Capita across Europe up to 2025, we aren't just looking at shopping trends—we are looking at an urgent roadmap for Last-Mile Logistics and Out-of-Home (OOH) infrastructure. 🚀 The Curbside Crisis With the 𝗨𝗻𝗶𝘁𝗲𝗱 𝗞𝗶𝗻𝗴𝗱𝗼𝗺 🇬🇧 hitting 66.7 parcels per capita, 𝗚𝗲𝗿𝗺𝗮𝗻𝘆 🇩🇪 at 58.2, and the 𝗡𝗲𝘁𝗵𝗲𝗿𝗹𝗮𝗻𝗱𝘀 🇳🇱 at 56.4, traditional home delivery is hitting a physical wall. 𝗗𝗲𝗹𝗶𝘃𝗲𝗿𝗶𝗻𝗴 𝘀𝗶𝘅𝘁𝘆-𝗽𝗹𝘂𝘀 𝗽𝗮𝗰𝗸𝗮𝗴𝗲𝘀 𝘁𝗼 𝗲𝘃𝗲𝗿𝘆 𝘀𝗶𝗻𝗴𝗹𝗲 𝗰𝗶𝘁𝗶𝘇𝗲𝗻 𝗮𝗻𝗻𝘂𝗮𝗹𝗹𝘆 𝗰𝗿𝗲𝗮𝘁𝗲𝘀 𝘂𝗻𝗽𝗿𝗲𝗰𝗲𝗱𝗲𝗻𝘁𝗲𝗱 𝘂𝗿𝗯𝗮𝗻 𝗰𝗼𝗻𝗴𝗲𝘀𝘁𝗶𝗼𝗻, skyrocketing emissions, and a severe driver shortage. It's +1 📦 per week per person ... 📍 𝗧𝗵𝗲 𝗢𝘂𝘁-𝗼𝗳-𝗛𝗼𝗺𝗲 (𝗢𝗢𝗛) 𝗥𝗲𝘃𝗼𝗹𝘂𝘁𝗶𝗼𝗻 Look at 🇵🇱 Poland, which surged from 12.7 parcels in 2017 to 43.8! This explosive growth wasn't absorbed by traditional vans blocking the streets; it was unlocked by one of the world’s most dense and successful Automated Parcel Locker (APM) and PUDO networks. When a country crosses the threshold of ~25–30 parcels per capita, To-Door delivery becomes too expensive and inefficient. Consolidating hundreds of packages into a single locker hub becomes the only way forward. 💡 𝗧𝗵𝗲 𝗟𝗮𝘀𝘁-𝗠𝗶𝗹𝗲 𝗧𝗮𝗸𝗲𝗮𝘄𝗮𝘆 For Operators: High parcel-per-capita countries are no longer testing OOH solutions—they are scaling them to survive. For Cities: Dense locker networks and carrier-agnostic hubs are shifting from "conveniences" to mandatory urban infrastructure to reclaim our streets. A very sensitive subject, who's fully ready to go for "carrier-agnostic" model? For Sustainability: Shifting a market from home delivery to OOH drop-offs can cut last-mile delivery emissions by up to 50%. How is your country managing the last-mile squeeze? Are you team "Home Delivery" or team "Parcel Locker"? Let’s discuss below! 👇

Walmart has just completed its 1 millionth aerial drone delivery. Wing has now surpassed 1 million commercial aerial deliveries. Manna Air Delivery has completed more than 165,000 aerial deliveries. Amazon has relaunched Prime Air in the UK. And Starship Technologies' autonomous robots have surpassed 10 million ground-based deliveries. For years, autonomous delivery was treated as a novelty. A pilot. A PR stunt. A future technology perpetually five years away. That argument is becoming harder to make. The numbers are still small compared with the billions of traditional deliveries made every year. But that's not the point. The point is that millions of consumers have now experienced a different service model: ✔️ No vehicle at the curb, lower emissions ✔️ Delivery in minutes, not hours ✔️ Lower operating costs over time ✔️ Convenience that feels almost instantaneous Every successful autonomous delivery subtly rewires customer expectations. The same thing happened with click-and-collect. The same thing happened with next-day delivery. The same thing happened with mobile payments. What starts as a niche convenience becomes an expectation. Autonomous last-mile delivery is not arriving. It is already here. And with every million deliveries completed, shopper expectations are being reset.

The future of last-mile delivery just got wearable. Amazon has just unveiled AI-powered smart glasses designed specifically for delivery associates — merging computer vision, real-time navigation and safety insights into one seamless interface. Drivers will be able to see delivery instructions, confirm the right packages and even capture proof-of-delivery photos — all without pulling out a single device. The glasses will also detect potential hazards like dogs in the yard and share that data with future drivers, creating a smarter, safer delivery ecosystem. For executives, this isn’t just a logistics upgrade — it’s a blueprint for operational AI integration. It’s what happens when edge computing, wearables and generative AI converge to augment frontline work, not replace it. In an era where efficiency and safety define competitive advantage, this signals the next wave of AI-driven workforce augmentation — practical, scalable and human-centered. Video: @CNET/YouTube #GenerativeAI #ArtificialIntelligence #AI #Wearables #Technology

🎯 Can Robotics + Electric Power Really Transform the Last Mile? New Research Says the Shift Is Bigger Than We Think 🤖⚡📦🌈 📊 Fraunhofer Logistics Research (2024) reports that electrically assisted load-handling systems reduce manual strain by up to 68% and improve unloading efficiency by 42%. 🧠 A European Transport Safety Institute study found that electric lift-assist devices lower workplace injury risk by 54%, especially in heavy-material operations like construction, retail, and industrial supply chains. 🚚 A 2023 Last-Mile Automation Survey revealed that 1,000–1,200 kg loads are the most common cause of delivery bottlenecks due to dependence on forklifts and uneven unloading zones. The data is clear: electric precision tools aren’t just convenience equipment — they’re redefining logistics science. 💡 What’s fascinating is how new electric lift-and-load systems are engineered: 🌈 Torque-controlled motors for stable elevation  ⚡ Smart weight balancing for uneven terrain  🌀 Precision descent algorithms for safer drop points  🔧 Micro-sensor feedback to prevent tilt during operation This turns traditionally high-risk unloading tasks into predictable, data-driven workflows. 🌟 And the real breakthrough? These systems solve the “forklift dependency gap” — one of the biggest pain points in heavy-load logistics.  No scheduling.  No waiting.  No unsafe improvisation.  Just controlled, on-demand lifting where traditional equipment can’t reach. 🔬 Researchers call this the rise of “autonomous micro-handling technologies”, a field merging robotics, material science, and electric mobility to overcome last-mile physical constraints. 🌈 When engineering tackles the final 20 meters of delivery, productivity surges…  and human effort finally becomes sustainable. ⚙️ The future of logistics won’t be defined by bigger machines —  but by smarter, lighter, electric intelligence built for the toughest small spaces. Credits: 🌟 All write-up is done by me (P.S. Mahesh) after in-depth research. All rights for visuals belong to respective owners. 📚  

Amazon is pouring another $4B into rural last-mile delivery—and analysts say the target isn’t UPS or FedEx, it’s Walmart. 🚜📦 What’s really happening   • 80% of the U.S. population lives outside major metros; Amazon wants the other 20% locked in before Walmart’s store-to-door model dominates backroads.   • DSP vans + regional partners = fewer hand-offs, lower rural surcharges.   • More scans per mile = richer data loops, tighter ETAs, and lower cost per stop. Why it matters for shippers (and the teams we help at ShipScience)   • Rural surcharges and long-zone fees will face new pressure—great time to benchmark invoices.   • USPS could lose some “default” countryside volume; be ready for service changes or price tweaks.   • Multi-carrier flexibility just got more valuable. When Amazon Logistics knocks, you’ll want leverage in every contract talk.   • Packaging counts. DIM-friendly, porch-proof boxes keep costs down when a route suddenly shifts from big-carrier to marketplace courier. What happens next:   1️⃣ Competitors will double-down on store-based micro-fulfillment to keep pace.   2️⃣ Regional carriers will see a bump; their rural know-how is the shortcut Amazon needs.   3️⃣ By peak ’26, one in four rural home deliveries will bypass the traditional duopoly. Brands with live parcel data and a carrier “portfolio” will ride the wave—everyone else will ride the rate hikes. Quick to-do list: • Map rural lanes & audit every surcharge.   • Test a regional carrier (or Amazon Hub pickup) on 5-10 % of budget-eating ZIPs.   • Right-size packaging—air is the most expensive thing you can ship.   • Feed new scan data into your dashboard; let numbers, not habit, pick the best driver for each mile. Article: https://lnkd.in/g9xjgZGV #Amazon #LastMile #RuralDelivery #Logistics #ShippingStrategy #Ecommerce #SupplyChain #MultiCarrier #DataDriven #ShipSmarter

What if the future of U.S. parcel delivery isn’t Amazon or UPS—but your own front porch? Let’s unpack why that might not be as wild as it sounds. Just two days ago, Veho expanded into Pittsburgh, Cleveland, and St. Louis, while GLS US began operations in Dallas—signaling a bold shift toward decentralized last-mile networks. These regional players bring agility: hyper-local coverage, faster onboarding, and sharper tech stacks that challenge established giants. Meanwhile, UPS just reported a ~2.8% drop in revenue and dropped guidance—citing sinking consumer confidence and steep tariffs that choked small-package volumes. Shares tumbled 10% as shipments to China collapsed nearly 35%. And yes—UPS is still pulling back from Amazon. Picture this: A regional VC, skeptical of sprawling e-logistics, backs a local operator—Veho—in a handful of U.S. cities. That operator is now building the foundation for a new era of parcel distribution, capitalizing on the cracks in the giants’ armor. What’s at stake? - For logistics pros: Now’s the time to partner with nimble carriers—not just rely on legacy networks. - For VCs: Early bets on regional logistics can yield outsized returns as e-commerce decentralizes. Bottom line: Regional carriers are quietly winning. They’re armed with local agility, smart tech, and rising demand. If you’re serious about the future of parcel delivery, explore pilot partnerships and invest in platforms that support regional scaling. Ready to see what Veho and GLS are doing that UPS can’t? Comment if you're exploring regional logistics, or DM me to connect you with insiders building next-gen delivery networks.