Best Practices for Local Businesses doing Last Mile Delivery

The shift to home delivery, accelerated by the COVID-19 pandemic, has dramatically transformed the way food, beverage, and retail businesses operate. While dine-in service was once the standard for restaurants, many businesses have transitioned online—some abandoning physical storefronts altogether in favor of delivery-first models.

In this new landscape, a customer’s perception of your brand often hinges on the delivery experience. If you’re new to last mile delivery—or simply trying to improve—how do you ensure your operations are running smoothly?

According to a 2020 McKinsey Global Survey, companies have “accelerated the digitization of their customer and supply-chain interactions and of their internal operations by three to four years.” This trend has been especially pronounced in local delivery.

This article explores what last mile delivery entails, why it matters, and the practical steps your small business can take to do it well.

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Table of Contents

• What Is Last Mile Delivery and How Does It Work?
• Last Mile Delivery Best Practices for Your Business
• How to Optimize Your Team’s Last Mile Delivery Processes

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What Is Last Mile Delivery and How Does It Work?

Last mile delivery refers to the final step in the logistics chain: getting a product from a distribution hub (like a store or warehouse) to the end customer’s doorstep. Traditionally, this has been an enterprise challenge tackled by companies with large fleets and complex logistics systems.

But with the rise in home delivery demand—and access to affordable delivery management software—small businesses can now handle last mile delivery profitably. This is particularly relevant in the food and beverage sectors, where speed and reliability are essential.

Let’s dive into how to do it right.

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Last Mile Delivery Best Practices for Your Business

Plan Out Each Step of Your Fulfillment Process

Efficient delivery starts long before a driver hits the road. It begins with a smooth, streamlined fulfillment process.

From order intake to packing and routing, every phase should be designed for speed and accuracy. Organize packages in delivery order—Point A at the front of the vehicle, Point B behind it, and so on—so drivers spend less time digging through boxes on the road.

Use a delivery management software like EasyRoutes to automatically generate packing lists, label orders in delivery sequence, and plan routes for multiple drivers. This saves time, reduces errors, and improves on-time performance.

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Improve Efficiency with Route Optimization

Manually planning delivery routes can take hours—and mistakes are costly. Routing errors lead to longer drive times, wasted fuel, and late deliveries. According to Mapillary, inefficient routing contributes to $6 billion in annual losses, including $2.5 billion in wasted labor and $611 million in extra mileage due to map issues.

Routing software like EasyRoutes factors in real-world constraints such as traffic, vehicle size, and customers' preferred delivery time windows, ensuring your drivers take the most efficient path every time. It’s one of the simplest ways to boost profitability and reliability.

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Use the Right Vehicles to Meet Your Business Needs

Your choice of vehicle has a direct impact on delivery efficiency. For example, large trucks may offer room to grow, but if you’re not yet filling them, they just burn more fuel and complicate navigation.

Choose vehicles that align with your current delivery volume and operating environment. A small van may be easier to park and more fuel-efficient in dense city areas. On the flip side, if your current vehicle is too small and drivers must return to reload mid-shift, you’re losing time and money.

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Train Your Drivers to Improve Driver Efficiency

Driving behavior affects fuel costs, delivery timing, and vehicle wear. Train your team in eco-friendly driving practices such as avoiding excessive idling, maintaining consistent speeds, and adhering to routes.

Consider offering incentives for metrics like low fuel usage, on-time delivery rates, or safety scores. These programs can motivate better habits and reduce costs while also improving driver morale.

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Oversee the Entire Process from Start to Finish

Third-party delivery providers can offer convenience—but they also reduce your visibility and control. When customers call about a missed or delayed order, you’re the one they’ll contact, even if the issue lies with a delivery partner.

Taking ownership of your last mile delivery operations enables you to address problems faster and deliver a more consistent customer experience. You’ll be able to identify inefficiencies and make improvements continuously, rather than being in the dark.

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Use Technology to Communicate with Drivers and Customers

Effective communication underpins successful last mile delivery. Equip your drivers with tools to stay in contact with dispatchers and resolve delivery issues in real time.

At the same time, keep your customers informed. Automated delivery notifications reduce support calls and help customers feel confident in your service. Let them know when their order is on the way, when it's been delivered, and include proof of delivery when possible.

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How to Optimize Your Team’s Last Mile Delivery Processes

Route optimization is a well-known logistics challenge called the Vehicle Routing Problem (VRP). Solving it efficiently—especially when factoring in time windows, delivery zones, and capacity constraints—requires software, not spreadsheets.

Some algorithms prioritize precision but take longer to run. Others are faster but may yield less optimal results. The best systems strike a balance based on the needs of your business.

Whatever your priorities, route planning software is essential for scaling last mile delivery. Without it, your team wastes time, energy, and fuel—and you risk falling behind competitors who are investing in automation.

If you're looking for a simple, Shopify-integrated delivery solution, EasyRoutes is a top-rated option. It’s a Shopify Staff Pick, offers a 14-day free trial, and provides plans for businesses of all sizes. So why not try it out for free today?