Analyzing the explosive growth of last-mile deliveries during the pandemic, and emphasizing the importance for businesses to adapt to rapidly changing trends and consumer expectations.
During the pandemic when everyone was staying inside, the last-mile delivery market exploded in size. And as soon as the customer’s expectations changed, delivery patterns changed as well. Estimates suggest that growth will continue at a rapid pace, with the market expected to reach $200 billion by 2027.
Surprisingly, despite the market’s growth, the rapid change in statistics shattered the entire market. Only those businesses that were able to adapt to changing trends were able to survive. It is important to stay current with changing market trends and to keep an eye on the numbers.
Here are all of the most recent local delivery statistics to keep in mind as you run your delivery business in 2025.
The global market for last-mile delivery is enormous. It is divided into segments based on the following criteria:
The market for last-mile delivery is rapidly expanding. A drastic shift in market trends and customer expectations has resulted in a drastic shift in market trends, making last-mile logistics difficult to cope with.
Here are four major statistics that any company providing a last-mile delivery service should consider.
The local delivery market has grown dramatically in recent years. This rapid expansion has a significant impact on last-mile service upgrades.
In North America, for example, the last-mile delivery market was valued at 31.25 billion dollars in 2018. From 31.25 to 51 billion dollars in the United States, there has been a tremendous increase in recent years.
The global parcel and express volumes have undergone a significant change. From 4.3 percent in 2014 to 15.3 percent in 2022, the growth rate has increased significantly. The logistics industry is experiencing tremendous growth.
The following are some of the trends that have contributed to this growth rate:
The buyer’s behaviour was influenced by a reduction in shipping costs.
The e-commerce world went crazy, from low shipping costs to providing free shipping.
Shipping is an expensive part of the supply chain, but it was made free to meet customer expectations.
Same-day delivery became popular as the demand for faster delivery grew.
Businesses received more leads as a result of the quick and free delivery.
As a result, a number of factors influenced last-mile logistics, resulting in a shift in market trends and rapid market expansion.
Consumers have shown a significant shift towards the online market, which has fueled the growth of the e-commerce industry. The e-commerce industry, on the other hand, has taken no shortcuts to ensure customer satisfaction.
The business-to-consumer track has been upgraded on a regular basis. From the standard delivery period of one week to 10-minute deliveries, a lot has changed. As a result, the last-mile delivery market has progressed and delivery companies have prioritized meeting consumer demands.
According to a 2017 survey conducted in North America and Europe, 73 percent of e-commerce logistics companies prioritize better communication with their last-mile customers in order to improve their experience.
As a result, the last-mile delivery industry has undergone a significant transformation, and it is now investing in upgrades to ensure that it remains ahead of the curve in order to meet consumer demands more efficiently.
Consumer satisfaction has become increasingly important as a result of the following trends:
As a result, maintaining the company’s reputation by ensuring customer satisfaction became an important aspect of leading the last-mile market.
Because it takes a lot of time and money, last-mile delivery is a big deal in the logistics industry.
The costs of providing excellent last-mile delivery services are prohibitively expensive. As a result, managing the final mile logistics is critical. The global logistics market was worth $8.6 trillion in 2020.
The numbers, as well as the challenges, are expected to rise.
Labour costs, fuel costs, cargo carrier costs, and driver salaries are all included in last-mile delivery costs. A failed delivery can add to the cost of an already costly process.
Last-mile costs have risen as a result of the following trends:
As a result, reducing last-mile costs has become a more pressing concern.
Knowing the statistics of the last-mile market is useful, but understanding how to apply them to make necessary changes is even better.
Statistics can help you compare your company’s performance to the growth of the market to see if you’re making real money. Statistics can also assist logistics in staying current with market trends.
The following are some key points that explain the significance of last-mile delivery statistics:
Last-mile logistics professionals never make major decisions based on market hype. They delve deeper into the market in order to devise more effective strategies. Because thorough market research can assist you in making informed decisions and determining which trends have the potential to last longer and generate profits.
Market trends are sometimes intended to provide customers with more savings than logistics. As a result, you must figure out what works best for you.
The data presented above clearly shows that the global last-mile delivery market will grow dramatically. As a result, upgrading your last-mile delivery services is critical.
One can begin by replacing traditional management methods with the most recent technological advancements in the field. Why are your management methods still traditional now that your company has gone online?
The management of last-mile delivery costs has been a hot topic in last-mile logistics. Do you know what criteria were used to determine whether or not the final mile logistics were successful?
Here’s how upgrading to delivery management software can make last-mile logistics much easier to manage:
As a result, using last-mile delivery management software can make a big difference to your delivery business.
The following are the major issues that make last-mile delivery difficult to achieve:
Local delivery logistics refers to the final delivery process from the distribution centre or facility to the end-user. It enables shippers to deliver more products to customers in a more timely and cost-effective manner.
Last-mile delivery is inefficient because of issues such as route planning inefficiency, a lack of real-time visibility, and the inability to deliver same-day delivery.
Yes, the last-mile delivery business is profitable, as rising consumer demand has increased demand. It only requires proper management to be effective.
The following are some of the obstacles to implementing local delivery in your business:
Checking the delivery route and delivery drivers can help improve last-mile delivery. A strategic approach to providing drivers with a useful add-on via optimization software can help to improve the process. Good delivery management software like EasyRoutes by Roundtrip can also be used to enhance the customer experience.
Roundtrip’s EasyRoutes is a robust route planning application. It is the best delivery management solution for delivery businesses on Shopify who want to plan and optimize their routes efficiently.
EasyRoutes can optimize routes for you automatically, taking into account service time, time windows and avoiding ferries, tolls, and highways.
Companies can focus on their core business operations and reduce manual planning and scheduling hours with EasyRoutes, while the app takes care of the rest.
You can use EasyRoutes for free, or try any of the paid plans out free for 14 days!
Roundtrip's mission is to equip every business with the software tools they need to deliver products to their customers in a delightful way. Thousands of worldwide choose EasyRoutes to power their local deliveries across dozens of product categories, from meal kits and groceries to coffee, cupcakes, kibble, and so much more. Our easy-to-use route planning and delivery optimization app is certified Built for Shopify, a two-time Shopify staff pick, and the top rated local delivery app on the Shopify App Store.
