Why the Last Mile Devours Half Your Shipping Costs
Manage episode 512656314 series 3673650
This episode explores the economics and challenges of last-mile delivery — the final leg from distribution center to customer — which can account for up to half of total logistics costs.
Host draws on Amazon and industry examples to explain the main cost drivers: fragmented stops, failed returns, and rising customer expectations. Real cases from European retailers and UPS illustrate the gap between commercial and residential delivery costs.
The episode also covers practical solutions companies are using — closer micro-warehouses, secure locker rooms, and app/AI route optimization — and closes with a shout-out to delivery drivers who make it happen.
#e-commerce #dispatch #supplychain #distribution #transportation #deliverydriver #lastmile
12 episodes