The boom in e-commerce may have completely revolutionised shopping, making it more convenient than ever. But with retailers dispatching millions of deliveries directly to our doors – is there a hidden cost?
This surge in online shopping brings with it a hike in delivery vehicles on the roads. So much so that the UK is predicted to take a £7.9 billion hit to the economy from congestion. Not only that, but the country will also suffer a staggering 64,000 premature deaths from polluted air each year. The rise of same-day and next-day delivery options has only exacerbated these issues. The situation is worsening, leading to an inefficient and highly polluting supply chain. Urban last mile delivery emissions are expected to rise by 30% in the top 100 cities globally by 2030.
This trajectory calls for a pretty radical overhaul of how we approach last mile delivery.
Limitations of electric vehicles
Electric vehicles (EVs) have been heralded as the silver bullet. They produce zero tailpipe emissions but do little to alleviate the issues of congestion in the urban last mile. And, because of their size, they still consume a significant amount of energy as they move around cities. The transition to EVs also involves substantial challenges. These include the need for a comprehensive charging infrastructure and the environmental impact of battery production and disposal.
Even if these infrastructure issues are resolved, the shift to electric vehicles will only partially mitigate the environmental impact of last mile logistics. The problems of pollution, congestion- and the associated depleting quality in delivery experience- require a rethinking of the logistics infrastructure altogether.
Micro-hubs and modern pedal power
Traditional logistics models rely on large central warehouses located far from urban centres. Parcels travel long distances to reach consumers, increasing emissions and traffic congestion. But, by establishing smaller, strategically located hubs closer to delivery points within cities, you can have efficient, consolidated deliveries. These deliveries can be made using smaller, more sustainable vehicles like cargo bikes. These bikes are super low-emission and specifically designed for urban environments.
By replacing vans or trucks with cargo bikes, Zedify’s research shows that businesses can reduce their emissions by more than 80% compared with electric vehicles and more than 90% on diesel vans. This not only reduces the carbon footprint of deliveries but also alleviates traffic congestion.
The result? Cities that are how we would wish them to be – safer, cleaner, quieter.
Technological integration
Technological integration and route optimisation are essential for creating a more efficient and sustainable last mile delivery sector. Development in this area is vital to the roll out of low-emission delivery vehicles like cargo bikes.
Advanced algorithms and AI-powered systems are already becoming central in analysing multiple variables. These can include traffic conditions, weather, and delivery time windows, to determine the most efficient routes logistics companies use. This reduces the total distance travelled, the number of trips required and improves the accuracy of delivery windows. As a result, this can massively improve the customer experience too.
Advances in technology can also provide real-time guidance to drivers and riders. It can highlight the best routes and potential hazards, improving safety and efficiency, especially in busy urban areas.
Machine learning will become more and more important in cargo bike-logistics, enhancing the local knowledge of riders, helping them access difficult addresses and making use of hybrid road and cycle infrastructure to reach delivery points as efficiently as possible. And AI can optimise battery usage and predict charging needs, ensuring bikes are always ready for use which helps in planning routes that maximise battery life and efficiency.
Embrace reverse logistics
Sustainability in last mile logistics extends beyond forward logistics—the movement of goods to consumers—to include reverse logistics, which involves the return of goods. Given that up to 25% of returns end up in landfill, companies certainly need to invest in more robust reverse logistics infrastructure that minimises the environmental impact of returns and disposals, contributing to a more sustainable supply chain.
Speed is crucial to getting returned products back on shelves in time to be resold. Innovative collaborations between sustainable last mile delivery companies and locker networks will be key to speeding up the process of getting products returned and reduce their chances of ending up in landfill in future.
The future
The urgency of the climate crisis demands innovative solutions across all sectors.
Reimagining last mile logistics is not just a minor adjustment but a transformative step towards healthier, more sustainable cities. By introducing micro hubs, embracing super low-carbon light electric vehicles such as cargo bikes, leveraging the right technology and building the right infrastructure for friction-free reverse logistics, we can significantly reduce the environmental impact of e-commerce deliveries and create greener, more livable cities in the process.
- Collaboration & Optimization
- Sustainability