The biggest last-mile failures and challenges

Last-mile delivery challenges and failures

The complexities of last-mile delivery impact delivery operations from every angle. And with his type of delivery accounting for over 53% of total shipping costs for some companies failure can be costly. Let’s look at the most common issues that businesses face.

Failed deliveries

One of the biggest issues is a high rate of failed deliveries. 5% of all last-mile deliveries fail. This is often caused by factors like incomplete address information or the delivery driver being unable to gain access to a site. Each delivery failure adds additional operational costs and causes delays to vital repairs. Multiple failed attempts to deliver to the final destination can quickly escalate costs and lead to unhappy customers.

Delayed deliveries

Delivery delays are a major issue. They can arise from traffic congestion, inefficient route planning, or even problems back at the distribution centre. For a field engineer waiting for a spare part, a late arrival can mean hours of wasted time. For the business waiting for repairs, it can mean the difference between being operational and not. This isn’t just a negative customer experience, but can cost thousands. These delays directly impact customer satisfaction and can lead to a breakdown in trust.

Poor route planning

Inefficient delivery routes lead to higher fuel consumption, increased operational costs, and wasted time. Without route optimisation, delivery drivers spend more time and fuel costs navigating inefficient routes, driving up the total shipping costs and reducing routing efficiency. Poor route planning can also result in further delays because of traffic congestion and road closures.

Bad customer experiences

In the B2B world, the customer experience is defined by reliability and predictability. When delivery issues occur, whether through missed delivery windows or poor communication, it can lead to frustration and erode customer loyalty. Ensuring a positive experience is essential for maintaining strong relationships with your customers.

Delivery visibility

A lack of delivery visibility is a common problem. The inability to offer tracking means engineers and site managers are left in the dark about the status of their delivery. Without tracking links, they cannot manage their schedules effectively or provide an accurate delivery time to their end customer. Delivery tracking systems are now essential for meeting customer expectations.

Location unpredictability

Delivering to a range of locations, from busy urban centres to remote rural sites, presents a unique set of last-mile challenges. Hard-to-reach or dispersed locations can impact delivery time and lead to higher fuel consumption. The lack of delivery density in these areas can also significantly increase delivery costs.

Returns management

In many cases, last-mile delivery doesn’t just end with a successful handover. The logistics process may also include efficient returns management for faulty, incorrect or additional parts. Reverse logistics can be a complex process, but a vitally important one. Returning parts to central warehouse locations ensures they can be correctly restocked or recycled. A clunky returns process can lead to unhappy customers and create additional logistics operations challenges.

Missed delivery windows

When a delivery driver arrives outside of a pre-agreed window, it can disrupt an entire day’s work. Missed delivery windows can mean that the engineer isn’t on-site to receive the part, This leads to increased failed attempts, contributes to high delivery costs and prevents essential maintenance or repairs being completed.

Damage in transit

Damage to goods in transit can halt a repair job and cause further delivery delays. This failure in the delivery process requires the damaged item to be returned and a replacement sent, leading to a frustrating and costly cycle of delivery issues.

Unflexible delivery options

Many delivery companies only offer a limited number of delivery options, such as a single attempt to a specific address or unsuitable time slots. This lack of flexibility doesn’t meet the complex needs of today’s businesses. Some jobs, for example, might require delivery to a hospital room, an engineer’s van, or a secure PUDO location at a time that works with the engineer’s schedule. The lack of flexible delivery options can become a major barrier to successful deliveries.

How to overcome these last-mile challenges

Tackling these last-mile delivery challenges requires a strategic approach, but it starts with using the right logistics partner. Working with delivery companies that have experience in last-mile delivery helps to reduce operational costs and enhance performance.

Carousel, for example, has:

• Flexible delivery options designed to suit your delivery schedules.
• PUDO locations where engineers can collect spare parts on the way to jobs
• A streamlined returns process
• A customer portal that makes ordering, tracking, and managing deliveries simple
• Years of experience handling critical and delicate components
• By:DAY, By:NIGHT, By:DEMAND and By:NOW delivery services to get your spare parts where they need to be whenever you need them.

Navigating the complexities of the last mile can be a headache, but you don’t have to do it alone. Carousel is a leading expert in B2B last-mile logistics, specialising in mission-critical spare parts delivery. We have the technology and expertise to tackle these last-mile challenges head-on.

Successful and reliable last-mile delivery is possible

Kubota, a leader in agricultural and construction equipment, partnered with Carousel to significantly improve its parts delivery service for UK dealers. The goal was to enhance customer satisfaction and support long-term business growth. 

Carousel’s final mile By:NIGHT service was the core of the solution, providing pre-8:30 am delivery directly to dealers. This time-critical service, along with a self-service booking portal, gave Kubota real-time visibility and greater control over shipments. 

The partnership resulted in several key benefits, including improved asset optimisation, more inventory in local markets, and an overall better customer experience. This new logistics approach has empowered dealers to support their customers more effectively, leading to increased uptime and efficiency.

Improve your last-mile delivery with Carousel

By partnering with us, you can achieve reliable last mile deliveries, improve customer experience, and gain a competitive edge by meeting fulfilment timelines consistently. We offer a flexible and cost-effective approach to your logistics operations, helping you to minimise failed deliveries and ensure a smooth final step in your supply chain. Get in touch to learn more about our last-mile delivery solutions.