WHITE PAPER
ON TIME, EVERY TIME:
LAST-MILE’S
REVENUE EDGE
www.fleetroot.com
Introduction
As the digital economy rapidly expands, customer expectations around
timely and accurate deliveries are at an all-time high. Last-mile delivery
—the final stage in the logistics journey where goods reach the end
consumer—has grown immensely in importance. Businesses across
sectors such as pharma, food, grocery, e-commerce, gifts & flowers,
logistics, and courier services are increasingly relying on advanced last-
mile tracking solutions to meet these expectations. Ensuring on-time
delivery has proven essential for customer satisfaction, brand loyalty,
and overall revenue growth.
This white paper examines the importance of last-mile tracking,
highlights successful outcomes in 2023-2024, and projects its future
impact across key industries. Additionally, it outlines the benefits of
real-time tracking in enhancing on-time delivery, streamlining
operations, and driving business growth.
The Critical Importance of On-Time Deliveries with Last-
Mile Tracking
Customer Demand for Real-Time Transparency: In an era where
consumers track every movement of their order, last-mile
tracking provides transparency that directly correlates with
customer trust and satisfaction.
Operational Efficiency: For sectors where timing is crucial, such
as pharmaceuticals, food, and flowers, last-mile tracking has
become a differentiator by allowing proactive adjustments to
ensure time-sensitive deliveries.
Revenue Impact: Meeting on-time delivery metrics is directly tied
to increased revenue, as late deliveries can result in canceled
orders, returns, or loss of repeat customers.
1. Pharmaceuticals
Overview: The pharma industry has been heavily reliant on last-
mile delivery tracking to meet strict regulations around
temperature control, time-sensitive delivery, and patient safety.
Key Metrics: According to recent industry reports, pharma
companies have achieved around a 95% on-time delivery rate for
essential medications through advanced tracking and cold-chain
logistics. This has reduced spoilage rates and ensured critical
medication reaches patients on time.
Revenue Impact: Improved logistics efficiency and delivery
timeliness contributed to a 20% increase in revenue for several
companies in 2023. Efficient last-mile delivery is not only about
patient care but also about maintaining a competitive edge in an
increasingly digital healthcare market.
2. Food and Grocery
Overview: Freshness is a primary requirement in the food
and grocery industry, where timely delivery can directly
influence product quality. Last-mile tracking solutions
have proven essential for meeting this demand.
Key Metrics: Reports indicate that food and grocery
sectors maintained a 92% on-time delivery rate in 2023-
24, with optimized delivery routes and real-time updates
helping prevent product spoilage and reduce fuel costs.
Revenue Impact: The revenue for companies implementing
real-time tracking and efficient last-mile solutions rose by
approximately 18%. Customer satisfaction, driven by
freshness and timely deliveries, has led to more repeat
purchases and positive customer feedback
3. E-commerce
Overview: The e-commerce sector has seen rapid growth, with
consumer demand for fast and accurate delivery higher than ever.
Efficient last-mile delivery is crucial to minimize delivery delays,
which can lead to high return rates.
Key Metrics: E-commerce companies recorded an average 90% on-
time delivery success rate in 2023, primarily attributed to
advancements in real-time tracking and predictive analytics.
Revenue Impact: Real-time tracking has proven effective in
boosting customer loyalty and reducing return rates, contributing
to a 15% increase in annual revenue across various e-commerce
players. This has positioned e-commerce firms to compete by
prioritizing transparency and efficient last-mile operations
Market Size Delivery Same-Day
Projection Spending Delivery
$ 200b $ 100b $ 20b
The global last-mile delivery By 2025, global e- The market for same-
market is expected to reach commerce companies are day delivery services
approximately $200 billion expected to spend over alone is forecasted to
economic impact
Market’s scale &
by 2027, with a CAGR of $100 billion annually on reach nearly $20 billion
around 15% from 2023, last-mile logistics, as they by 2025, as consumer
largely driven by e- focus on enhancing expectations shift
commerce demand. delivery speed and toward faster
efficiency. fulfillment times.
Urban Logistics Revenue Electric Vehicle
Investment Growth Adoption
$ 100b $ 10b $ 15b
To meet last-mile The integration of real- As last-mile companies
demands in urban time tracking and route work toward
areas, investment in optimization in last- sustainability goals,
urban logistics mile delivery could the use of electric
infrastructure is generate over $10 vehicles in delivery
expected to exceed billion in additional fleets is projected to
$100 billion by 2030 revenue for logistics surpass $15 billion by
companies by 2025. 2030
4. Gifts & Flowers
Overview: The gifts and flowers industry, where timely delivery is
essential for special occasions, has particularly benefited from
last-mile tracking. Quality and freshness are critical, making real-
time updates invaluable.
Key Metrics: In 2023-24, companies in this sector achieved a 94%
on-time delivery rate, ensuring that gifts and floral arrangements
were delivered on time and in pristine condition.
Revenue Impact: The industry saw an approximate 16% increase in
revenue, largely due to the reliability of on-time deliveries, which
is crucial in maintaining customer trust and satisfaction for time-
sensitive orders.
5. Logistics and Courier Services
Overview: In logistics and courier services, accurate, efficient
delivery has always been a priority. Last-mile tracking technology
has become essential for ensuring timely delivery, especially for
business-critical documents and urgent shipments.
Key Metrics: The logistics and courier sector achieved a 91% on-
time rate in 2023-24. This high metric is a result of leveraging
route optimization, real-time visibility, and advanced analytics
that allow couriers to adapt to changes such as traffic and
weather delays.
Revenue Impact: These efficiencies contributed to a 14% revenue
increase for logistics companies. By meeting high punctuality
standards, couriers have been able to secure business contracts
that demand consistency in delivery timeframes, underscoring the
importance of reliable last-mile tracking
Predictions for 2025: Growth in
Last-Mile Delivery Tracking
As customer demand for speed and precision in delivery continues to
grow, last-mile tracking will play an even greater role in business
success
Pharma Food & Grocery
E-commerce Gifts & Flowers
Logistics & Courier
Logistics & Courier
17.3%
Pharma
24%
Gifts & Flowers
18.3%
Food & Grocery
21.2%
E-commerce
19.2%
Conclusion: Fleetroot’s Vision for
a Future of Seamless On-Time
Deliveries
Last-mile delivery tracking has become a cornerstone for businesses
aiming to meet modern customer demands and maintain a
competitive edge. Fleetroot is at the forefront of helping businesses
across pharma, food, grocery, gifts & flowers, logistics, and courier
services achieve on-time delivery goals with innovative tracking
solutions. Looking forward, as Fleetroot continues to expand and
enhance its last-mile capabilities, businesses can rely on our
technology to meet the growing expectations for transparency,
reliability, and speed in last-mile logistics