THE LAST MILE: AN EXAMINATION OF
EFFECTS OF ONLINE RETAIL
DELIVERY STRATEGIES ON
CONSUMERS
The Internet has increased the level of importance of the end‐consumer market to
transportation carriers. In two between subject experiments, carrier disclosure on retail
merchant websites is examined as a strategic differentiation strategy. Predictions are offered
concerning effects of carrier disclosure strategies on product delivery‐related expectations,
consumer attitudes, and intentions to purchase a product online. Results from Study 1 reveal
significant differences between disclosure and nondisclosure of the carrier for numerous
product delivery‐related variables, as well as many differences between the six carriers
examined in this first study. Study 2 extends these findings by showing that providing
consumers with a choice of carrier leads to increased levels of satisfaction with the online
experience and greater willingness to buy, relative to nondisclosure and disclosure
strategies.
First and Last Mile Delivery –
Problems and Issues
“First and Last Mile Delivery” stands for freight transport logistics
over the first and the last part of the way to the customer,
accordingly. In freight transport, the first and the last mile are
most cost intensive. In the last phase of transport, it is difficult to
gather and put shipments together, which results in the costs in
that area usually being disproportionately high. The problems of
last mile delivery usually stem from the fact that deliveries are
composed of individual orders and from a significant level of
dispersal of destinations, as each order must be delivered to a
different address. Similar problems are related to first mile freight
transport. This article addresses the problems and issues
connected with first and last mile delivery.
The last mile of e-commerce – unattended
delivery from the consumers and eTailers’
perspectives
Many products ordered online need to be physically delivered to the consumers. The home delivery
logistics in e-commerce, as it is so-called ‘the last mile’ of online shopping, has been one of the key
factors leading to failures of pioneering dot coms, and is becoming a great challenge facing many
eTailers. The convenience and time saving benefits of online shopping may not be realised due to
the inefficiency or failure of the last mile delivery. This paper examines consumers’ experience with
the current delivery services, and the perceptions of unattended delivery from both consumers and
eTailers’ perspectives. It found that UK e-shoppers do not perceive unattended delivery as
favourably as reported elsewhere in Europe, but have a great desire for picking up from local
collection points. Differences exist on future delivery preferences between eTailers and consumers.
The results have many implications for eTailers to develop their home delivery logistics strategy.
INNOVATIVE SOLUTIONS FOR A “LAST-MILE”
DELIVERY – A EUROPEAN EXPERIENCE
The “last-mile” delivery represents the last part of a supply chain that is considered to be the most
inefficient due to its specificities such as a spatial distribution of relatively small receiving points,
demands for more frequent but smaller shipments, delivery time windows, etc. As far as its
ecological dimension is concerned, the “last-mile” delivery done by common type of delivery
vehicles for an inner urban supply is thought to be significantly ineffective especially in cities that are
faced not only with modern distribution practices but with increasing urbanisation and e-commerce
development as well. This leads to the conclusion for necessity to introduce innovative types of
delivery vehicles that improve business results while reducing a negative ecological and social impact
of transport on functions in inner cities. With this reference, the paper presents the innovative
transport technologies in the “last-mile” delivery in developed European countries that provide an
ecological and social sustainability as well as an increased competitiveness of the suppliers.
