12 Industries That Rely on Last-Mile Delivery to Thrive

Last-mile delivery is a lifeline for businesses that depend on swift and efficient logistics. From e-commerce giants to your local pharmacy, it’s a crucial part of the supply chain. 

Why? Because last mile delivery keeps industries ticking and customers happy. 

Let’s dive into 12 industries where last-mile delivery plays a starring role.

What Is Last-Mile Delivery? 

Before we take a look at the industries benefitting from last mile delivery, let’s define what last-mile delivery actually means. 

It’s the final step in the delivery journey—where goods are transported from a distribution hub directly to the customer’s doorstep. 

Simple, right? Not quite. This part of the process is often the most complex.

Despite its seemingly straightforward nature, last-mile delivery is often also the most costly segment of the supply chain.

Why Does Last-Mile Delivery Matter?

The impact of last-mile delivery has surged, thanks to escalating consumer demands. 

Shoppers demand rapid and precise deliveries – quick, efficient and without hassle straight to their front door. 

In fact, last mile delivery accounts for about 53% of total shipping costs, according to Statista.

The worldwide study was carried out between 2018 and 2023, and shows how shipping costs have increased over the years. 

With growing customer demands for speed and accuracy, last-mile delivery has become essential for businesses to stay competitive.

Now, let’s take a look at some of the industries that rely on last-mile delivery software. 

1. E-Commerce

It’s no surprise that e-commerce sits at the top of this list. 

Platforms like Amazon, Shopify, and countless smaller online stores depend heavily on last-mile delivery to meet customer expectations for same-day or next-day shipping.

Shoppers don’t just want fast delivery; they expect real-time tracking and flexible options like parcel lockers or doorstep drops.

ALSO READ: Grocery wars heat up in Australia: Amazon’s growth challenges Coles & Woolies

2. Food and Grocery Delivery

From meal kits like HelloFresh and My Foodie Box to hot meals from your favorite restaurant, last-mile delivery keeps the food and grocery industry alive. 

This industry has seen explosive growth, especially post-pandemic, as people prioritize convenience.

Companies that optimize their last-mile logistics reduce food spoilage and meet strict time windows for delivery.

Take My Foodie Box for example.  

The company started small in 2018 and ran all of their deliveries with spreadsheets and manual estimates. They used three different software solutions just to get a day’s load out. This was an extremely tedious process!

Now, Locate2u’s last mile delivery software drives their operations by automating tasks so the team can focus on what really matters: growth. 

3. Pharmaceuticals

When it comes to medicine, delays aren’t just inconvenient—they can be life-threatening. 

Pharmacies and healthcare providers depend on last-mile delivery to ensure medications and medical supplies reach patients quickly and safely.

Real-time tracking and temperature-controlled vehicles are critical in this space.

Case study: SuperPharmacy provides all Australians access to prescriptions, pharmacy, well-being, health, and more. 

They now rely on last-mile delivery software for driver management, route optimization and much. This reduces the time spent on planning routes, while also improving their driver’s experience

4. Retail

Retail stores now blend physical and online shopping experiences, offering services like same-day delivery or in-store pickup. 

Here’s how they’re doing it with unified commerce.

Last-mile delivery allows retailers to compete with e-commerce giants while keeping their loyal customer base intact.

Think of brands like Target or Walmart. Without last-mile delivery, their omni-channel strategy would crumble.

5. Furniture and Appliances

Big, bulky items like sofas or refrigerators aren’t easy to move, but last-mile delivery solutions make it happen. 

Companies like IKEA have mastered the art of delivering these larger items while offering tracking and assembly services.

6. Courier and Postal Services

Even in the digital age, courier and postal services play a critical role in connecting businesses and customers.

From international parcels to local mail, these services rely on last-mile logistics to keep everything running smoothly.

ALSO READ: Evri’s delivery fleet: Powered up by DAF XB electric truck

7. Automotive and Spare Parts

Ever needed a car part delivered in a hurry? We’ve all been there! 

Dealerships, repair shops, and individual buyers depend on last-mile delivery for timely access to parts. 

Speed here can mean the difference between a fixed car or an angry customer. Just ask GT Product Sales, a major player in South Australia’s automotive spare parts industry.

Starting out, their delivery system was solely paper-based, but they needed a more structured, tech-driven approach as the business expanded. 

Now, instead of having to deal with angry “where are my parts?!” calls, they can focus on sales, keeping their customers happy, and expanding their business. 

8. Electronics and Gadgets

Whether it’s the latest iPhone or a new gaming console, the electronics industry thrives on last-mile delivery. 

High-value items require secure handling, reliable tracking, and sometimes direct-to-door signatures for customer peace of mind.

9. Construction and Home Improvement

From DIY tools to large construction materials, last-mile delivery is crucial for projects that can’t afford downtime. 

On-time delivery helps avoid disruptions and keeps projects on schedule.

10. Florists and Gifts

Imagine receiving flowers for your anniversary a day late. It’s a disaster! 

Thus, florists and gift delivery services rely on precise last-mile logistics to deliver fresh, thoughtful surprises on time.

11. Healthcare Equipment

Hospitals, clinics, and even patients recovering at home require last-mile delivery for critical medical equipment. 

From oxygen tanks to wheelchairs, timely delivery ensures patient care isn’t compromised.

It even benefits non-emergency patient transport, like PTSQ (Patient Transport Services Queensland). They help those who need more than a taxi to visit a hospital or aged care facility. 

PTSQ managed all their booking trips with paper and spreadsheets. But tracking vehicle location and providing an accurate ETA to patients waiting for healthcare was difficult.

Since using Locate2u, they’re able to give patients and healthcare professionals the information they need, when they need it. 

The team also easily allocates vehicles based on capacity. They can track progress throughout the day and streamline invoicing all in one place.

READ: Catch up with PTSQ to see how they use Locate2u in their medical fleet

12. Beverage Delivery

Whether it’s your favorite craft beer or bottled water for an event, beverage companies depend on last-mile delivery for quick and efficient service. 

Seasonal demand often spikes, making logistics even more critical.

Why They Invest in Last-Mile Delivery software

For all these industries, last-mile delivery is more than a convenience—it’s a necessity. 

It ensures speed, reliability, and, most importantly, customer satisfaction. 

With tech solutions like real-time tracking, route optimization, and electronic proof of delivery, businesses can stay ahead of the curve.

Final Thoughts on Last-Mile Delivery

When you think about it, last-mile delivery is the glue holding these industries together. It ensures goods and services reach customers when and where they need them. 

As customer demands continue to evolve, so must the logistics supporting them. 

Whether you’re a startup or an industry leader, mastering last-mile delivery and using the right software is without a doubt the key to staying competitive today.

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