Pricing The last mile is an expensive phase of delivery at least relative to warehousing. The reasons for these high costs lie in the non transparent pricing. Take long distance transportation. The cost of delivery in a city can be calculated in at least three ways by zone e.g. residents of Berlin who live outside of the city will be billed rates for the Berlin region ; by hour calculated on the basis of actual minutes hours spent on the process including downtime not caused by the customer ; by footsteps or the number of orders placed in a given period whereby a fixed price is paid for a given delivery volume in a given period regardless of how many items are actually shipped. The market also offers mixed options. In addition to all this tariffs for bulky goods and shipments vary and depend on weight volume and often also on the specifics of the delivery geography sometimes even the city s topology.
These pricing methods are the most common but there are also whatsapp mobile number list alternative pricing models that are difficult to spot and make the whole market difficult to compare. This is how. Counter intuitive situations where it is cheaper to send large format goods from Berlin to Bonn than to deliver them from a warehouse to a customer down the street. Problem No. Technical organization of the last mile logistics process One might get the impression that all the weaknesses of the last mile are to blame for non digital processes couriers and city carriers who voluntarily charge inflated prices and who do not use customer oriented employees for contact with the recipient.
However this is an abbreviated view logistics companies forwarders and shippers especially mail order companies benefit from insufficient organization of the last mile. On the one hand there is an irrepressible desire for quick delivery which is not always dictated by the customer. Too often this is driven by a desire to stay ahead of the competition. Second there is a willingness to delegate the last mile problem to crowdsourcing services which have mediocre ratings and no direct contractual responsibility. This approach meets SLA in terms of security customer focus timing and security of delivery.