Quick Commerce and the Need for Last-Mile Delivery
In an era where instant gratification drives consumer behaviour, businesses are evolving to meet the growing demand for faster deliveries. Quick commerce, or q-commerce, has emerged as a powerful solution, enabling consumers to receive their orders within hours, sometimes even minutes. But behind the scenes of this rapidly growing sector lies one of the most crucial components of the process: last-mile delivery.
As customers expect faster deliveries and convenience, the success of quick commerce largely depends on the efficiency and innovation of last-mile delivery solutions. In this blog, we will explore what quick commerce is, why last-mile delivery is integral, and how businesses can optimize this essential part of the supply chain.
What is Quick Commerce?
Quick commerce refers to the next generation of e-commerce, where the primary focus is ultra-fast deliveries of goods, especially in urban areas. Unlike traditional e-commerce, where delivery times can range from a few days to a week, quick commerce promises deliveries within 30 minutes to 2 hours. Consumers today have become accustomed to this immediacy, especially with essential goods like groceries, medicines, and food. Brands such as Blinkit, Swiggy Instamart, and Amazon Fresh are all players in this high-speed delivery market, giving consumers the convenience of getting what they want when they want it. But the reality of delivering goods in such a short period depends heavily on the logistics of the last mile.
What is Last-Mile Delivery?
Last-mile delivery refers to the final step in the delivery process where a package is transported from the local distribution center or store to the customer’s doorstep. It’s often regarded as the most critical and expensive segment of the entire logistics chain, sometimes accounting for over half of the total delivery costs.
Why Last-Mile Delivery is Crucial for Quick Commerce
Speed is the Name of the Game
The primary appeal of quick commerce lies in its promise of fast deliveries. Without a robust last-mile delivery system, it’s nearly impossible to meet this promise. In high-demand, urban environments where traffic congestion and complex routes are everyday challenges, businesses must optimize every element of their last-mile operations to ensure rapid order fulfilment.
From dispatching drivers to routing deliveries efficiently, every second counts in q-commerce. Companies that can master last-mile delivery can set themselves apart from competitors by offering faster and more reliable services.
Customer Satisfaction
The success of quick commerce doesn’t just rely on speed—it’s also about customer experience. Customers expect their deliveries to be on time, with accurate order tracking and real-time updates. Poor last-mile delivery can lead to missed delivery windows, customer frustration, and ultimately, a loss of trust in the brand.
Last-mile delivery allows businesses to provide timely communication, accurate ETAs, and a seamless experience, all of which contribute to higher levels of customer satisfaction and repeat business.
Cost Efficiency
While last-mile delivery is essential, it also poses some of the biggest cost challenges. In fact, the last mile can account for up to 53% of total shipping costs in e-commerce. These costs are even higher in quick commerce due to the added complexity of meeting shorter delivery windows.
To combat this, companies must invest in route optimization, efficient vehicle utilization, and even electric vehicle fleets that reduce operational costs over time. Optimizing last-mile delivery can significantly cut down the costs associated with fuel, labour, and delivery time.
Sustainability
With the rise of quick commerce comes an increase in the number of delivery vehicles on the road. This inevitably contributes to higher emissions and environmental impact. However, businesses that embrace eco-friendly last-mile delivery solutions, such as electric vehicles (EVs) and optimized delivery routes, can reduce their carbon footprint.
By leveraging a fleet of electric two-wheelers (2W) and three-wheelers (3W) for last-mile delivery, companies not only lower their environmental impact but also demonstrate a commitment to sustainable practices—something consumers increasingly value.