The Rise of Last Mile Delivery Companies in India: Meeting the Demands of E-commerce

Following the outbreak of the pandemic, the e-commerce industry experienced a surge. Because of the restrictions and the fear of contracting the disease, many people avoided going to stores and shopping malls, and a large segment of the population turned to online shopping. According to a joint report by consulting firm Bain and Flipkart, e-commerce grew by 25% during the fiscal year 2020-21. During this time, e-commerce increased its national market share to 4.6%. However, it was much higher in metropolitan areas that have been at the forefront of the country’s e-commerce adoption. To maintain consumer interest and expand their penetration, several e-commerce companies went a step further and included rapid commerce as part of their offering, along with doorstep deliveries. 

As retail E-commerce grows globally, so does the number of packages that must be delivered to customers’ homes. Last-mile delivery companies and startups that can provide this service are in high demand.

For E-commerce enterprises, last-mile delivery is crucial for a number of reasons:

• Customer convenience: Customers want to be able to order items online and have them delivered to their front door as soon as possible. Last-mile delivery companies and startups enable this.
• Sales Growth: Providing quick and convenient delivery aids in the growth of eCommerce enterprises. Customers are more likely to buy when they know they will receive their items quickly and without difficulty.
• Increased Customer Retention: Last-mile delivery can help Ecommerce businesses improve customer retention and increase sales. Satisfied customers with a positive delivery experience are more likely to return for future purchases.
• Cost Savings: Last-mile delivery companies and startups frequently use innovative technologies and strategies to reduce costs, which can save money, Also providing a sustainable environment for the future generation.

5 Last Mile Delivery Companies & Startups:

1. Delhivery 

Delhivery is a large and rapidly growing last-mile delivery company in India. They offer a full range of logistics services, including express parcel delivery, PTL and TL freight, and cross-border and supply chain services. 

Over 1 billion orders have been successfully fulfilled by the Delhivery team across India. With a workforce of over 66,000 workers, 21 cutting-edge sorting facilities, 86 gateways, and more than 80 fulfilment centres, they can deliver to more than 17,000 pin codes in India. They can also do so every day of the week.

2. EKart 

ekart is a leading provider of logistics and supply chain solutions in India. They began operations in 2006 as Flipkart’s in-house supply chain division. They then expanded their business to provide end-to-end supply chain logistics solutions to other companies. 

3. E-commerce Express

Ecom Express is a leading end-to-end technology-enabled logistics provider in India. Ecom Express enables first-mile pickup, processing, network optimization, and last-mile delivery through the use of innovative technology and automated solutions. The company was founded in 2012 and is headquartered in Gurugram, Haryana. 

4. Xpressbees

Xpressbees is a logistics supply chain startup that provides B2B, B2C, cross-border, and 3PL services. It was founded in 2015 and has been rapidly growing since then. This logistics company is well-known for its quick deliveries, as well as cash on delivery, vendor pick up, and other services. It is headquartered in Pune, India.

5. Safexpress

Safexpress, based in Gurgaon, is a leading logistics company that provides specialized services such as freight forwarding and warehousing solutions. In addition, the company offers technological solutions with features.

Newer requirements for upgrading service models, such as last-mile delivery, location tracking, and hyperlocal delivery, are causing a paradigm shift in logistics and transportation models. For quick and efficient delivery of goods, the majority of players in the field have adopted two-wheelers.

There are some issues with traditional two-wheelers in terms of disposal. While motorcycles have better gas mileage, they are unsuitable due to a lack of storage space. Their alternative, scooters, have the desired design to carry loads but have low mileage and are thus uneconomical. The need of the hour is to choose progressive solutions to meet the demands of a massive consumer base. 

Electric vehicles designed specifically for the logistics sector can reduce overall operational costs and carbon footprint while providing unrestricted reach. Some e-tailers are implementing environmentally friendly and sustainable electric mobility technologies. However, due to the capital investment required, the transition to EVs has been slow. Owning a large fleet of EVs is a costly affair, and maintaining it at all the hubs can strain the finance of e-retail businesses. The majority of players in the last-mile delivery system are startups, which are hesitant to undergo a complete transformation due to limited spending capacity. 

The custom-built logistics e-two-wheeler lease and rental options have the power to completely change the industry. These purpose-built vehicles have high maneuverability and long range per charge. Some of these vehicles have dual batteries, making them an ideal ally for delivery executives. They require vehicles that can effectively manage their load while ensuring long service hours because they are short on time. EV is one of the most environmentally friendly options and is their natural choice. Their dependability manufacturers diversify their product offerings, assisting the logistics ecosystem to grow.

Conclusion of  the article:

Last-mile delivery companies and start ups are in high demand to meet the demands of e-commerce, providing customer convenience, sales growth, and increased customer retention. EVs are an environmentally friendly option that can reduce operational costs and carbon footprint while providing unrestricted reach. Custom-built logistics electric-two-wheeler lease and rental options have the power to change the electric vehicle industry.