Transforming Urban Logistics 2024
Page 19 of 29 · WEF_Transforming_Urban_Logistics_2024.pdf
White-label deliveries, combining urban
consolidation centres and microhubs, can
substantially reduce the number of trips
White-label deliveries, where one courier takes
responsibility for the last-quarter-mile in a defined
area, can reduce the number of journeys by
30% and cut total delivery costs by 51% when
combined with the use of e-bikes and other
zero-emission micromobility modes. This allows
customers or businesses to receive packages from
multiple retailers and couriers in a single delivery
and substantially reduces the number of vehicles
operating in a specific area.
PUDO networks reduce the total number of trips
PUDO networks (parcel lockers and shops) offer
a form of consolidation and reduce the number
of failed first-time deliveries. PUDO points can
reduce the number of delivery trips by up to 15%
and reduce congestion by up to 2%, even when
considering trips made by customers to collect their items. They can also reduce the cost of deliveries
by up to 15%.
Autonomous delivery for congestion relief
Autonomous delivery, both aerial (UAVs) and
ground (AUGV) vehicles, have the potential to
reduce congestion. UAVs, which use airspace for
delivery of smaller items, could reduce congestion
by 9–13%, while AUGVs can be operated off-road
and in pedestrianized areas.
Smart kerbside management can help
reduce congestion
As parcel volumes grow, the number of delivery
vehicles on the road increases, leading to parking
challenges for couriers. This results in high idling
times, exacerbating congestion and emissions.
Smart kerbside management can optimize existing
kerbside and parking spaces. Strategically planned
delivery parking zones can reduce congestion by
3% and carbon emissions by 9%.
White-label
deliveries can
reduce the number
of journeys by
30% and cut
total delivery
costs by 51%
when combined
with the use of
e-bikes and other
zero-emission
micromobility
modes.
Despite the substantial benefits, several challenges
need to be addressed for these solutions to reach
their full potential. Many of these solutions – such
as EVs, microhubs and parcel lockers – involve
high upfront costs as well as the installation of
infrastructure. While parcel lockers reduce delivery
journeys, they could unintentionally increase
emissions if customers drive to pick up their parcels. White-label delivery models often rely on subsidies
due to challenging unit economics, although this
may change over time. Lack of enabling regulation
is currently the biggest blocker for deployment
of autonomous vehicles, but the technology also
needs further development to provide the necessary
capability and ensure public confidence.
Transforming Urban Logistics: Sustainable and Efficient Last-Mile Delivery in Cities
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