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 19
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