We have an assignment about having additional research on the “Last Mile Problem” facing many online retailers and find out which model is the best one to use it. Here is my thoughts about this topic.
According to Scott (2009), ship the goods through rail and containers are the most efficient and economical way of shipping. However, when goods arrive at the ports or freight stations, they need to delivery to the destination. The last mile always has the problems with low efficiency and high cost. Specially, 28% of the total delivery cost to a business comes from the last mile. Such as Amazon, they need to compete their two days’ delivery for Amazon prime even the increasingly higher volumes of purchases during Black Friday. Moreover, most of the customers are not at home when the deliveries are usually made, which make the last mile become more challenging. Leave the package in front of the door will expose it under the sun and easy to get wet when it rains. Sometimes it will steal by people secretly, which all cause lots of loss (Cohen, 2016).
Smart box is a good way to solve the problem I mentioned above. It’s a small steel box with digital keypad connected to the internet. Delivery people from USPS, UPS and FedEx can receive a special code from each package, use it to open the smart box and leave it in the box. The customers just need to use the code to open the box and receive the package (Strauss, Frost, & Sinha, 2014). This way is secure enough that the box can protect the packages from weather damage and stealers. And if the delivers don’t need to communicate with customers such as wait for them, delivery second time, knock the door or not, which save lots of time. Customers just need to pay money for a smart box then can get their packages in a good condition.
Although last mile problem is a tough problem for most of the online retailers, smart box can do a good job to solve this problem. It’s not too difficult and too expensive to own a smart box for each family. Let’s start to protect customers’ package by using smart box.
Cohen, R. (2016, November 15). 4 Challenges of Last Mile Delivery for eCommerce. Retrieved January 29, 2017, from http://bringg.com/blog/insights/4-challenges-of-last-mile-delivery-for-ecommerce/
Scott, M ((November 2009). “Improving Freight Movement in Delaware Central Business Districts” (PDF). Institute for Public Administration, University of Delaware. Retrieved 24 October 2011.
Strauss, J., Frost, R. D., & Sinha, N. (2014). E-marketing. Boston: Pearson Education.