The ecological last mile challenge

Livraison dernier kilomètre
Last kilometre : how can you be more efficient while respecting the environment? It is estimated that one in five vehicles in Paris carries parcels for delivery. With 60,000 heavy goods vehicles and 5 million shipments a week, wholesalers are major players in urban logistics and last-mile delivery of food and non-food products. Last-mile delivery is very expensive (20 % of the total cost of delivery) both financially and ecologically (25 % of greenhouse gas emissions). With online orders exploding, there is an urgent need to rethink the current delivery model and make it more sustainable. Fortunately, this is one of the questions that e-commerce giants and cities are beginning to ask themselves. The aim is to reduce the harmful effects of the last mile by offering alternatives to our existing models.

IN BRIEF

  • The last mile is the short geographical distance that must be covered to deliver a product or service to its customers.
  • Last-mile logistics has become a strategic challenge and a focal point for retailers and consumers alike.
  • In addition to customer satisfaction, the ecological consequences of these deliveries must be taken into account and mitigated.
  • Today, there are ways of reducingcarbon footprint the delivery of parcels and services.

Table of contents

Find your future electric vehicle or charging point

BMW iX2 eDrive20

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Mercedes eSprinter Van 35 kWh

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Range (WLTP) : 153 km

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Citroën ë-Berlingo Van 50 kWh

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Fast charge (from 20 to 80%) : 26 min

Hyundai Inster Standard Range

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Range (WLTP) : 300 km

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Opel Frontera 44 kWh

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Alpine A290 Electric 180 hp

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Fiat Grande Panda 44 kWh

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430 €

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Range (WLTP) : 320 km

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BMW i5 Touring eDrive40

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Range (WLTP) : 560 km

Acceleration (0 to 100 km/h): 6.1 sec

Fast charge (from 20 to 80%) : 26 min

Tesla Model 3 Long Range Powertrain

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587 €

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Range (WLTP) : 702 km

Acceleration (0 to 100 km/h): 5.3 sec

Fast charge (from 20 to 80%) : 20 min

Mercedes EQE 300

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69 900 €

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Range (WLTP) : 647 km

Acceleration (0 to 100 km/h): 7.3 sec

Fast charge (from 20 to 80%) : 33 min

BMW i4 eDrive35

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57 550 €

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607 €

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Range (WLTP) : 483 km

Acceleration (0 to 100 km/h): 6 sec

Fast charge (from 20 to 80%) : 32 min

Renault 4 E-Tech 40kWh 120hp

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29 990 €

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448 €

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Range (WLTP) : 322 km

Acceleration (0 to 100 km/h): 9.2 sec

Fast charge (from 20 to 80%) : 32 min

Citroën ë-C4 54 kWh

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35 800 €

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0 €

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Range (WLTP) : 415 km

Acceleration (0 to 100 km/h): 10 sec

Fast charge (from 20 to 80%) : 29 min

Volvo EX30 Single Motor ER

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43 300 €

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436 €

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Range (WLTP) : 480 km

Acceleration (0 to 100 km/h): 5.3 sec

Fast charge (from 20 to 80%) : 28 min

Volkswagen iD.3 Pro S

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Background: the rise of e-commerce

Consumers are looking for convenience. This is reflected in the growth of the e-commerce sector. However, the increase in online orders means that more commercial vehicles are being used in towns and cities. The extra traffic poses problems in densely populated areas and has a high impact on the environment (CO2, particulates, etc.).

Key e-commerce figures for France

The e-commerce sector is doing well in France. Very well indeed.

According to the FEVAD (Fédération du e-commerce et de la vente à distance), in 2019, e-commerce means :

  • 100 billion euros in sales
  • 87.5% of French internet users buy online, i.e. almost 9 out of 10 internet users and 95% of 18-24 year olds
  • The cost of a transaction is €61.5
  • 40.5 million internet users made online purchases in Q3 2019 (That's 1,658,000 more online shoppers than a year ago).

The issue of delivery of our purchases

Every time we order a product, we set in motion a chain of events that finally ends with the parcel in our hands.

Most of these actions have an impact on the environment, and with the growing popularity of ethical consumption, buyers are questioning the environmental impact of their purchasing habits.

Of course, during peak periods (Black Friday, Christmas, etc.), online sales offer many advantages: you can order everything at once and receive your parcels quickly, you can return the parcel if the product is not suitable, etc.

The evidence is clear: the consumers are shopping in a new way today. As well as buying on online sales sites, expectations have also changed: buyers want their goods delivered quickly. Within a few days or even a few hours.

As a result, our parcels travel the world at phenomenal speed to meet this demand. And this is not sustainable in the long term. However, it is possible to develop both a strategy and a delivery system that will make the last mile of e-commerce both sustainable and adapted to consumer needs, while taking into account the economic reality of businesses.

But one problem remains for logistics and e-commerce companies: meeting the challenge of last-mile delivery.

Today, most deliveries are made by lorries and LCVs: they cover short distances, often stuck in traffic jams, and have a disastrous environmental impact. Fortunately alternatives have been developed to overcome these problems. Let's take a look at some solutions for sustainable last-mile logistics.

Last-mile logistics: definition

Before we start listing the issues, let's first look at the definition of the last mile and its implications for the delivery of goods as we know it today.

The "last mile" is used to describe the short geographical distance when delivering products to customers located in densely populated areas.Last-mile logistics tend to be complex and costly for suppliers of goods and services delivering to these areas.

Last-mile logistics for product delivery has become a central issue for retailers in the age of e-commerce.Our company requires prompt delivery of products ordered online. 

E-commerce players who manage to reduce the cost of these deliveries or even eliminate themhaveclear competitive advantages.Amazon uses "AmazonLockers"It is also in the process of building its own fleet to meet growing demand. To meet the competition, other retailers are investing more in delivery centres as close as possible to metropolitan areas, and then contracting with UPS, FedEx and local delivery services to provide last-mile delivery services.

Last mile logistics have a negative impact on the environment

So far so good: the internet has enabled millions of consumers to access different products on the same site and compare prices to get a good deal. But with the rise of e-commerce, many problems have arisen.

Fast delivery

You've probably heard of 24-hour delivery or same-day delivery. These innovations have been a turning point for e-commerce platforms.

In the past, if you had an urgent item to buy, you had to make arrangements to leave the office early, go to a shop and pray that the shop had stock. And who hasn't arrived too late at a shop that had just closed its doors? These frustrations are a thing of the past. You can order an item and have it delivered the same day or the next.

But this innovation comes at a cost:

  • Human We often forget that these are the employees who work in the sorting centres of the e-commerce giants, and the race for speed has a human impact that we don't necessarily see when we receive our parcels. These innovations mean a lot of overtime for employees, especially during sales periods.
  • Ecological Quick delivery has an environmental cost. Rapid delivery does not allow for prior organisation, which means that vehicles have to deliver small parcels to several people. Logically, a delivery is "profitable" if the van is full and the delivery area is restricted. This is no longer the case for deliveries lasting a few hours. What's more, delivery personnel often fail to deliver the parcel at the first attempt, which doubles the ecological impact of the delivery.

Parcel returns

Leaving aside all the consequences mentioned above, one parameter that is not always taken into account is the ecological impact of parcel returns.

Another innovation in e-commerce is the emergence of free returns. Why is this? Many consumers have long been reluctant to buy products online, especially in the clothing sector. To overcome this problem, e-tailers have introduced a policy of free returns.

If the product is not suitable, it is very easy to return it to the sender and get your money back, either by refund or with credit notes.

Once again, this innovation has changed the game and enabled sites such asAsos to conquer numerous markets in just a few years. But it also has a disastrous environmental impact. The parcel, which already has a carbon footprint disastrous with a first delivery - or even a second - has a new one returned to sender. 

In the United States, after the Christmas period, 1.9 million parcels are returned to sender, according to the latest figures. UPS. Greenpeace has carried out a study that reveals a startling fact: among Germans under 30, a quarter of products ordered online are returned to sender. For companies such as Zalando, the figure is 50 %. Even worse, once products have been received by e-tailers, they are sometimes thrown in the bin.

What can we do now that we know the problems involved in selling and delivering our products and services online? That's what we're going to look at together.

A sustainable "last mile": is it possible?

The answer is yes. It is possible to have last-mile logistics that are both efficient and sustainable. This is a unique opportunity for e-tailers. A commitment to a sustainable last mile is not just a policy CSR but also a means of differentiating ourselves from the competition.

Offsetting the carbon footprint of deliveries

"The customer is king". It's a fact that all e-tailers admit, and it's also what has always driven innovation in the e-commerce sector. It is also what will enable e-commerce to be used in a more environmentally-friendly way.

Several e-tailers have already started to innovate in this direction. For example, by allowing customers to see the ecological impact of the delivery of their product when they place their order.

 

Companies such as Zalando for example, are offering their customers the chance to pay a 'carbon tax' to offset the cost of their delivery. This sum is then reinvested in research to reduce carbon emissions, according to Zalando. Zalando is said to be working in collaboration with Gold Standard, a company specialising in the certification and organisation of carbon footprint reduction projects.

Zalando : La compensation de l’empreinte carbone

The start-up Paygreen is also proposing to help e-retailers calculate the carbon footprint of delivery and include it in their shopping experience. The aim is to make payments socially responsible and sustainable.

Paygreen propose aussi de calculer l’empreinte carbone

But consumers alone should not bear the consequences of product or service delivery. This is also one of the responsibilities of e-commerce players, who can help to achieve a sustainable last mile.

Lockers

You have no doubt heard of Amazon Lockers. These are free-access lockers generally located in partner shops, railway stations or supermarkets. Using a code, you can open the locker and collect your parcel whenever you like.

Your parcel is waiting for you close to home and the deliveryman delivers several parcels to the same address. This means a smaller carbon footprint.

However, to enable efficient rotation, the parcel will only be waiting for you for a few days and will be returned if the customer does not collect it, which will add to the ecological footprint of the delivery.

Les lockers

The tramway

Yes, you read that right. Trams have been transporting people around towns and cities for over a century. Today, they also carry parcels. Quiet, reliable and low-polluting, electric trams are an efficient way of transporting goods in dense urban areas, while integrating perfectly with existing public transport systems.

 

In the city of Dresden, Volkswagen used the CarGoTram to transport its car parts from the Friedrichstadt freight terminal to its factory 5.5 km away. The tram was able to carry the same load as three 18-metre lorries and cover the entire route in just 25 minutes, greatly easing traffic congestion in the city centre.

Dernier kilometre CarGoTram

Similarly, the city of Saint-Étienne in France has been experimenting with refurbished trams, using them to deliver goods to city centre customers on the city's tramway lines.

saint-etienne-tram-dernier-kilometre

The bike

Sometimes the best solutions are also the simplest. Bicycles have zero CO2 emissions and can be used to cover short distances, often more quickly than vans.

The only problem with bicycles is that each delivery driver cannot carry as many parcels as a motor vehicle. Cargo bikes can increase the loading capacity of bicycles, but for larger parcels it's impossible to opt for this option.

dernier-kilometre-frichti

Electric commercial vehicles

To maintain the same efficiency and reduce CO2 emissions, the electric commercial vehicles are the ideal solution for a number of reasons:

First of all, the electric vehicles are more efficient in town and don't mind frequent stops. You consume less fuel when driving in town on the motorway, unlike a combustion-powered commercial vehicle.

The electric vehicles are noiseless, making them ideal for use in the home. reducing noise pollution in the city, but also a source of well-being for employees who spend all day in their vehicle.

Towns and cities are well aware of the importance of these vehicles and encourage companies to equip themselves with them. For example, you can take advantage of the free parking in most French towns and cities, and have access to charging points for recharging your vehicles.

There are many electric vans available today to meet the needs of last-mile deliveries. We have selected a few of them.

Nissan e-NV200 Evalia

The bestseller
43 100 € Catalogue price excl.
  • 🔋 Range: 200 km
  • 🔌 Slow charge (0 to 100%) - 7h
  • 🔌 Fast charge (10 to 80%) - 42mn
Order

Nissan e-NV200 Van

Extra space
39 600 € Catalogue price excl.
  • 🔋 Range: 200 km
  • 🔌 Slow charge (0 to 100%) - 7h
  • 🔌 Fast charge (10 to 80%) - 42mn
Order

Renault Kangoo Z.E

A successful facelift
22 400 € Price excl. battery
  • 🔋 Range: 170 km
  • 🔌 Slow charge (0 to 100%) - 5h
  • 🔌 Fast charge (10 to 80%) - NA

Do you want to reduce the carbon footprint of your deliveries? Beev offers tailor-made support and a range of multi-brand 100% electric vehicles at the best prices, as well as recharging solutions.
Beev can help you with your entire project, from finding the right vehicle to installing the charging points. Don't hesitate to contact ushere.

Picture of Adrien-Maxime MENSAH
Adrien-Maxime MENSAH

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