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Logistics Glossary

Last-Mile Delivery: The Final Leg of the Supply Chain

Last-mile delivery is the final transport leg from the transhipment point or distribution centre to the end recipient. Although this stretch is often only a few kilometres, it accounts for 28–53 % of total freight costs – and it is the decisive factor in customer satisfaction in both B2C and B2B.

Last updated · NexCargo GmbH

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At a Glance

Share of costs
28–53 % of total freight costs
Cost per stop
5–20 euros (urban)
B2C failed delivery rate
5–20 % (varies by country)

Why is the last mile so expensive?

Every inefficiency concentrates into the final kilometre: many small stops, unpredictable places to pull over, failed deliveries when nobody is in, inner-city traffic and narrow time windows. Each stop costs between 5 and 20 euros while the driver spends only a few minutes unloading. The more dispersed the recipients, the higher the cost.

Last mile in B2B vs B2C

In B2B the last mile is often simpler: recipients are companies with a fixed address, a loading dock and a predictable time window. B2C is more complex: private addresses without a dock, recipients often not at home, parcels having to go to lockers or neighbours. For B2B shippers, NexCargo offers direct delivery with loading-dock handling.

Solutions for the last mile

Micro-depots in city centres shorten the last-mile distance. Parcel lockers reduce failed deliveries. Timed delivery windows and advance notification raise the first-time delivery rate. Cargo bikes and electric vehicles are used in urban zones. For B2B the rule is simple: advance notification plus fixed time windows means almost no failed deliveries.

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