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Distribution & Transport

Last-Mile Delivery

The final leg of the delivery journey — from the local distribution hub or warehouse to the end customer's address.

Definition

Last-mile delivery is the movement of goods from the last distribution point to the customer's doorstep. Despite being the shortest distance in the supply chain, the last mile is typically the most expensive segment, accounting for up to 53 percent of total shipping cost. This is because last-mile deliveries involve many individual stops, each with small volumes, variable addresses, customer availability requirements, and urban traffic challenges.

Why It Matters

Last-mile delivery is where the customer experience is made or broken. Delayed, damaged, or missed deliveries directly impact customer satisfaction and brand perception. In Qatar, last-mile logistics face specific challenges: compound-style residential developments with complex access, summer temperatures requiring careful handling of sensitive goods, and the concentration of population in the Greater Doha area creating traffic congestion during peak hours.

Optimisation Approaches

Route optimisation software plans efficient delivery sequences considering traffic patterns, delivery time windows, and vehicle capacity. Delivery density — the number of stops per square kilometre — is the key driver of last-mile efficiency. Higher density means lower cost per delivery. Other approaches include pickup points (customer collects from a nearby location), delivery lockers, scheduled delivery windows, and evening or weekend delivery options.

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