Last-Mile Delivery in E-Commerce: 5 Things Retailers Have to Know

Last-mile delivery in e-commerce is the stage where customer satisfaction is truly earned or lost. For Australian retailers, offering quality products and a smooth checkout is no longer enough. Shoppers today expect fast, affordable, and reliable delivery with every order. Delays, failed deliveries, or a lack of real-time updates can quickly lessen customer trust and harm brand reputation.

With an optimised last-mile delivery, retailers can gain a competitive edge and exceed customer expectations. This article highlights five essential insights for e-commerce businesses to master last-mile delivery.

What Is Last Mile Delivery in E-Commerce?

Last-mile delivery is the final stage of transporting products from a warehouse or fulfilment centre directly to the customer’s doorstep. For online retailers, this step usually happens within same-day, next-day, or two-to-five-day delivery windows depending on service and location.

Common last-mile challenges include:

• High costs: Labour, fuel, and repeat delivery attempts quickly add up.
• Delays: Urban traffic and regional distances can slow deliveries.
• Failed deliveries: Wrong addresses or missed drop-offs create extra work.
• Lack of visibility: Customers expect real-time tracking and instant updates.

Retailers improve results by using tools like route optimisation with predictive ETAs, partnering with reliable couriers or 3PLs, offering real-time tracking, and streamlining returns.

Retailers who optimise last-mile delivery enjoy happier customers and higher repeat sales. Explore Couriers & Freight’s last-mile delivery services for practical strategies customised for your business.

Optimise Your Last-Mile Delivery

Delight your customers with faster and more reliable deliveries. Stay competitive with Couriers & Freight’s Consumer Plus service.

Get a Quote Now

5 Things Retailers Need to Know About Last Mile Delivery

1. Delivery Speed and Customer Expectations 

Customer expectations for delivery speed have dramatically increased. Global players like Amazon Prime have set the benchmark for same-day and next-day shipping, and Australian shoppers now expect a similar level of convenience.

In metro areas such as Sydney and Melbourne, strong delivery networks mean orders often arrive within one to two days. Regional areas usually take three to five days because of longer distances and fewer carrier options.

When deliveries take longer than promised, customers quickly lose trust. Retailers can ease this frustration by offering clear delivery choices: standard, express, same-day, or local pickup and by keeping customers informed with accurate arrival times.

2. Cost Challenges in the Last Mile

The last mile is often the most expensive stage of delivery, sometimes exceeding half of total shipping costs. Re-delivery attempts, fuel, labour, and surcharges for residential or remote addresses all add up. In regional areas, for example, a missed delivery can cost an extra $15–$25 to reattempt.

Retailers can cut these costs by consolidating orders in the same area, reducing unnecessary trips, and choosing courier services that best match each delivery type. Smart routing tools that account for real-time traffic help drivers stay efficient and cut unnecessary kilometres.

Managing these expenses doesn’t just save money. It allows retailers to improve service quality and keep shipping prices reasonable for customers, which strengthens loyalty in the long run.

3. Technology and Tracking Are Essential

Customers expect precise updates on where their order is and when it will arrive. Without live tracking and timely updates, frustration builds and “Where’s my order?” calls increase. Automated alerts through SMS, email, or app notifications keep customers informed about delays, deliveries, and any issues.

On the operations side, route optimisation software helps drivers avoid traffic and stay on schedule, while predictive ETAs give customers a more accurate delivery window. These tools can also integrate with e-commerce platforms like Shopify or WooCommerce for easier communication.

Transparency and clear communication enhance customer satisfaction and encourage repeat purchases.

4. Returns and Reverse Logistics

Returns are a reality for e-commerce, especially in categories like fashion, electronics, and subscription boxes, where return rates can reach 20–30%. If the process is slow or complicated, customers are less likely to buy again.

Partnering with a 3PL can simplify this stage by handling returns quickly, updating inventory, and providing clear tracking. Retailers can also make life easier for customers by offering pre-paid labels, straightforward instructions, and flexible drop-off or pickup options.

A simple, hassle-free return process builds trust and encourages repeat purchases. It also saves businesses time and money by reducing manual handling and speeding up restocking—turning what’s usually a pain point into a positive customer experience.

5. Choosing the Right Courier or 3PL Partner

Choosing the right courier or 3PL partner directly affects last-mile delivery performance.

A good partner keeps deliveries on time, reduces failed drop-offs, and helps retailers meet customer expectations without stretching internal resources.

Using a platform like Couriers & Freight gives retailers:

• Access to multiple carriers: Compare services in one place and choose the best fit.
• Real-time tracking: Keep both businesses and customers updated.
• Flexible delivery options: From bulky or urgent shipments to budget-friendly parcels.
• Scalable support: Manage more orders without the cost of maintaining a large fleet.

Partnering with the right provider helps Australian retailers reduce costs, simplify logistics, and create a smoother delivery experience that encourages repeat business.

Why Choose Couriers & Freight as Your Last Mile Delivery Partner

The last mile is often the decisive factor in winning or losing customer loyalty. Couriers & Freight’s Consumer Plus service makes this stage simpler by giving businesses access to multiple carriers, live tracking, and delivery options that work across both metro and regional Australia.

With features like predictive ETAs, real-time updates, and service levels that cover urgent, bulky, or budget-conscious orders, businesses can cut down on failed deliveries and keep customers informed. Consumer Plus also offers eco-friendly delivery choices, helping retailers reduce emissions while meeting rising expectations.

Couriers & Freight makes last-mile delivery easier, helping e-commerce retailers stay competitive while giving customers the reliable service they expect.

Make the Last Mile Your Retail Strength

The last mile is the stage where retailers can differentiate themselves and build lasting customer loyalty. When deliveries are fast, reliable, and transparent, shoppers are more likely to return and recommend your store.

Try last-mile delivery today. Contact us for a customised delivery solution that will keep your customers happy and your business growing.

Optimise Your Last-Mile Delivery

Delight your customers with faster and more reliable deliveries. Stay competitive with Couriers & Freight’s Consumer Plus service.

Get a Quote Now