Are you looking for the best last-mile delivery software to streamline your operations? Then look no further. In this article, I have compared and prepared a list of the best last-mile delivery software to try in 2024.
This list is curated after thorough research and by trying out these tools firsthand. A last-mile delivery software can help your business manage and streamline deliveries from warehouse to customer.
But what are the factors that you should consider before making a decision. Let’s figure out.
What is Last-Mile Delivery Software?
Last mile delivery is the last step in a business’s delivery process. This is where goods are taken from a distribution center to the door of a customer.
The “last mile delivery software” helps businesses with their last-mile delivery tasks. There are SaaS solutions that focus on the problems of last-mile delivery, such as inefficient route optimization, manual route changes, and poor customer tracking and communication.
A last-mile delivery software stack, on the other hand, handles the whole chain of last-mile logistics, from managing the warehouse to collecting payments from customers.
Evolution and Current Trends
The concept of last mile delivery has evolved significantly over the years. Initially, it involved simple, straightforward deliveries, but with the rise of e-commerce, customer expectations have transformed.
Today, consumers demand fast, reliable, and flexible delivery options. The advent of same-day and next-day delivery services, driven by giants like Amazon, has set a high bar.
Additionally, the integration of technology in logistics has led to innovations such as real-time tracking, automated delivery systems, and personalized delivery windows.
In 2024, the focus continues to shift towards sustainability, with companies exploring eco-friendly delivery methods and electric vehicles.
Why a Robust Tech Stack Matters in 2024?
Meeting Customer Expectations
In 2024, customer expectations are higher than ever. Consumers expect not only fast delivery but also complete transparency throughout the process.
A robust tech stack enables real-time tracking, accurate delivery estimates, and proactive communication, ensuring that customers are kept informed and satisfied.
By leveraging advanced technologies, companies can offer a seamless and reliable delivery experience that meets and exceeds these expectations.
Enhancing Operational Efficiency
Operational efficiency is critical for the profitability and sustainability of delivery services. A well-integrated tech stack can optimize routes, manage fleets, and streamline delivery processes, reducing costs and improving delivery times.
Tools such as route optimization software and delivery management systems ensure that resources are utilized effectively, minimizing delays and errors. By automating repetitive tasks and providing actionable insights through analytics, businesses can operate more efficiently and respond swiftly to any disruptions.
Staying Competitive in the Market
The logistics and delivery industry is highly competitive, with new players constantly entering the market and existing ones innovating rapidly. To stay ahead, businesses need to adopt a cutting-edge tech stack that offers flexibility and scalability.
Emerging technologies like AI, machine learning, IoT, and blockchain can provide a competitive edge by enabling smarter decision-making, enhancing security, and improving overall service quality. Companies that invest in and effectively utilize these technologies will be better positioned to differentiate themselves and capture a larger market share.
Key Components of a Last Mile Delivery Tech Stack
This section will give you a comprehensive understanding of all the key components needed to make a robust tech-stack for last mile delivery operations.
Route Optimization Software
Route optimization software is essential for enhancing the efficiency of last mile delivery operations. It utilizes advanced algorithms to calculate the most efficient delivery routes, considering factors such as traffic conditions, delivery windows, and vehicle capacities. The benefits include reduced fuel costs, shorter delivery times, and improved driver productivity.
NextBillion.ai offers advanced Route Optimization API that can be integrated into your last mile delivery operations easily.
Delivery Management System (DMS)
A Delivery Management System (DMS) serves as the central hub for managing all delivery operations. Key functionalities include order management, route planning, real-time tracking, and delivery status updates. It enables businesses to coordinate deliveries efficiently, ensuring timely and accurate deliveries.
A robust DMS can seamlessly integrate with other systems such as ERP (Enterprise Resource Planning), CRM (Customer Relationship Management), and WMS (Warehouse Management Systems). This integration ensures a smooth flow of information across the supply chain, enhancing overall operational efficiency.
Fleet Management Solutions
Fleet management solutions provide real-time tracking of vehicles, allowing businesses to monitor the location and status of their fleet. These systems also include maintenance scheduling features, ensuring that vehicles are well-maintained and reducing the risk of breakdowns.
Effective driver management is crucial for optimizing last mile delivery. Fleet management solutions offer tools for tracking driver performance, managing schedules, and ensuring compliance with regulations. This helps in improving driver productivity and safety.
Real-time Tracking and Visibility Tools
Real-time tracking tools provide both customers and drivers with up-to-date information on delivery status. Customers can track their orders in real time, while drivers receive optimized routes and delivery instructions. This transparency enhances the overall delivery experience.
Providing real-time visibility into the delivery process is vital for customer satisfaction. Customers appreciate knowing the exact status of their deliveries and receiving accurate delivery windows, which reduces uncertainty and enhances trust in the service.
Electronic Proof of Delivery (ePOD) Systems
Electronic Proof of Delivery (ePOD) systems allow for the capture of delivery confirmations digitally. Key features include signature capture, photo verification, and barcode scanning. These systems ensure accurate and verifiable proof of delivery.
ePOD systems enhance compliance with industry regulations and improve security by providing a tamper-proof record of deliveries. This reduces disputes and enhances accountability throughout the delivery process.
Customer Communication Platforms
Customer communication platforms enable businesses to send notifications via SMS, email, and mobile apps. These notifications can include order confirmations, delivery updates, and estimated delivery times, keeping customers informed at every stage of the delivery process.
Effective communication is key to enhancing customer engagement. By providing timely and relevant updates, businesses can build stronger relationships with their customers and improve overall satisfaction.
Analytics and Reporting Tools
Analytics and reporting tools collect data from various stages of the delivery process, providing valuable insights into performance metrics such as delivery times, route efficiency, and customer satisfaction. This data is crucial for identifying areas for improvement.
By leveraging analytics and reporting tools, businesses can make informed, data-driven decisions. This enables continuous improvement of delivery operations, helping to reduce costs, improve efficiency, and enhance customer satisfaction.
Integration and Scalability in Last-Mile Delivery
Key factors that affect how well and easily last-mile delivery services work are their integration and scalability. Businesses must carefully consider how their technology stack works with current systems and grows to meet changing needs in a time when effortless coordination and adaptability are very important.
Integration to Make Operations Run Smoothly
Streamlined Workflows: Integration makes it possible for different parts of the last mile delivery ecosystem to talk to each other and share data easily. These parts include customer relationship management (CRM) platforms, warehouse management systems (WMS), and transportation management systems (TMS). This lets everyone see and work together on the whole process, from placing the order to delivering it.
Effective Data Flow: Integrated systems get rid of gaps and duplicates by automating processes and centralizing data management. For instance, information about an order entered into the CRM system can easily move to the WMS to be filled, and then to the TMS to be optimized for shipping routes and sent out. This cuts down on mistakes and processing time that need to be done by hand.
Better Experience for Customers: Integration makes the customer experience more cohesive by giving them real-time updates on the status of their orders, tracking their deliveries, and smooth channels of communication. Accurate information and proactive notifications are good for customers because they make them happier and more loyal.
Scalability for Growth in the Future
Flexible Architecture: Scalable Tech stacks are built on architectures that are flexible enough to adapt to changing business needs as they grow. As a business grows, cloud-based solutions, microservices architecture, and API-first approaches make it possible to add new features or third-party services in a way that doesn’t affect the existing ones.
Adaptability to Changes in Volume: Scalable systems are made to handle changes in delivery volumes without affecting service quality or performance. Scalable infrastructure makes sure that delivery operations stay responsive and strong, even during promotional events, seasonal peaks, or sudden rises in demand.
Efficiency in terms of cost: Scalability lets companies match the technology they buy with what they actually use and demand, so they don’t waste money by buying too many resources. Pay-as-you-go pricing models are especially good for cloud-based services. This lets businesses grow or shrink as needed without having to pay for infrastructure upfront or make long-term commitments.
Factors to Consider When Choosing a Last-Mile Delivery Software
If you want to pick out the best software, then you should consider the following factors.
Factor 1: Route optimization and automatic dispatch
Efficient route planning is crucial for minimizing delivery times and reducing operational costs. Look for software that offers advanced route optimization features.
These tools should be able to calculate the most efficient delivery routes by considering real-time traffic data, delivery time windows, and vehicle capacities.
Automatic dispatch functionality ensures that deliveries are assigned to the right drivers based on proximity and availability, enhancing overall efficiency and reducing the likelihood of delays.
Factor 2: Takes into account customer expectations
Customer satisfaction is paramount in the last-mile delivery process. The software you choose should offer robust delivery management tools that allow customers to select their preferred delivery windows, ensuring they are available to receive their packages.
Additionally, real-time package tracking is essential, providing customers with up-to-date information on the status of their deliveries. This transparency not only enhances the customer experience but also reduces the volume of inquiries to customer service teams.
Factor 3: Provide tools to manage and track deliveries
For logistics companies, comprehensive management and tracking tools are essential for maintaining oversight of delivery operations.
The software should provide a centralized dashboard where logistics managers can monitor the status of all deliveries in real-time, track driver performance, and access detailed analytics.
These tools enable proactive management, allowing companies to address potential issues before they escalate and to improve their delivery processes continuously.
What is the Best Last-Mile Delivery Software?
The best last-mile delivery software is:
- NextBillion.ai – Best in features and seamless integration
- Project44 – Best to enhance visibility
- FarEye – Best for simplicity
- Shipsy – Best for detailed reports
- Tookan – Best cost-effective software
NextBillion.ai is the best last-mile delivery software if you are looking for the most advanced tech-stack. With it’s last mile delivery solutions businesses can calculate accurate ETAs, directions and streamline route planning.
With NextBillion.ai’s APIs and SDKs, you can also integrate asset tracking, compute reachable areas and set virtual boundaries.
Who is it for?
NextBillion.ai is suitable for businesses operating in the last-mile delivery space, particularly those facing challenges in ensuring reliable, cost-effective, and on-time deliveries.
NextBillion.ai Features
The following features stand out in NextBillion.ai’s tech stack.
Feature 1: Advanced Route Planning
NextBillion.ai’s advanced route planning feature enables businesses to generate the best routes tailored to their fleet and delivery operations. With support for zone-based allocation, multiple vehicle profiles, and customizable cost matrices, businesses can ensure maximum efficiency in their delivery processes.
How it works?
Zone-Based Allocation
By dividing delivery areas into zones, businesses can allocate specific routes to drivers based on geographic regions. This helps in reducing overlap, minimizing travel time, and ensuring that drivers are familiar with their delivery areas.
Businesses can define zones using geoJSON polygons, multi-polygons, or geofences created with NextBillion.ai’s Geofence API. Each zone must have a geometry specified either directly or through a geofence ID.
When specific zone IDs are not provided for tasks (e.g., jobs or shipments), the API automatically allocates tasks to zones based on the task’s geolocation and the defined zone geometries. If zone IDs are provided, they override the automatic allocation.
For a delivery service operating in a large metropolitan area, zones can be defined for different neighborhoods. This ensures that drivers are assigned to specific areas, reducing travel time and improving familiarity with the routes.
Multiple-Vehicle Profiles
You can create multiple vehicle profiles to reflect different types of vehicles (e.g., vans, trucks, cars, two-wheelers) with specific characteristics. Each vehicle in the fleet is described by a unique set of attributes, including ID, capacity, start and end depots, time windows, skills, and constraints.
The route planning algorithm considers these profiles to generate routes that utilize the fleet’s capabilities effectively.
A delivery company with a mixed fleet of electric vans and conventional trucks can create profiles to account for different capacities and operational costs, ensuring each vehicle type is used most effectively.
Customizable Cost Matrices
You can define a 2D cost matrix where each element represents the cost of traveling between two locations. This matrix influences route optimization by prioritizing routes with lower costs.
Costs can include factors such as fuel consumption, driver wages, toll fees, and vehicle maintenance.
A logistics company that needs to minimize fuel costs can define a custom cost matrix reflecting fuel prices and vehicle efficiency, ensuring that the most cost-effective routes are chosen.
Benefits of Advanced Route Planning
NextBillion.ai’s advanced route planning feature significantly enhances operational efficiency, cost savings, and customer satisfaction.
By optimizing routes, you can reduce travel time and distance, increasing the number of deliveries and boosting productivity. Accounting for various vehicle profiles ensures full utilization of each vehicle, further improving efficiency.
Lower fuel consumption and reduced vehicle wear and tear lead to substantial cost savings. Timely and reliable deliveries improve customer experiences and loyalty. Additionally, the scalability of this feature allows it to handle increased delivery volumes as businesses grow.
Feature 2: Dynamic Reoptimization
Dynamic reoptimization is an important feature offered by NextBillion.ai, allowing businesses to update routes in real time. This feature ensures that unforeseen events such as ad-hoc jobs, last-minute cancellations, and changes in priorities are accommodated without compromising efficiency or service levels.
How it works?
Dynamic reoptimization works by allowing the existing optimization solution to be adjusted in response to new or changed information.
When new orders are received or existing ones change, you can provide previous optimization as a basis for reoptimization. The system uses this previous solution to re-plan routes, ensuring that the new orders are integrated smoothly while maintaining overall efficiency.
How it can help you?
Dynamic reoptimization enables you to adjust routes on the fly in response to real-time events. This includes incorporating last-minute jobs, handling cancellations, and reprioritizing tasks based on new information.
The ability to update routes dynamically ensures that operations continue smoothly without significant delays or disruptions.
Feature 3: Accurate Capacity Planning
NextBillion.ai offers accurate capacity planning capabilities to businesses, enabling them to predict delivery capacity availability for upcoming time slots based on current usage. You can also conduct simulations for various capacity and fleet scenarios to optimize their planning processes at no extra cost.
How it works?
NextBillion.ai uses historical data and real-time information to predict delivery capacity availability for future time slots. By analyzing current usage patterns and trends, the system can forecast capacity requirements with accuracy.
You can run simulations to evaluate different capacity and fleet scenarios. This allows you to test various configurations and strategies to optimize route planning.
How it can help you?
Accurate capacity predictions enable you to plan the operations more effectively, ensuring that you have sufficient resources to meet demand during peak periods and avoid overcapacity during slower times.
NextBillion.ai Pricing
NextBillion.ai offers flexible pricing plans tailored to businesses’ diverse needs. Whether a company is an emerging startup or a large-scale enterprise, there’s a plan designed to optimize delivery operations efficiently.
The Starter Plan is optimized for emerging and compact operations, including access to base APIs, support for only cars, and email support & community resources.
The Premium Plan offers enhanced features for growing businesses, including access to advanced APIs, support for trucks & motorcycles, and premium support.
The Enterprise Plan provides comprehensive solutions for large-scale enterprises, including access to the enterprise product suite, support for all vehicle types, a dedicated solutions engineer, and white glove onboarding support.
The pricing options include per API call, per asset, and per task models.
Explore how a truck logistics company slashed cost by 30% with NextBillion.ai
NextBillion.ai Pros and Cons
✅ NextBillion.ai specializes in handling complex, intricate operations and problems at scale.
✅ NextBillion.ai provides end-to-end solutions for location-based services.
✅ It takes less than 7 days to integrate NextBillion.ai’s solutions into your tech stack.
❌ NextBillion.ai might not be cost-effective for small scale operations.
❌ The starter plan supports only car mode.
Ready to revolutionize your last-mile delivery operations?
2. Project44
Project44 is a leading logistics technology company that specializes in providing advanced visibility and connectivity solutions for the supply chain industry.
Who is it for?
Project44’s Last Mile platform is tailored for retailers seeking to enhance the customer delivery experience from the moment of purchase to doorstep delivery.
Project44 Features
- Delivery Flows: Streamline delivery processes with alerts and inventory management.
- Performance Metrics: Track key performance indicators and benchmark performance against industry standards.
- Visibility: Gain comprehensive visibility into shipments, compliance, and order-level details through features like shipment tracking and geofencing.
- Network Management: Automate onboarding processes and ensure data quality with configurable notifications.
Project44 Pricing
Project44’s pricing starts at $500.00 per month. For advanced features and capabilities, it offers a customized pricing model.
Project44 Pros and Cons
✅ Users appreciate project44’s ease of use, user-friendly interface, and availability of detailed reports and filters for data analysis.
✅ Real-time visibility and frequent GPS pings enable accurate ETA predictions and proactive customer notifications.
❌ Some users have experienced delays in updates from trucks or tracking inaccuracies, potentially related to carrier integrations and settings.
❌Slow turnover among customer representatives can impact implementation and learning processes.
FarEye offers logistics management platform to streamline delivery operations. It is ranked No.1 easiest to use software on G2 in last mile delivery software.
Who is it for?
FarEye is suitable for retail, e-commerce and third-party logistics companies looking to optimize their order-to-door delivery operations.
FarEye Features
FarEye’s platform offers key features like:
Ship: Meet customers where they are with flexible delivery options and optimize multi-carrier-enabled deliveries.
Track: Provide real-time shipment-level visibility throughout the order-to-delivery journey, avoiding delays and disruptions.
Route: Enhance delivery profitability with dynamic constraint-based route planning and scheduling.
Execute: Accelerate cross-dock and driver operations, leading to faster operations at the delivery hub or warehouse.
Experience: Deliver a branded, differentiated customer experience from order tracking to delivery notifications to returns and exchanges.
FarEye Pricing
FarEye has not provided pricing information for its product or service.
FarEye Pros and Cons
✅ The mobile app is praised for its handiness in closing alerts and mapping devices, along with the GPS pings for staying updated on location and trip details.
✅ Users appreciate the ease of tracking orders, receiving and dispatching shipments, and generating reports.
❌ Some users find the absence of a single closure option inconvenient, as it limits flexibility in managing alerts efficiently.
❌ Users report occasional errors such as bulk pickup issues, bagging problems in the mid-mile, and difficulties assigning shipments to last-mile riders.
4. Shipsy
Shipsy provides a logistics management platform and helps businesses to build resilient, connected, agile, sustainable, and autonomous supply chain and logistics operations.
Who is it for?
Shipsy is ideal for manufacturing, courier services, freight forwarders, retail, and quick commerce domains looking to streamline their supply chain and logistics operations.
Shipsy Features
Shipsy offers various features designed to optimize supply chain and logistics operations:
Reports: Access detailed delivery metrics, heat maps, and driver ratings to track performance and identify areas for improvement.
Dispatching: Utilize route optimization, auto dispatch, and order management tools to streamline dispatching processes and maximize efficiency.
Customer Portal: Provide customers with status updates, real-time driver tracking, communication channels, and feedback options to enhance their experience and satisfaction.
Driver Tools: Empower drivers with tools for delivery rescheduling, proof of delivery, onboarding, and adaptive deliveries to improve productivity and customer service.
Shipsy Pricing
Shipsy has not provided pricing information for its product or service.
Shipsy Pros and Cons
✅ Users appreciate Shipsy’s user-friendly interface, making it easy to navigate and utilize the platform effectively.
✅ Users find the tracking, delivery metrics, and customer communication features particularly beneficial for optimizing their logistics operations.
❌ Users encounter software bugs that affect the functionality and performance of the platform.
❌ Slow performance of the platform is reported as a drawback, causing delays and inefficiencies in operations.
5. Tookan
Tookan is an off-the-shelf Delivery Management platform that enables businesses to modernize their day-to-day delivery operations and slash overheads.
Who is it for?
Tookan is ideal for businesses seeking to digitize last-mile delivery operations, optimize routes, automate delivery processes, and manage their workforce effectively.
Tookan Features
Tookan offers a range of features to enhance delivery management:
- Real-Time Fleet Tracking: Monitor delivery fleets in real-time and optimize routes to improve efficiency.
- Dispatching: Efficiently assign tasks, auto-dispatch orders, and manage delivery operations seamlessly.
- Customer Portal: Provide customers with real-time tracking, updates, and feedback options to enhance their delivery experience.
- Reports and Analytics: Access detailed delivery metrics, driver ratings, and performance reports to track and improve delivery operations.
- Driver Tools: Equip drivers with tools for proof of delivery, onboarding, and managing delivery tasks efficiently.
Tookan Pricing
Tookan offers flexible pricing plans tailored to different business needs:
- Startup: $99.00 per month
- Standard: $499.00 per month
- Growth: $249.00 per month
- Enterprise: Contact for pricing
Tookan Pros and Cons
✅ Users appreciate Tookan’s real-time tracking capabilities, allowing both businesses and customers to stay informed about delivery status.
✅ The platform’s intuitive interface simplifies day-to-day operations and enhances overall efficiency.
❌ Some users find Tookan’s customization options to be limited and wish for more flexibility.
❌ Occasional technical issues, such as app crashes and slow performance, have been reported by users, impacting user experience.
Plan Reliable and Customized Last-Mile Delivery Routes with NextBillion.ai
Now that I have listed the best last-mile delivery software options, its your turn to try these tools out and select the one suitable for you.
If you are seeking a premium last-mile delivery software solution that combines advanced technology with unparalleled support and customization options, NextBillion.ai stands as the ultimate choice.
NextBillion.ai offers businesses unparalleled capabilities to optimize their delivery operations, streamline processes, and deliver exceptional customer experiences.
From advanced route planning to dynamic reoptimization and accurate capacity planning, you can overcome the complexities of last-mile logistics with ease.
