Lastmile Delivery Costs Challenge Retailers Amid Demand for Speed

Lastmile Delivery Costs Challenge Retailers Amid Demand for Speed

High last-mile delivery costs drive intense logistics competition behind e-commerce's 'free shipping' promise. This article analyzes various delivery models, including 'coopetition,' e-commerce companies building their own logistics networks, and individual operators. It highlights delivery density as crucial for cost reduction and emphasizes the need for shippers to understand their service providers, ultimately responsible for 'free next-day delivery.' Understanding the nuances of these models and focusing on efficiency are key to navigating the challenges of modern e-commerce fulfillment.

USPS Expands Lastmile Network with New Delivery Units

USPS Expands Lastmile Network with New Delivery Units

The United States Postal Service (USPS) has announced the opening of over 18,000 Destination Delivery Units (DDUs) to various shippers. This initiative aims to expand its 'last mile' delivery network, increase revenue, and enable faster delivery services for retailers and logistics companies. This move is expected to improve USPS's operational efficiency and market competitiveness, as well as promote innovation in the logistics industry. By leveraging its existing infrastructure, USPS hopes to capture a larger share of the growing e-commerce delivery market.

01/15/2026 Logistics
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USPS Opens Lastmile Delivery to Bidders Altering Logistics Sector

USPS Opens Lastmile Delivery to Bidders Altering Logistics Sector

The United States Postal Service (USPS) plans to open its last-mile delivery network, allowing various shippers to bid for access to its over 18,000 delivery points. This initiative aims to increase USPS revenue, enhance financial sustainability, and help retailers achieve faster delivery times. Experts view this as both an opportunity and a challenge, with the bidding process, pricing, and service levels being crucial factors. This move has the potential to reshape the express delivery industry landscape and intensify market competition.

01/15/2026 Logistics
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Fedex Freight Adapts to Ecommerce Boom Amid Spring Demand

Fedex Freight Adapts to Ecommerce Boom Amid Spring Demand

FedEx Freight Direct, a specialized service focusing on the 'last mile' delivery of oversized goods, actively addresses the peak season of e-commerce oversized item delivery, like 'spring yards', through a customer-centric design, flexible operational strategies, and robust network support. The service continuously optimizes its delivery model to meet the growing expectations of consumers and maintain a leading position in a highly competitive market. This commitment to improvement ensures efficient and reliable delivery of large items directly to customers' homes.

Maersk Enhances Crossborder Ecommerce Logistics

Maersk Enhances Crossborder Ecommerce Logistics

Maersk offers end-to-end e-commerce logistics solutions, covering e-commerce fulfillment, last-mile delivery, and cross-border shipping, helping businesses optimize their supply chains and enhance customer satisfaction. Leveraging its global network, advanced technology, and professional team, Maersk is dedicated to providing excellent logistics services for e-commerce companies, enabling sustainable business growth.

09/28/2025 Logistics
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Pilot Freight Acquires Manna Freight to Boost Ecommerce Logistics

Pilot Freight Acquires Manna Freight to Boost Ecommerce Logistics

Pilot Freight Services acquired Manna Freight Systems to bolster its last-mile delivery capabilities, expand its service offerings, enhance technological prowess, and increase market share. This acquisition signifies Pilot's transformation into a comprehensive logistics solutions provider. It also indicates a more competitive landscape in the logistics industry, where service capabilities and technological strength will be crucial differentiators. The move positions Pilot to better serve the growing demands of e-commerce and other sectors requiring efficient and reliable final-mile solutions.

02/04/2026 Logistics
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Amazon Sellers Guide to Cutting FBA Fees in the US

Amazon Sellers Guide to Cutting FBA Fees in the US

This article provides an in-depth analysis of the first mile and last mile costs associated with Amazon FBA in the US, covering the costs and timelines of various transportation methods, including sea and air freight, as well as Amazon's warehousing and delivery fees. It also reveals hidden costs such as tariffs and return fees, and offers practical advice on matching transportation methods, controlling volumetric weight, and optimizing inventory turnover to help sellers reduce logistics costs and improve profit margins.

01/23/2026 Logistics
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Amazon Warehouses Face Heatwaves Strikes and Delays in US

Amazon Warehouses Face Heatwaves Strikes and Delays in US

The temporary closure of Amazon's GYR3 warehouse due to high temperatures, coupled with warehouse congestion, limited carrier appointments, and potential express delivery strikes, poses significant challenges to last-mile delivery in the US. Sellers should closely monitor warehouse appointment availability and logistics updates, flexibly choose delivery methods, diversify inventory, and strengthen communication with logistics providers to mitigate operational risks and ensure business stability. This proactive approach is crucial for navigating the current disruptions and maintaining a reliable supply chain.

01/06/2026 Logistics
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USPS Invests in Lastmile Delivery Amid Rising Competition

USPS Invests in Lastmile Delivery Amid Rising Competition

USPS plans to open its last-mile delivery network, allowing shippers to bid for access to its over 18,000 delivery units. This initiative aims to increase revenue, improve financial performance, and enable faster delivery for retailers. While presenting opportunities, it also faces challenges. Industry experts have mixed opinions, emphasizing the importance of USPS effectively addressing issues such as pricing, service quality, and technological capabilities. Success hinges on USPS's ability to secure a competitive position within the dynamic logistics market.

USPS Opens Lastmile Delivery to Private Bidders

USPS Opens Lastmile Delivery to Private Bidders

USPS is opening its 'last mile' delivery network for DDU (Destination Delivery Unit) bidding, aiming to increase revenue, enhance competitiveness, and meet customer demands. This initiative faces challenges including the bidding process, pricing strategies, service quality, and operational complexities. However, if executed effectively, it has the potential to reshape the US logistics landscape, creating new opportunities for both USPS and shippers. The success hinges on navigating these hurdles and optimizing the bidding process for mutual benefit and efficient delivery.

02/04/2026 Logistics
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