How to: Choosing a Last-Mile Delivery Company

by | Mar 31, 2025 | Blog, Routing & Dispatch

In the high-stakes world of logistics, last-mile delivery companies are the backbone, making sure customers receive their orders swiftly and seamlessly. The “last mile” refers to the final step in the delivery process, taking products from a distribution hub to their final destination. This stage is often the most complex and costly yet significantly impacts customer satisfaction.

Selecting the right last-mile delivery provider is crucial for maintaining operational efficiency, meeting customer expectations, and staying competitive. A reliable provider can help businesses optimize delivery times, reduce costs, and guarantee customers receive their orders on schedule and in good condition. On the other hand, a poor choice can lead to missed deliveries, dissatisfied customers, and unnecessary expenses.

Today, we’re providing an outline to help businesses navigate the process of choosing the best last-mile delivery company. We’ll explore the key features to look for in a provider, answer essential questions before signing a contract, and highlight some of the top options available today. Whether you’re seeking a partner to handle your growing delivery demands or looking to enhance your logistics strategy, this guide will provide actionable insights to make an informed decision.

Want to jump ahead? Click any section in the table of contents to get started.

Features to Look For in a Last-Mile Delivery Provider 

Selecting the right last-mile delivery provider can make or break your logistics operations. To guarantee seamless deliveries, businesses must prioritize providers offering essential features designed to meet today’s demanding standards. Here’s a detailed look at the top features to consider and why they matter.

Feature 1: Real-Time Tracking and Visibility 

ExplanationReal-time tracking and visibility empower businesses to monitor deliveries at every step of the journey. This feature updates package locations, estimated delivery times, and potential delays.

Why It’s Essential: Customers today expect transparency in their delivery experience. Real-time tracking lets businesses keep their customers informed with accurate delivery updates, reducing inquiries and building trust. On the operational side, visibility helps dispatchers address delays proactively, keeping deliveries on schedule. Providers without this feature risk losing customer loyalty and facing operational inefficiencies.

Feature 2: Flexible Delivery Options 

Explanation: Flexible delivery options include same-day, scheduled, and on-demand delivery services. This adaptability enables businesses to cater to varying customer needs and delivery timelines.

Why It’s Essential: Meeting customer preferences is crucial for maintaining satisfaction and competitiveness. Same-day and on-demand delivery options appeal to customers who prioritize speed, while scheduled deliveries cater to those needing convenience. A provider offering multiple options guarantees businesses can serve a broad audience while retaining flexibility in operations. Without this feature, companies may struggle to meet diverse customer expectations.

Feature 3: Scalability 

Explanation: Scalability refers to the provider’s ability to handle fluctuations in demand, such as seasonal peaks or unexpected surges, without compromising service quality.

Why It’s Essential: Logistics demand isn’t static—holidays, promotions, or rapid business growth can significantly increase delivery volumes. A scalable provider can allocate resources efficiently during high-demand periods, maintaining reliability and delivery speed. A lack of scalability can also result in delays, missed deliveries, and customer dissatisfaction during critical periods.

Feature 4: Integration Capabilities 

Explanation: Integration capabilities enable the provider to seamlessly connect with your existing business systems, such as Transportation Management Systems (TMS), Customer Relationship Management (CRM) tools, and Enterprise Resource Planning (ERP) platforms.

Why It’s Essential: Smooth integration streamlines operations by reducing manual entry and maintaining data consistency across platforms. For example, a delivery provider that integrates with your TMS can automatically update order statuses, while CRM integration enhances customer communication by syncing delivery updates. Choosing a provider with solid integration capabilities saves time, minimizes errors, and increases operational efficiency.

Feature 5: Cost-Effectiveness 

Explanation: Cost-effectiveness involves competitive pricing models paired with operational efficiencies, such as optimized routing and fuel management.

Why It’s Essential: Delivery costs often account for a significant portion of a company’s logistics budget. Providers with cost-effective solutions—like fuel-efficient routes and bulk delivery discounts—help businesses stay profitable while maintaining service quality. A lack of cost efficiency can erode margins, making it harder for businesses to remain competitive in a price-sensitive market.

Feature 6: Sustainability Initiatives 

Explanation: Sustainability initiatives include eco-friendly vehicles, carbon-neutral practices, and optimized routing to reduce emissions.

Why It’s Essential: As environmental consciousness grows among customers and regulatory bodies, businesses are pressured to adopt sustainable practices. Partnering with a provider that prioritizes sustainability helps align operations with these expectations. Reduced emissions contribute to a cleaner planet and enhance a company’s reputation as an environmentally responsible brand. Ignoring sustainability can result in missed opportunities to connect with eco-conscious consumers and adapt to regulatory changes.

Feature 7: Exceptional Customer Support 

Explanation: Exceptional customer support involves responsive, proactive service to address issues, resolve disputes, and maintain clear communication.

Why It’s Essential: Logistics is inherently unpredictable, with delays, routing issues, or damaged goods occasionally disrupting operations. A provider with robust customer support can resolve these issues quickly, minimizing downtime and preserving customer satisfaction. Proactive communication—such as notifying customers of delays—further builds trust and loyalty. Without reliable support, minor disruptions can escalate into major operational headaches.

Final Thoughts 

When evaluating last-mile delivery companies, these features should top your checklist. Providers offering real-time tracking, flexible delivery options, scalability, integration capabilities, cost-effectiveness, sustainability initiatives, and exceptional customer support will empower your business to meet customer demands and optimize delivery performance.

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ERP Meets Last-Mile Delivery

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Questions to Ask Before Signing a Contract 

Choosing the right last-mile delivery company is a critical decision that can significantly impact your logistics operations. Asking the right questions before signing a contract increases the likelihood of selecting a provider that aligns with your business needs.

Does the company offer 24/7 driver availability? 

Round-the-clock driver access guarantees that urgent and after-hours deliveries are always covered, a crucial feature for businesses with demanding schedules or late-night requirements.

Can they provide detailed pricing breakdowns? 

Transparency in pricing helps you understand what you’re paying for, avoid hidden fees, and evaluate whether the service fits within your budget. This also allows for better cost forecasting and strategic planning.

What technology do they use for tracking and route optimization? 

Modern logistics rely on robust tracking systems and dynamic route optimization. Make sure the provider uses advanced tools to enhance efficiency and visibility, critical for meeting customer expectations and managing operations seamlessly.

How do they handle failed deliveries or returns? 

A clear process for addressing missed deliveries and managing returns minimizes disruptions and protects your bottom line. Determine whether they offer customer notifications and flexible rescheduling to improve success rates.

Are they equipped to scale with your business? 

Providers with scalable solutions can adapt to your business’s growth or seasonal demand spikes, offering consistent service quality during peak periods or expansion.

What industries have they worked with, and can they provide references? 

Experience in your industry and positive references indicate the provider’s ability to handle your unique challenges. Requesting testimonials or case studies can give you insight into their track record.

What support services do they offer? 

It’s also worth asking about customer support availability, issue resolution protocols, and training for using their systems. Reliable support is key to minimizing downtime and maintaining smooth operations.

You can build a reliable partnership that aligns with your goals and delivers long-term value by asking these questions.

Top Last-Mile Delivery Companies 

When selecting a last-mile delivery company, it’s essential to consider the unique capabilities and partnerships they bring to the table. Elite EXTRA’s Delivery Network integrates seamlessly with Walmart GoLocal and other Epicor partners, offering businesses a dynamic solution for efficient and reliable last-mile delivery. This network enables companies to access a pool of professional drivers 24/7, automating delivery orders and providing fast, cost-effective service.

Key Players in the Industry: 

  • Walmart GoLocal: Known for its robust infrastructure and competitive pricing, Walmart GoLocal specializes in same-day and scheduled deliveries. It leverages its vast logistics expertise to provide a reliable solution for diverse industries.
  • Postmates: Focusing on urban areas and on-demand delivery, Postmates caters to businesses requiring fast, flexible service to meet customer expectations in real time.
  • DoorDash Drive: A strong contender for businesses prioritizing affordability and wide coverage, DoorDash Drive is particularly popular in the food and retail sectors, offering solutions tailored to these fast-paced industries.

Comparison of Offerings: 

  • Speed: Walmart GoLocal excels in same-day service, while DoorDash Drive offers competitive delivery timelines, especially for high-density urban regions.
  • Reliability: Elite EXTRA’s integration capabilities mean consistent performance and end-to-end visibility, which are crucial for maintaining operational efficiency.
  • Affordability: Postmates and DoorDash Drive are cost-efficient options for businesses managing smaller fleets or local deliveries, making them accessible for startups and growing companies.

By leveraging the strengths of Elite EXTRA’s Delivery Network alongside key industry players, businesses can customize solutions to meet their specific operational needs. Whether prioritizing speed, cost, or reliability, this approach provides the flexibility to optimize last-mile logistics for short-term and long-term success.

Why Choose One? Get Access to Drivers 24/7 Through Delivery Network 

A delivery network like Elite EXTRA provides businesses unparalleled flexibility and access to drivers around the clock. This 24/7 connectivity confirms that urgent and after-hours deliveries can be completed without delays, a critical advantage for companies in fast-paced industries like retail, healthcare, and food delivery.

One key benefit of Elite EXTRA’s Delivery Network is matching each delivery with the best provider based on price, delivery timeline, and service quality. This guarantees businesses can balance cost-efficiency with customer satisfaction, optimizing every delivery. Whether you need same-day service, scheduled deliveries, or on-demand options, a delivery network offers the scalability and reliability to meet customer expectations.

Automating delivery orders through the network also streamlines operations and reduces manual errors. With tools that integrate seamlessly into your existing systems, Elite EXTRA allows businesses to assign deliveries, monitor progress, and receive real-time updates with minimal effort. Automation saves time and enhances accuracy, making sure each order reaches its destination on time.

By leveraging Elite EXTRA’s Delivery Network, businesses can simplify last-mile logistics, improve operational efficiency, and provide superior customer service—all while maintaining control over costs and timelines.

Other Last-Mile Delivery FAQs 

What industries benefit most from last-mile delivery companies? 

Industries that rely heavily on quick and efficient delivery benefit the most, including retail, e-commerce, food and beverage, healthcare, and logistics. For example, retailers use last-mile delivery companies to meet same-day or next-day shipping demands. At the same time, healthcare providers depend on them for time-sensitive deliveries like medical supplies and prescriptions. Industries like construction and automotive also rely on timely delivery of parts and materials to maintain project timelines.

How do pricing models typically work for last-mile providers? 

Pricing models for last-mile delivery companies often vary based on factors like delivery distance, package weight, and delivery urgency. Providers may charge a flat fee per mile, a tiered rate based on service level (e.g., same-day vs. scheduled), or offer volume-based discounts for high delivery volumes. Some providers also include add-ons like tracking or signature verification, which can influence overall costs. Understanding these pricing structures helps businesses manage logistics costs effectively while aligning with their budget.

What is the difference between in-house and outsourced last-mile delivery? 

In-house delivery involves using your company’s drivers, vehicles, and technology to manage deliveries, offering complete control but higher overhead costs. Outsourced last-mile delivery uses third-party providers, which reduces upfront investments and operational complexity while providing access to an established delivery network and scalability. Outsourcing is advantageous for businesses with fluctuating delivery demands or limited internal resources.

Are there additional fees for services like same-day or weekend delivery? 

Many providers charge extra for expedited services like same-day or weekend deliveries. These fees account for the added resources and urgency required to complete the deliveries. Seasonal spikes, such as holiday periods, can also result in surcharges. Understanding these costs is essential for businesses to balance customer expectations with profitability while avoiding unexpected expenses.

By addressing these FAQs, businesses can better navigate the complexities of last-mile delivery and make informed decisions tailored to their needs.

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Make the Right Choice for Your Business 

Choosing the right last-mile delivery provider is essential for maintaining efficient operations, meeting customer expectations, and staying competitive in today’s fast-paced logistics landscape. A reliable partner can transform your delivery process, offering real-time tracking, scalable solutions, and exceptional service that aligns with your business’s unique needs.

Elite EXTRA’s Delivery Network takes the complexity out of last-mile logistics by providing access to a vast pool of professional drivers 24/7. With dynamic route optimization, seamless system integration, and automated delivery orders, businesses can improve operational efficiency while reducing costs. Whether you need same-day, scheduled, or on-demand delivery, Elite EXTRA enables you to choose the best provider for every delivery based on price, timeline, and service quality.

By combining cutting-edge technology with robust partnerships, Elite EXTRA empowers businesses to deliver faster, more innovative, and more affordable. With features designed to enhance customer satisfaction and streamline operations, it’s the perfect solution for companies looking to optimize their last-mile logistics.

Ready to take your last-mile delivery operations to the next level? Contact us and let’s discuss how Elite EXTRA can help you simplify your logistics, save costs, and always deliver exceptional service. Visit our website to learn more, or schedule a demo today!

Sources 

https://www.grandviewresearch.com/industry-analysis/last-mile-delivery-market-report

https://www.merchantsfleet.com/industry-insights/what-is-last-mile-delivery

https://www.forbes.com/councils/forbestechcouncil/2024/05/06/navigating-the-complexities-of-last-mile-logistics-challenges-and-solutions

https://www.statista.com/topics/4383/last-mile-delivery

Ben Halverson

Ben Halverson

Author

Ben is the Marketing Director at Elite EXTRA. Over the past 15 years, Ben has experienced an array of business jobs, tasks and experience. One of his guilty passions is buying and selling businesses. In his free time, Ben enjoys spending time on the lake, in a hockey arena or gym and playing golf.

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