Last mile delivery
Last mile delivery is the final segment of a shipment's path, from a local depot or distribution center to the end customer's receiving dock or doorstep. It is usually the most expensive leg per mile because consolidation breaks down: instead of full trucks moving between fixed nodes, one vehicle makes many small stops. Cost per delivery is driven mostly by stop density and failed-delivery rates.
Examples
Density math: A regional carrier runs a 9-hour route covering 110 stops in a dense metro at $1.85 per delivery. The same truck running 35 rural stops costs $5.90 per delivery, more than triple, even though the line haul to both zones is identical.
B2B dock delivery: A machine builder ships a 1,400-pound control cabinet to a customer plant. The move needs a liftgate truck and a 7 to 9 a.m. dock appointment; missing the window means a $150 redelivery fee and a one-day slip for the installation crew waiting on site.
Definition
Most of a shipment's distance is cheap; the final miles are not. Line-haul outbound legs move full trailers between fixed points, so cost per unit-mile stays low. The last mile inverts that math: one vehicle, dozens of stops, a few packages each, which is why industry rules of thumb put this leg at roughly 40 to 50 percent of total delivery cost. Density decides most of the rest. A route with 120 stops on a tight urban grid spreads driver, fuel, and vehicle cost across far more deliveries than 30 stops scattered along rural roads, and every failed first attempt doubles the cost of its stop.
B2B last mile, the version that matters in manufacturing logistics, looks little like parcels on doorsteps: it means scheduled dock appointments, liftgate trucks, receiving-hours constraints, and a missed window that pushes delivery a full day. Teams manage it with route optimization inside a transportation management system, appointment discipline, and carrier scorecards that track first-attempt success.
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