What proportion of total shipping cost can the last mile account for?

Answer

Over half

The final leg of delivery, known as the last mile, presents significant operational hurdles that impact overall shipping economics. This stage is characterized by notorious inefficiency due to frequent stopping, short dwell times, and complex routing requirements associated with delivering directly to individual consumers. Because of these numerous challenges inherent in reaching the end consumer, the last mile consumes a disproportionately large amount of both time and financial resources within the entire supply chain. This intense cost concentration means that, in many scenarios involving temperature-sensitive items for residential delivery, the expense incurred during this final step can easily surpass fifty percent of the total cost associated with getting the product from the origin point to the customer's doorstep.

What proportion of total shipping cost can the last mile account for?
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