What is last-mile delivery?
Last-mile delivery is the final step of the delivery journey: moving a parcel from the carrier’s local depot to the customer. It is the part customers see, and it often decides whether they order again.
It is also usually the most expensive part of parcel delivery per item, because vans make many individual stops, drivers can’t always find the customer at home, and failed deliveries mean extra attempts or returns to the depot.
Core principle: Customers judge the whole order by the last mile. Fast, predictable delivery with options builds trust; failed deliveries cost money and goodwill.
Delivery options in Europe
| Option | How it works | Strong in |
|---|---|---|
| Home delivery | Parcel delivered to the door, often with a time window | Everywhere; standard for larger items |
| Parcel lockers | Customer collects from an automated locker with a code | Poland, the Baltics, the Nordics, growing elsewhere |
| Pickup points | Parcel left at a shop or service point | France, Benelux, Germany, the Nordics |
| Letterbox parcels | Small, flat parcels that fit through the letterbox | Netherlands, UK, Germany |
| Same-day and scheduled | Fast or time-slot delivery in cities | Large cities |
What drives last-mile cost and quality
Distance from stock to customer
Parcels from a warehouse in the same country or a neighbouring one usually arrive in one to three days.
Why it matters: This is why many brands keep stock close to their main markets. See strategic fulfilment locations.
Parcel size and weight
Small and light parcels are cheapest; letterbox formats skip the doorbell altogether.
Watch out for: Bulky items such as furniture or fitness equipment often need two-person delivery and different carriers.
Failed deliveries
Customers not at home cause extra attempts, collections from depots or returns.
Watch out for: Offer lockers and pickup points at checkout to reduce failed deliveries.
Tracking and communication
Proactive tracking messages and delivery windows reduce “where is my order?” contacts.
Why it matters: Customers are more patient when they know when the parcel arrives.
Choosing carriers
Most European markets have a mix of national postal operators and parcel networks, and the best carrier differs by country and parcel type. A fulfilment provider that works with several carriers can choose per destination and service level. See the best parcel delivery providers in Germany.
Example: A cosmetics brand ships from a fulfilment centre in Poland. Polish customers choose parcel lockers, German customers mainly home delivery, and Dutch customers letterbox parcels for single items. The fulfilment centre selects the carrier and service for each order automatically based on destination and parcel size.
Frequently asked questions
Why is it called the last mile?
It is the final leg of the journey, from the local depot to the customer, whatever the actual distance.
Why is last-mile delivery expensive?
Each parcel needs its own stop, and failed deliveries add extra trips, while long-distance transport moves many parcels together.
What are out-of-home deliveries?
Deliveries to parcel lockers and pickup points instead of the customer’s home. They cut failed deliveries and are popular in many European countries.
How can I make last-mile delivery faster?
Store stock closer to your customers, choose carriers strong in each country, and set a late order cut-off at your fulfilment centre.
