policy brief

New Innovative Last-Mile Delivery Strategies Have Environmental and Equity Benefits, But There Can be Trade-Offs

Publication Date

September 1, 2025

Author(s)

Miguel Jaller

Abstract

The advent of e-commerce has changed consumer behavior and brought about a growing last-mile delivery system. These deliveries provide consumers with access to goods and services that would otherwise require personal trips to brick-and-mortar locations or not be available. To improve the efficiency of last-mile delivery and mitigate potential effects on traffic, communities, and the environment, e-retailers are trying out a diverse set of distribution strategies. These include: (1) using light-duty vehicles such as electric vans and cargo bikes in conjunction with micro-hubs, consolidation centers, and staging areas to reduce heavy traffic and operational costs; (2) establishing collection points (e.g., parcel lockers) that allow customers to pick up their orders at convenient locations, without the need for additional delivery vehicle travel; (3) engaging independent drivers who can provide flexible and cost-effective delivery; (4) deploying autonomous delivery robots and unmanned aerial vehicles; and (5) replacing conventional fuel vehicle fleets with zero- or near-zero emissions vehicles. A team at the University of California, Davis explored the economic viability, environmental efficiency, and social equity impacts of these strategies with state of the art modeling techniques.

Suggested Citation
Miguel Jaller (2025) New Innovative Last-Mile Delivery Strategies Have Environmental and Equity Benefits, But There Can be Trade-Offs. Policy Brief. UC ITS. Available at: https://doi.org/10.7922/g2f769xv.