The last mile E-commerce logistics in Pakistan: Challenges and opportunities
Muhammad Younus
Department of Government Affairs and Administration, Universitas Muhammadiyah Yogyakarta, Yogyakarta, Indonesia; Founder & Chief Executive Officer (CEO), TPL Logistics Pvt Ltd (Rider YC WC22), Karachi, Pakistan.
Salman Allana
Founder & Chief Executive Officer (CEO), TPL Logistics Pvt Ltd (Rider YC WC22), Karachi, Pakistan.
Max Kleynhans
Product At Xneelo (Pty) Ltd, City of Cape Town, Western Cape, South Africa
DOI: https://doi.org/10.59429/scr.v2i2.8743
Keywords: Logistics, last-mile, delivery rider, E-commerce
Abstract
This research examines the critical challenges and emerging opportunities in the last-mile e-commerce logistics sector in Pakistan, a rapidly growing yet underdeveloped market segment. The study aims to analyze logistical inefficiencies, technological integration, and consumer expectations that influence the operational and strategic dynamics of last-mile delivery services. A mixed-methods approach was employed, combining quantitative surveys of e-commerce consumers and delivery service providers with qualitative interviews of industry experts. Key findings reveal that logistical bottlenecks, such as inadequate infrastructure, traffic congestion, and limited access to remote areas, significantly impede timely deliveries. Furthermore, the lack of standardized digital platforms and reliance on cash-on-delivery mechanisms exacerbate operational inefficiencies. On the other hand, the research identifies significant opportunities for improvement, including the integration of advanced logistics technologies such as route optimization and real-time tracking, along with the adoption of alternative delivery models like micro-fulfillment centers and crowd-sourced delivery networks. Additionally, consumer awareness and trust in digital payment systems have been steadily increasing, creating avenues for streamlined operations. The study concludes that addressing infrastructure deficits and leveraging technology-driven solutions can enhance efficiency, reduce costs, and improve customer satisfaction, positioning Pakistan’s e-commerce logistics sector for sustainable growth. Recommendations for policy and industry practices are also proposed to optimize last-mile delivery performance.
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