- Last-Mile

Types of Last-Mile Delivery Explained: Find Your Ideal Model
Customers now expect both choice and speed with narrow delivery windows, alternative drop-off points, and on-demand adjustments. A survey shows 45% of urban shoppers now select alternative drop-off points or express time slots, highlighting demand for delivery variety.
As a result, retailers and logistics providers must offer a diversified portfolio of last-mile delivery models: traditional doorstep drops, click-and-collect at lockers, curbside pickup, and premium white-glove service.
By doing so, they can optimally balance cost efficiency, customer convenience, and service reliability. The guide below outlines each delivery option, the scenarios in which it delivers maximum value, and the technology frameworks that keep these modes seamlessly integrated.
Types of Last-Mile Delivery Models
Last-mile delivery can take many forms, each suited to different product types, service levels, and customer needs. From doorstep drops to full-service setups, the right model can improve efficiency, reduce costs, and enhance the delivery experience. Here are some of the most commonly used types of last-mile delivery models:
- Home Delivery
Parcels move directly from the regional hub to the customer's door within agreed time windows, with options for signature or photo proof of delivery. This approach offers ultimate convenience and ensures each order arrives exactly where and when the customer expects. - White-Glove Delivery
Two-person teams handle in-home placement, assembly, and packaging removal for bulky or fragile items such as furniture, appliances, and medical equipment. This premium service delivers peace of mind by safeguarding high-value goods and eliminating all customer effort. - PUDO / Locker Network
Couriers deposit multiple parcels into secure lockers or partner counter locations, which customers access 24/7 using unique codes. This model maximizes delivery density, reduces missed drops, and gives recipients the flexibility to collect orders on their schedule. - Pickup Point
Retail stores or micro-fulfilment hubs act as collection sites where customers retrieve online orders at service desks or curbside bays. By leveraging existing foot traffic, this method accelerates fulfillment and drives incremental in-store sales. - Curbside Delivery
Drivers place packages at designated exterior locations such as driveways or garage entrances without entering the premises. This contactless option combines the ease of home delivery with rapid, low-contact handoffs for both safety and speed.
Choosing the Ideal Last-Mile Delivery Model
Understanding the different types of last-mile delivery options is essential for building an efficient and customer-focused logistics strategy. From lockers and bike couriers in dense urban zones to doorstep and curbside drop-offs in suburban areas, each model serves a specific need.
Choose your delivery mix by combining order data with customer expectations. Track every shipment from warehouse to doorstep, assign the right service model based on product size and buyer preferences, and manage all types of last-mile deliveries through a unified control tower.
Start by aligning your service promise with fleet capability, then assess operational costs. Key considerations include:
- Total Cost to Serve
A true last-mile budget captures every parcel cost, including fuel, driver wages, maintenance, overtime, redelivery fees, customer-support calls, and reverse-logistics, plus fixed overheads such as depot rent, packaging, and damage write-offs to reveal the accurate cost per drop.
Modeling these costs across different delivery modes reveals which option delivers the best margin for each product category, delivery zone, and service level. In dense urban and suburban areas, for example, the PUDO / locker network often yields the lowest cost per drop by consolidating hand-offs into single stops. - Delivery Density
Stops per square mile directly affect both cost and service quality. In high-density urban corridors, pairing home-delivery vans with locker clusters reduces driver dwell time and keeps parcels moving. In mid-density suburbs, micro-fulfillment hubs feeding curbside or home-delivery legs balance mileage and customer convenience.
For rural ZIP codes with dispersed addresses, a hybrid approach of long-haul trucks to regional depots plus small vehicles or postal partners for the final leg typically offers the best cost-to-service ratio. - Product Profile
An item's size, weight, and fragility dictate the ideal delivery method. Lightweight apparel and small electronics fit lockers or pickup points, minimizing handling and failed drops.
Heavy or delicate goods, refrigerators, medical devices, and fine furniture require lift-gate trucks, two-person crews, and in-home white-glove service to prevent damage and ensure proper setup. Capturing product dimensions and handling notes at order entry lets planners assign the right vehicle, crew, and delivery model every time. - Customer Promise
Your delivery offer should match customer expectations. Price-sensitive shoppers often choose free or low-fee locker pickup or curbside delivery. Premium buyers expect room-of-choice placement, assembly, and packaging removal, the hallmarks of white-glove service.
Clear, tiered messaging at checkout that outlines options, fees, and time windows empowers customers to select the service level that meets their needs, reducing day-of-delivery surprises and support escalations. - Regulatory and Site Constraints
Physical and legal restrictions can derail even the best plans. Multifamily buildings may ban unattended drops, gated communities may require security codes, and local ordinances can prohibit heavy trucks on certain streets or at specific times.
Incorporating pre-trip checks, gate codes, elevator dimensions, and parking rules into dispatch workflows ensures drivers arrive prepared, maintain their schedules, and remain compliant. Curbside delivery and pickup-point models often offer the simplest compliance path. - Technology Maturity
A modern last-mile operation relies on integrated software that merges real-time GPS, traffic data, inventory status, and customer preferences. Mobile driver apps provide digital manifests and step-by-step workflows, while customer portals offer live ETAs and self-service rescheduling.
This connectivity optimizes routes on the fly and closes the feedback loop between dispatch and delivery. Any delivery model—home, curbside, locker, or white-glove—benefits from a robust final-mile delivery software platform with open APIs and strong system integrations. - Return Handling
Reverse logistics should be planned alongside outbound moves to avoid empty backhauls. PUDO / locker networks and pickup points excel at returns by accepting drop-offs outside standard delivery windows and instantly updating inventory systems.
Clear return labels and barcode scans trigger immediate refund authorization and restocking. Treating returns as an integral part of the delivery network minimizes transport spend, smooths volume spikes, and reinforces customer confidence in your brand.
The Role of Technology in Delivery Models
A modern last-mile delivery platform must go beyond basic route planning. It should support multiple delivery models such as doorstep, locker, curbside, and white glove within a single real-time system and offer features like dynamic slotting, predictive ETAs, and AI-driven routing.
By connecting order data, routing, carrier allocation, and customer interfaces under a single cloud-native architecture, FarEye is a platform that enables carriers and retailers to deliver with speed, accuracy, and flexibility while minimizing cost and complexity.
- Delivery Orchestration and Service Options
FarEye unifies order capture through final hand-off, presenting multiple service choices, standard, express, same-day, doorstep, room-of-choice, and click-and-collect directly at checkout. Customers see precise delivery dates, cutoff times, and dynamic pricing based on cost, transit time, and performance rules. - Intelligent EDD and ETA Forecasting
FarEye's machine-learning engine computes real-time delivery and exception estimates. Automated alerts notify customers and operations teams of potential delays, shortening the gap between planned and actual arrival times and enabling proactive resolution. - Dynamic Slot Booking and Scheduling
With FarEye, shoppers access real-time visibility into available delivery windows and self-serve scheduling or rescheduling. Automated cutoff rules drive checkout urgency, while AI-driven capacity planning optimizes resource use across service levels and regions. - AI-Driven Routing and Multi-Leg Carrier Allocation
FarEye applies advanced routing algorithms that analyze traffic, weather, and parcel mix data to determine the fastest, most fuel-efficient paths. Multi-leg carrier assignment matches each segment with the ideal fleet, owned or outsourced, driving down the cost per drop. - End-to-End Visibility and Exception Management
FarEye integrates last-mile and mid-mile tracking into a unified control tower. Automated exception triggers and collaboration tools speed up issue resolution while root-cause analytics support ongoing operational improvements. - Alternate Delivery Models
FarEye supports pick-up/drop-off points and smart locker networks that allow couriers to deposit multiple parcels at a single stop. Embedded widgets display nearby locations at checkout and on tracking pages, reducing failed deliveries and giving customers round-the-clock access. - Sustainability Stack and Smart Vehicle Orchestration
FarEye tracks greenhouse gas emissions at vehicle, trip, and shipment levels, benchmarks performance against sustainability goals, and recommends greener delivery slots. Electric-vehicle routing factors battery range and charger availability into every plan, minimizing carbon footprint while meeting service windows.
Turn Delivery Choice into Competitive Advantage
No single model can work for all types of products as doorstep drops extend reach, white-glove secures premium goods, lockers, and pickup points cut costs, and curbside keeps bulky freight moving. The real edge comes from stitching these options into one data-rich network.
FarEye does that by feeding historical data from first-mile and last-mile delivery touchpoints and even the broader first, middle, and last-mile delivery chain into one control tower. Its AI assigns the best model for each order, reroutes around delays, and keeps every stakeholder informed in real time.
With that technology backbone and a flexible mix of delivery options, the last mile moves from the largest cost center to a powerful driver of customer loyalty and repeat sales.
Sources

Komal Puri is a seasoned professional in the logistics and supply chain industry. As the AVP of Marketing and a subject matter expert at FarEye, she has been instrumental in shaping the industry narrative for the past decade. Her expertise and insights have earned her numerous awards and recognition. Komal’s writings reflect her deep understanding of the industry, offering valuable insights and thought leadership.
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