Luber-Finer

The Explosive Growth of Last-Mile Delivery and Vehicle Maintenance

In just the last few years, the final stage of a parcel shipment’s journey – from a shipping center hub to the recipient’s front door – has grown by leaps and bounds.

This meteoric rise in what’s known as “last-mile delivery” has led fleet managers to add new last-mile divisions to their fleets. Shifting service patterns from Class 8 trucks to more light-duty vans and medium-duty trucks are also encouraging more repair shop owners, service technicians and parts distributors to build up their businesses and parts inventories to handle the surging demand for last-mile vehicle maintenance.

The Logistics Life cycle
First Mile

The journey from a manufacturing facility to a warehouse or distribution center.

Middle Mile

The movement of goods from a warehouse or distribution center to a traditional store or fulfillment facility where customers will purchase products.

Last Mile

The last leg of supply chain operations or the delivery of goods from the shipping company or fulfillment center to a recipient’s address.

Popular Last-Mile Vehicles
Light- and medium-duty cargo vans are among the most recognized vehicles used in last-mile delivery. Compared to larger trucks, they are easier to navigate city streets, park and unload, and provide comfort and ease of use to drivers who may be new or inexperienced.
View all vehicles by dragging images to left or right
Source: IHS Markit Worldview Vehicles in Operation as of 2021 Q3

Demand for Last-Mile Delivery on Upswing

Demand for last-mile delivery has skyrocketed primarily due to two phenomena – the rise of online retail, also known as e-commerce, and the COVID-19 pandemic.

Even before the COVID-19 pandemic, the last-mile market in North America was expected to balloon by 60% from 2018 to 2022.

Source: https://www.statista.com/statistics/1040519/last-mile-delivery-market-size-north-america/

The pandemic has drastically changed consumer buying habits. Almost twice as many people make purchases online today then before the start of the pandemic.

Source: https://lasership.com/resources/how-retailers-can-stay-ahead-of-consumer-expectations-after-covid-19/

Q4 2020
Strongest
Quarter Yet

In fact, UPS, the world’s largest parcel carrier, saw a 21% increase in fourth-quarter revenue in 2020 compared to their 2019 fourth-quarter revenue.
Source: Wall Street Journal

$59.81 Billion
Future Growth
Projected

Last-mile delivery in North America is expected to continue to grow by $59.81 billion from 2021-2025.
Source: Technavio

Top Last-Mile Delivery Pain Points of Fleet Managers

Vehicle maintenance, repair and cost of ownership are among the top 5 biggest pain points, according to a survey of more than 150 fleet managers of last-mile delivery trucks.

Source: Bobit Research Services

Did You Know?

Unlike Class 7 and 8 trucks that have longer filter service intervals, last-mile vehicles may require multiple oil changes per year.

Tackling Maintenance Challenges:

How Luber-finer Filters Are “Built to Do More” for Last-Mile Fleets

Luber-finer offers owner/operators, installers and parts managers complete filtration coverage for some of the most popular medium- and light-duty last-mile vehicles on the road today. Our filters are engineered to meet or exceed the OE on the performance benchmarks that matter most – capacity, restriction and efficiency.

To control costs by keeping vehicles on the road and out of the shop, last-mile fleets need to stay on top of the following recommended filtration maintenance intervals:

*Suggested guidelines for filter replacement. Severe driving conditions can make these numbers lower and require more frequent replacement intervals.

**For vehicles with diesel engines only.

Did You Know?

191,000 companies compete globally within the Couriers & Local Delivery Services industry, led by UPS and FedEx. Of these, 6,000 last-mile carriers are in the U.S.

Many fleets in the last-mile sector belong to the Customized Logistics and Delivery Association, which has a “Find a Delivery Partner” service on its website www.clda.org that shippers and 3PLs use to find expedited, last-mile partners for local delivery needs in markets nationwide.

LEARN MORE ABOUT LUBER-FINER’S FILTRATION COVERAGE FOR LAST-MILE DELIVERY VEHICLES

While some fleets may outsource last-mile vehicle maintenance to competing national repair shops, there are still many fleets that stand to benefit from partnering with installers who can provide competitively priced filters to handle both their heavy-duty and last-mile filtration needs.

With continued exponential growth forecasted for last-mile delivery, it becomes even more critical for anyone involved in heavy-duty filtration sales to understand the need to make filters for medium- and light-duty last-mile vehicles a part of sales discussions. Even if your clients have resisted dipping their toes in the last-mile waters, it is worth reminding them so when the time comes to make the decision, they know Luber-finer will be there to cover all their needs.