Last-mile logistics from the developer point of view
Introduction
Last-mile logistics refers to the transfer of a product or person from a hub to its final destination. In this article, we'll examine key aspects of last-mile fleet scenarios and how TomTom location services can help you build last-mile logistics applications.
Last-mile logistics and location technology
In logistics and mobility businesses, many common mapping and routing challenges are related to the last mile. This refers to mapping and routing a delivery or transport service to its final destination.
Traditionally, last-mile logistics involved fairly simple planning:
- Organizing static routes that delivery trucks run daily, stopping at a fixed list of drop-off points.
- Making individual trips to deliver meals, prescriptions, or similar items.
Why last-mile logistics is complex
What makes last-mile logistics complicated is that the highest concentration of deliveries occurs in urban areas. Delivery vehicles must deal with:
- Road restrictions
- Densely packed streets
- Limited parking
- Apartment buildings
- Unexpected traffic conditions
Even in suburban areas, traffic conditions can vary widely throughout the day.
Recently, last-mile logistics has become far more dynamic. The growth of e-commerce—from consumer goods to food delivery to ride-sharing—means routing decisions must constantly adapt.
Because the last mile is destination-based, it only becomes known when an order is placed. Fleet managers must solve a complex, dynamic problem that includes:
- Pickup locations
- Vehicle requirements
- Parking and delivery entrance locations
- Traffic and timing constraints
Changing customer expectations
Customer expectations around estimated time of arrival (ETA) have changed dramatically. Five years ago, it was acceptable to know a delivery would arrive “on Saturday” or “in about 30 minutes.”
Today, customers expect:
- Overnight or same-day deliveries
- Near real-time updates
- ETAs accurate to within minutes
With access to real-time location tracking, ETAs can now be extremely precise. This raises expectations and requires fleet managers to adapt their planning and tools.
These expectations create opportunities for developers to build applications that:
- Reduce fleet costs
- Increase customer satisfaction
- Meet committed service-level agreements
In this article, we cover the major components of last-mile logistics and the role that mapping and location management play.
Fleet routing and route efficiency
In modern delivery and on-demand environments, routing must account for:
- Vehicle routes to pickup points (for example, a restaurant)
- Delivery destinations
- Subsequent pickups or deliveries in a chain
Routing means finding the best path to a destination. While this sounds simple, delivery scenarios often require:
- Managing multiple stops
- Optimizing route efficiency
- Calculating accurate ETAs
For example, in food delivery, time from kitchen to customer is critical to ensure meals arrive hot. Accurate ETAs help customers know exactly when to expect delivery.
From a business perspective, route efficiency matters. Delivering to multiple customers in a single trip is often more efficient than individual deliveries.
Last-mile delivery and accurate geocoding
End locations—all stops along a route—are the destinations of last-mile logistics. These locations must be geocoded, meaning addresses or place descriptions are translated into map coordinates.
Accurate geocoding is essential for:
- Routing and route planning
- Pickup and drop-off accuracy
- Reliable ETAs
On-demand fleet applications must geocode:
- Restaurant locations
- Customer addresses
- Vehicle locations
Geocoding services automatically convert addresses into coordinates, enabling:
- Automated dispatching
- Accurate routing
- Delivery reports for drivers
Geocoding can also provide additional context, such as nearby landmarks, parking availability, and delivery entrance details.
Geofencing for delivery notifications
Another key capability for last-mile delivery applications is knowing when a delivery is about to happen.
Location-aware applications can:
- Track delivery progress
- Calculate ETAs based on traffic and historical data
- Send alerts and notifications to customers and fleet managers
Geofencing involves creating a virtual boundary on a map, such as:
- A neighborhood
- A radius around a delivery destination
- A warehouse perimeter
When a vehicle enters or leaves a geofenced area, events can be triggered.
Common geofencing use cases
- Alerting warehouses when a delivery vehicle is approaching
- Notifying customers that their delivery is nearby
- Monitoring fleet safety and compliance
- Detecting route deviations or restricted-area entry
Tools for last-mile application development
To build last-mile logistics applications, developers typically need:
- Map display to create engaging user interfaces
- Search and geocoding to locate delivery and pickup points
- Routing with traffic data and ETAs
- Vehicle tracking for real-time fleet visibility
- Geofencing for alerts, notifications, and insights
TomTom APIs for last-mile logistics
TomTom provides APIs that make it easier to build sophisticated fleet management applications:
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Map Display API and Maps SDKs for Web, Android, and iOS Easily embed interactive maps with custom styling, markers, routes, and data overlays.
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Search API Supports location search, geocoding, reverse geocoding, and EV-specific use cases, including entrance locations and business hours.
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Routing API Calculates optimal routes while accounting for traffic, time, tolls, vehicle types, cargo, and road restrictions.
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Vehicle tracking and Location History services Capture real-time and historical vehicle locations for monitoring, analytics, and fleet planning.
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Geofencing API Create geofences and integrate them with routing, tracking, and notification services with the Notifications API.
Together, these services allow developers to embed powerful location intelligence into last-mile delivery applications.
Wrapping up
Last-mile logistics has always been part of the delivery equation—but today it is more dynamic and demanding than ever.
As delivery services expand, businesses must:
- Optimize costs
- Increase customer satisfaction
- Meet strict service-level commitments
TomTom APIs help developers address these challenges in real time, from routing and ETAs to notifications and delivery details like entrance locations.
Next time you order lunch, consider the technologies that make it possible—from geocoding your address, to routing the driver efficiently, to delivering your meal hot and on time.
For more information, visit https://docs.tomtom.com/ and register for free access.
To learn more about fleet management solutions, see: Using TomTom Location Services to Develop Fleet Logistics Applications
Happy mapping!