#BizTrends2025: E-commerce fuels surge in last-mile delivery demand

Damian Velayadum, Group Financial Director at Fastway Couriers. Image supplied

In South Africa, this has meant adapting delivery methods to serve isolated rural areas and townships more effectively.

Technology is crucial to meeting these evolving demands. AI-powered route optimisation helps drivers navigate more efficiently, while automated sorting systems and warehouses enable couriers to process higher volumes and speed up deliveries.

Sustainability is also becoming a focus. While international companies are experimenting with electric delivery vehicles, Fastway Couriers continues assessing logistics innovations.

Meanwhile, localised distribution hubs are emerging as a practical way to improve deliveries to informal addresses and ensure greater reliability in outlying areas

Autonomous delivery vehicles and smart delivery systems

The traditional delivery van remains a cornerstone of last-mile logistics, but emerging technologies are set to reshape the industry.

Autonomous delivery solutions like drones hold significant potential for dense urban centres and remote locations.

In countries like Ghana, Rwanda, and Malawi, drones are already being used to deliver life-saving medication and vaccines, offering a fast, efficient, and low-emission alternative for hard-to-reach areas.

However, regulatory restrictions currently prevent drones from being a viable substitute for traditional delivery methods in South Africa.

This field has had numerous advancements, including the advent of autonomous delivery robots. In some of the world’s busier cities, robots are being used to deliver essentials such as food and grocery items to customers.

These advanced machines use sophisticated camera systems to navigate busy city centres without assistance.

While not used in South Africa yet, we anticipate similar systems reaching our shores in the coming years, particularly as it gains momentum in Europe and the United States.

Parcel lockers and pickup points make deliveries easier than ever

As demand for e-commerce continues to rise, the need for alternative delivery solutions, such as pickup points and parcel lockers, is becoming increasingly popular.

This trend is gaining momentum in South Africa, offering consumers a secure way to collect their packages conveniently.

Out-of-home delivery systems are often located in easily accessible areas such as shopping centres and transport hubs.

At Fastway Couriers, we are preparing to introduce a new service in partnership with retailers. This service will allow online shoppers to collect their purchases from a designated location.

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Once launched, it will offer greater choice, a streamlined returns process, and a network of convenient pick-up points—ideal for those with demanding schedules who may find coordinating with a last-mile delivery driver challenging.

In South Africa, where security concerns and informal addresses can complicate traditional deliveries, we expect the widespread adoption of parcel lockers and pickup points to offer a practical solution for online shoppers.

Self-service options put convenience in your hands

Another noticeable trend in last-mile deliveries is the rise of self-service options. This is specifically aimed at small businesses and retailers that need flexible delivery options that suit the needs of their business and customers, not the other way around.

This flexible service enables retailers to track their deliveries, regardless of the size - it could be a single parcel or a bulk shipment. This transparency and visibility enable clients to create a first-rate customer experience with flexible services.

For example, many traditional courier services specify specific delivery and collection times, which may not work for a particular retailer. This allows businesses to amend delivery instructions or even reschedule deliveries if necessary.

Overall, Fastway Couriers anticipates the trend of last-mile customers providing their business clients with a stress-free experience that takes a load off their shoulders.