How do we Solve the Transport Challenges in the Food Delivery Market?
Online retail sales are increasing by 15% annually with the home food delivery market increasing by 13% year on year. Maintaining and growing brands will need to accommodate consumers buying preferences, climate change and urban re-generation which are changing the landscape.
With vehicle fleets incorporating cars, cycles, motor-bikes and electric-vehicles, operators have the opportunity to develop a long-term strategy that not only addresses internal operational challenges but overcomes market preferences, constraints and limitations.
Pollution – Zero-carbon transport is required by consumers and regional
Quality – Lack of heat and refrigeration leads to food quality concerns
Health & Safety – Protection of delivery personnel needs careful consideration
Urban regeneration – The increase of pedestrian areas requires fleet transformation
Costs – Maintaining delivery costs within a sustainable strategy
Congestion – With congestion on the rise the food delivery market needs a solution
Those food retailers that are looking to increase their market share, recognize that quality, cost and delivery time are important however those that develop a sustainable method of delivery are likely to achieve a considerable march on the competition.
Addressing Market Challenges:
With consumers likely to have a preference for brands that have adopted sustainability, stakeholders that do not build a strategy around the environment and preferences may experience a reduction in market share. Addressing operational and sustainability challenges is required for fleet development with those brands that make an early transition to zero-carbon likely to benefit from considerable market opportunity.
Fixed cost outsourcing and service consolidation can address many of the operational challenges however a sustainable delivery method adds complication. The emergence of new zero-carbon vehicles gives considerable potential such as:
1. Active travel increases the health of both the rider and the climate
2 Utilisation of shared pedestrian areas to reduce delivery time
3. Deliver quality food with sustainable vehicles
4. Creating a cheaper alternative to current transport methods
5. Tackling barriers with current cycling methods
6. Lack of protection from the elements (rain, wind & snow)
7. Many people aren’t comfortable on 2 wheels
8. Current bike seating position can be uncomfortable for long periods of time
9. Lack of personal storage with current vehicle alternatives
10. Lack of integrated display (safety concern)
11. Vehicle performance and reliability
12. Aesthetics of bikes are very limited
Having vehicles in operational service is critical to maintain service performance. Consideration should be given to an appropriate level of vehicle maintenance (SLA & KPI).
Delivery method strategies that addresses operational and environmental challenges through the adoption of pedal electric vehicles is likely to address many of the operational and sustainable challenges however consideration needs to be given to training, quality, security, maintenance and safety. Brands that address the challenges quickly, develop a sustainable solution and communicate to the market effectively are likely to cement a considerable market opportunity leading to the differentiation from the competition.
PeddleSMART is bringing several zero-carbon vehicles to the Restaurant and Takeaway Expo that address most of the challenges faced by the market today.
PeddleSMART has confirmed that several zero-carbon vehicles, which address most of the challenges faced by the market today, will be present on stand “B200” on the 19th & 20th November 2019. Following a request from the Restaurant & Takeaway Expo team, attendees of the event have pre-market access to the Home Food Delivery vehicles, giving an opportunity for organisations that wish to make the transition to zero-carbon delivery, a window to secure their fleet before the competition.