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“The last mile” is a term usually used to describe the final link in the supply chain – when an order makes its way from the distribution centre or a retail location to the end consumer.
Worldwide, city governments are battling against air quality concerns and traffic congestion by creating low emission zones, and implementing vehicle entry and parking restrictions.
Recent global trends, like low transport emissions and the e-commerce boom, have brought last mile logistics to the brink of disruption.

So what is this disruptive change that the last mile is facing?

During the last few years, the number of LCVs has increased with the growth of last mile delivery as ever more shopping is carried out online. This trend has been reinforced during the Covid-19 crisis because of the explosion of online shopping due to the lockdown situation, without mentioning the delivery of services in city centers which require LCV usage.

With this significant increase, the challenges around last mile urban operations are becoming crucial for many companies. Congestion, air quality concerns, LEZ implementation and cost of the last mile are perhaps some of the main issues. However, all of these challenges represent real opportunities for OEMs.

What is the current situation? How are these challenges being managed?

In light of the various COVID-19 imposed lockdowns across Europe, all of the manufacturing plants and most of the dealer sites were closed.
Some OEM’s developed or enhanced their respective online purchase processes (such as PSA or Volvo).
Despite these initiatives there was still a significant reduction in new passenger cars registrations.

In the 5 major markets in Western Europe, the automotive industry is a strategic, industrial sector of their respective economies. That is why their governments have decided to support large stimulus plan in order to boost production and sales of vehicles with a strong focus on electric vehicles.

How do they intend to support the demand?

We hope this publication will give you the key to understand what is driving the need fo last mile solutions, the challenges faced in our city centres, the evolution of our way of living and consuming and how it impacts the delivery organization.

Telematics solutions are a key part of any fleet manager’s toolbox, monitoring key factors impacting the Total Cost of Ownership (TCO) of entire fleets but also a precious tool for individuals to become active and responsible drivers.

The coronavirus outbreak is first and foremost a human tragedy, affecting hundreds of thousands of people. It is also having a growing impact on the global economy. The COVID-19 pandemic will certainly lead to a world recession.

Among other industries, the global automotive industry will confront a challenging year with impacts on the mobility landscape. What can we already see on the market? What will be the impacts after this pandemic? What are the impacts on the vehicle manufacturers (OEMs)?

Arval confirmed by the United Nations as an active member in 2020 by contributing to the SDGS for the better future.

Is the actual crisis a threat or an opportunity for energy transition? In his interview by Dieter Quartier from Fleet Europe Magazine, Shams-Dine El Mouden, Arval Consulting Director, shares some insights into the current challenges and explains, with the help of Arval’s recent White Paper, why there are still reasons to believe in EVs.

Electric vehicle (EV) drivers may need to unplug their passenger cars and LCV during the coronavirus lockdown in order to reduce the risk of battery damage, Arval has suggested.