How is Veho Changing the Last-Mile Delivery System?

When a package is delivered across the country, 30% of the time is spent sending it from country A to B. 70% of the time goes into delivering the package from the warehouse to the customer. And mind you, in this situation, the warehouse and the delivery address are in the same city. 

Veho comes in to cover the last mile delivery and reduce the time spent on delivery. It's a company born out of the need to deliver packages quickly and systematically. 

But that’s not all. Veho delivery does not depend on specialized trucks. They allow people with a minivan, car, or a small truck to pick up the package, deliver it, and earn up to $22 per hour. 

It’s last-mile delivery, redefined!

Here’s How the Veho Delivery System Works!

The founders of Veho had a crazy idea that they would allow drivers to deliver packages in their own vehicles. The purpose was to reduce the delivery costs and improve the customer experience. 

For inspiration, they had companies like Uber and Lyft already working on this model but with a different audience. With the same model implemented in the package delivery industry and working with the right technology, Veho is here to change the long-term game and not work for short-term bulk profits. 

Veho believes that the existing package delivery system is outdated and needs to be upgraded. There are a lot of big players in the market, and they are focused on improving the inter-State, country, or continental delivery system. 

The focus on ensuring efficient last-mile delivery needs to be seen with a new set of eyes. Veho works to become the enabler of changing the last-mile delivery system. 

• Step 1: The driver open the application to see the deliveries that are to be made the following morning. 
  

• Step 2: Working with the Veho delivery service, the drivers will book the route and reach the warehouse to pick up the packages. 
  

• Step 3: In the warehouse, the packages are labeled with unique barcodes scannable from Veho’s application. 
  

• Step 4: The drivers get help in sorting the packages and numbering them according to their delivery addresses. This arranges the delivery package according to their sequence along the route. The package to be delivered to the nearest address is marked 1 and loaded at last. 
  

• Step 5: The Veho delivery driver reaches the address, scans the barcode, and finds out if there are any special instructions left by the receiver.  
  

• Step 6: Once the package is delivered according to the instructions, a notification is sent to the customer at the spot.
  

Knowing this process, you might recall that the same system is used in delivering food or orders with PostMates or DoorDash. There too, the delivery drivers are supposed to complete the delivery according to the instructions and then notify the status on the app, which is then relayed ahead to the customer. 

What’s Changing for the Customers?

Veho won the New Venture Competition Business at the Harvard Business School. At the presentation, the founders highlighted that after delivering packages across Eastern Massachusetts, the customers asked for enhanced involvement of Veho in their package deliveries. 

The reason for this need to expand is simple;

• Shorter delivery time
• Cost-effective
  

Since 70% of the time is required to deliver the last mile, Veho substantially reduces this time to improve the customer experience. 

Imagine waiting for 10 days for a package to be delivered, which should only take 4 to 5 days. That is what Veho is trying to do with their delivery service. The company is using the latest technology and business models, applying it to delivering packages. 

With the existing delivery models, the cost of delivering packages is somewhat high because the drivers are using specialized trucks and vehicles to do the work. As these are commercial vehicles, their maintenance and insurance costs are higher and have less mileage. 

Compared to delivery trucks, Veho is allowing the drivers to bring their own car to work. So anyone with a car big enough to load multiple packages can be used to deliver packages. As a result, the cost of delivering the packages is less as compared to other delivery services. 

What’s Changing for the Delivery Drivers?

With the Veho delivery service, drivers are benefitting as they will get another way to earn, and with Veho’s claimed $22/hour pay rate, they can earn between $150 to $350 per trip. 

Provided the drivers have commercial insurance to show for and pass the background test, they can start working with Veho. 

Delivering with Veho is made easier with technology. The drivers who are currently employed with them as a contractor have shared their experience. The commonality between them all is that it takes some time to reach the first destination. 

But once the first package is delivered, the rest of the addresses are nearby and set in a sequence. The benefit of using the Veho application is that the drivers will get access to the most streamlined route predetermined by the application according to the packages and their addresses. 

So, the route a Veho delivery service driver will get is set to ensure the best and shortest possible route. This further makes their delivery experience better and aligned to generate the best profits. 

Implementing the Best Delivery Practices

While delivering through the best possible route is essential, Veho delivery service is also following the most efficient measures to ensure customer satisfaction. The drivers are supposed to click pictures of the package after putting it at the instructed location. 

Delivery drivers with PostMates and DoorDash also follow similar practices. From bringing in a new innovation into the industry to providing an extra gig to earn for the delivery drivers, Veho is indeed in this game to enable a change. 

The CEO of FedEx and many other big industry players have invested in Veho. Is it because they see potential in this kind of service and understand the importance of changing how the last-mile delivery service works? Probably, yes. 

Conclusion

Veho aims to work directly with eCommerce companies that put their customers' interests at the forefront. The motive is to help companies improve the delivery service, which is a big factor in ensuring that the customer comes back for shopping with the same eCommerce store again. 

Presently, Veho is too small to pose a threat to FedEx and UPS. But companies like Veho are well-positioned to bring about a change in the market expectations or even reset the customer’s expectations from delivery companies. 

At a time when almost every eCommerce and big delivery house are overwhelmed with the spur of deliveries, companies like Veho present a novel solution. 

Follow this link to know whether it's worth to work with Veho.