Parts Department Guide to Last Mile Logistics Solutions

last mile delivery

Rapid availability matters to every auto parts buyer in the market. And fast delivery is a key in an on demand business service. In the past, the only way dealers could offer fast delivery was with a large fleet of drivers. But modern options are making easy to offer low cost hotshot car parts delivery.

In fact, car dealers now have many methods to last mile delivery and even more vendors to choose from. Some of the newer options include.

  • In-house Fleet: Build a company fleet of auto parts delivery drivers.
  • Outsource Everything: Use on-demand model for hotshot parts
  • Use a Hybrid Business Model: Use both in-house orders on-demand services for a lower total cost.

However, no matter which approach a dealership chooses, there is a vendor to meet your needs. This article offers some of the top vendors recommended by 3NG Consulting.

Elite Extra

This is 3NG Consulting’s top supplier. The company offers a full range of delivery options in a computer aided dispatch software platform. So, they can organize your fleet, manage couriers and arrange on-demand hotshot delivery.

Elite Extra offers the most complete car parts delivery service platform. Their service offers dispatch tools and dynamic delivery tracking. Their platform also offers on demand providers, signature capture and last mile delivery tracking.

Extra started as a consulting company. So, they offer the dispatch consulting your team needs to get the most out of their fleet.

On-Demand Delivery Model

On demand delivery platforms are key to a good mechanical parts delivery experience. They can be cheaper than internal hotshot drivers and are easy to use. They center on demand apps for route ordering. So, dealers have many delivery drivers available at peak hours.

This model uses their large hotshot fleet to deliver parts. On demand delivery apps are fast and easy to use. And they are a lower cost option than a full time delivery driver. They also offer delivery tracking and a direct hotshot service.

Some drawbacks are coverage, range and billing. And their networks often are limited to metro areas. They also bill for every delivery, which can create some bookkeeping challenges. Some of the top national providers are:

  • Uber: Uber offers on demand hotshot deliveries auto parts. They deliver a 10-mile delivery range and offer a large fleet.
  • Lyft Concierge: Lyft Offers on demand hotshot delivery to many metros and growing. Lyft Concierge offers door to door service.
  • Door Dash: Door dash offers routed delivery. Because they are not direct hotshot, their service is a bit more economical and has a larger delivery range.

Same Day Routed Services

Same day routed service are package delivery companies offering a same day service. Networks that support car parts same day delivery support collision customers. These services are cost effective and offer routed shipping for large, complex orders. They also offer larger delivery areas.

Routed delivery companies are not as fast as hotshot delivery. But they offer added services such as proof of delivery and order tracking. The top two routed providers are:

  • Roadie: Roadie offers a near hotshot service. Their drivers accept larger packages and can accommodate up to 3 pieces per stop.
  • FedEx Same Day: FedEx Same Day is a same day shipping service. They cover up to a 100-mile radius, accept large packages and will delivery to 19 pieces per stop.

Network Providers

Network Providers organize multiple providers into a single fixed operations solution. These companies offer multiple options to support same day delivery of auto parts.

Some of the benefits of network providers are large coverage areas and great pricing. This gives dealers the ability to create a focused delivery service at a higher parts gross profit margin. Some of these providers also offer service department solutions such as courtesy shuttle dispatch.

  • Revolution Parts: Revolution Parts is the premium on-demand hotshot provider. They connect with Door Dash, Lyft and FedEx Same Day. Their service helps dealer find the right last mile logistics service for each delivery. The company also offers central billing and last mile carrier tracking.
  • Redcap: Redcap offers a full fixed ops solution by supporting courtesy shuttle dispatch and parts delivery. They use Lyft and offer central billing.

Canadian Suppliers

Canadian dealerships have different needs than the US market. Dealers who wish to offer better delivery also have options.  Companies such as Mckenna Logistics Centers offer a full third-party logistics network for online sales.  

Also, Elite Extra, FedEx Same Day, Uber and Lyft offer delivery services in Canada. Also, Door Dash and Revolution Parts are introducing services in the Canadian market.  

How 3NG Consulting Can Help

3NG Consulting is a full service automotive fixed ops consulting company. We help dealers and OEMS build the right programs for sales, profits and customer loyalty.

Our focus is the dealer wholesale market. Our mission is to help automakers grow their wholesale business. Our team has developed a proven process o build long term growth. So, call us today to get started.

Our team has extensive experience with the wholesale parts space and can help dealers and automakers balance the supply chain for a quality wholesale fast delivery car parts experience.

Karl Krug

Karl Krug

Karl Krug is the Chief Strategy Officer of 3NG Consulting and specializes in automotive parts and service solutions and marketing. 

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