Sustainability and On-Demand Delivery
It’s difficult to discuss on-demand delivery without also addressing the elephant in the room – the environment. Sustainability is a topic that all on-demand delivery companies should be focused on, especially as consumers increasingly demand it. In fact, a majority of consumers (79%) are changing their purchase preferences based on sustainability.¹
The positive for the on-demand delivery space is there are a number of opportunities to adopt sustainable practices to help improve our environment and meet consumer demand along the way.
Deliver using electric vehicles (EVs)
Transportation is the number one contributor to greenhouse gas emissions, accounting for 29% of total emissions in the US.² The availability of electric scooters, electric bikes, and electric cars has made it more accessible than ever to deliver products sustainably and companies are already taking a step in the right direction.
Domino’s is leveraging electric bikes in select cities and Walmart has plans to hire 3,000 delivery drivers using a fleet of 100% all-electric delivery vans. For companies outsourcing delivery, it’s even possible to work with last mile delivery partners like URB-E which uses electric fleets outfitted with trailers to deliver products in cities.
Provide consumers delivery optionality
Despite the billions of dollars invested into the quick commerce space over the past few years, not every category needs to be delivered in 10 minutes or less. On-demand delivery companies should provide consumers with delivery optionality and offer discounts for longer delivery times. In addition to the discount, consumers should also be made aware of the positive impact they’re having on the environment as longer delivery times will enable more batching.
Although certain consumers will continue to choose the fastest delivery option, you might be surprised by those willing to wait a few hours, either to save money or reduce emissions. 51% of Americans say they are willing to wait longer to reduce the environmental impact of shipping their orders.³
Use sustainable packaging
38% of US consumers cited sustainable packaging as extremely or very important when purchasing products for various end-use areas. The rise of on-demand delivery has certainly increased the amount of packaging at our doorstep and consumers are looking to help reduce waste.
Many companies dismiss sustainable packaging as it can come at a premium price. However, companies should be aware that 60-70% of consumers say they would pay more for sustainable packaging.⁴ Companies like The Rounds have even gone as far as offering zero-waste refills for consumers.
On-demand delivery companies have multiple levers to pull when it comes to sustainability. Companies that adopt these practices will help save our environment and meet consumer demand along the way.