Exploring the Potential of Crowdshipping for Sustainable Urban Delivery

Exploring the Potential of Crowdshipping for Sustainable Urban Delivery

The increasing popularity of e-commerce has led to a significant rise in parcel deliveries worldwide. In 2022, a staggering 161 billion parcels were delivered, a number that has doubled in just four years. Australia, in particular, has seen a surge in online shopping, with 5.6 million households making monthly purchases online in 2023. This trend translates to millions of parcels being shipped each month, contributing to environmental concerns, especially in urban areas.

The majority of last-mile deliveries are carried out by high-emission diesel vans and trucks. These vehicles not only add to traffic congestion and parking pressures in cities but also contribute to carbon emissions and air pollution. In order to reduce the environmental impact of these deliveries, alternative solutions must be explored.

One possible solution to mitigate the environmental impact of parcel deliveries is the adoption of low-emission vehicles, such as electric delivery vans powered by renewable energy sources. Despite the potential benefits, electric delivery vans and trucks are still relatively uncommon, accounting for less than 5% of global sales share in 2023. Moreover, increasing the number of vehicle chargers powered by renewable energy will also take time.

In addition to transitioning to cleaner vehicles, optimizing the organization of deliveries can also contribute to reducing the environmental impact of parcel delivery. Shorter-term solutions, such as crowdshipping, offer innovative approaches to streamline movement in cities and minimize emissions.

Crowdshipping leverages crowdsourcing for delivery services, allowing members of the public to deliver parcels in the course of their journeys. By matching people with parcels headed to destinations close to them, crowdshipping minimizes detours and taps into existing transport capacity. Platforms like Roadie or DoorDash facilitate the matching process and enable crowdshippers to earn income by delivering parcels.

A simulation of crowdshipping in Singapore revealed multiple benefits of the concept. By outsourcing just 11% of parcel deliveries to crowdshippers on public buses, an e-commerce carrier can reduce delivery vehicle distances by 20% and cut emissions accordingly. Despite paying crowdshippers for their services, carriers can still enjoy cost savings, making crowdshipping an attractive option for sustainable urban delivery.

There are several practical considerations and challenges associated with implementing crowdshipping. Passenger willingness to deliver parcels, potential congestion on public transport during peak hours, and the need for a reliable service platform are all significant factors to address. Surveys have shown that passengers are generally open to serving as crowdshippers, especially if incentivized monetarily. Limiting crowdshipping to off-peak hours can help avoid congestion on public transport and ensure the availability of potential crowdshippers.

Crowdshipping using public transport holds promise for cities with robust public transport networks and high passenger numbers. By integrating passenger and freight transport, cities can improve the efficiency of their logistics operations and make urban mobility more sustainable. Data-driven transport modeling and simulation play a crucial role in exploring innovative ideas like crowdshipping and bringing them closer to realization through trials and implementation efforts.

Technology

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