Who Handles Last-Mile Delivery? Actors, Roles & Responsibilities

Overview

When you receive a package at your door, that smooth moment is the result of many different people and organizations working together. Understanding who handles last-mile delivery helps businesses coordinate responsibilities, manage expectations, and choose partners that fit their service goals.

Main actors and what they do

• Retailers and merchants: The company selling the product often sets delivery policies, offers shipping options, and decides whether to manage deliveries in-house or use partners. Large retailers may operate their own fleet for speed and brand control.
• Carriers and postal services: National postal services and private carriers (e.g., regional couriers) provide broad delivery networks and infrastructure. They handle sorting, long-haul transport to local hubs, and final-mile delivery at scale.
• Third-party logistics providers (3PLs): 3PLs manage logistics services — warehousing, transportation, and last-mile execution — allowing merchants to outsource complex operations and scale quickly.
• Last-mile specialists: Companies that focus specifically on final-mile services (same-day delivery, white-glove delivery, locker networks). These specialists build tools and processes optimized for speed, visibility, or special handling.
• Crowdsource/gig couriers: Independent drivers and gig-platform couriers add flexible capacity during peaks. They are important for on-demand and highly localized deliveries.
• Drivers and couriers: The people making the physical delivery face access constraints, time pressures, and customer interactions. Their training and tools strongly influence delivery success and customer experience.
• Warehouse and fulfillment staff: Staff picking, packing, and preparing orders create the conditions for a successful last mile. Errors at this stage lead to incorrect or delayed deliveries.
• Technology providers: Software companies provide routing algorithms, tracking platforms, dispatch systems, and mobile apps used by drivers and customers to coordinate deliveries.
• Local authorities and municipalities: Rules about curbside access, parking, and traffic can affect delivery speed and cost, especially in urban areas. Municipal policies may also shape viable delivery models (e.g., cargo bikes).
• Customers: End recipients control choices like delivery windows, pickup vs. home delivery, and instructions. Their availability and preferences influence delivery success.

How responsibilities are divided

Division of labor depends on the business model and contracts. Typical splits include:

• Retailer controls customer communication and sets delivery promises; carrier fulfills actual pickup and delivery.
• 3PLs manage fulfillment and last-mile execution under a service-level agreement (SLA) with the merchant.
• Gig platforms handle dispatch, while independent couriers provide labor and vehicles subject to platform rules.

Real-world collaboration examples

• A large retailer uses its own stores as micro-fulfillment centers and contracts local couriers for same-day delivery in city centers.
• An online marketplace lists multiple carriers at checkout and selects a local courier for last-mile based on speed and price.
• A meal kit company partners with refrigerated carriers and uses time-slot scheduling to ensure perishable items arrive within safe windows.

Key considerations when choosing partners

• Coverage and capacity: Can the partner deliver in your target regions and scale during peaks?
• Service levels: Do they meet your promises for speed, handling, and customer communication?
• Technology integration: Can carrier tracking and proof-of-delivery be integrated into your customer experience?
• Cost and flexibility: Is pricing predictable, and can the partner adjust during volume swings?
• Reliability and reputation: What are their on-time and first-attempt success rates?

Best practices for coordination

• Define clear SLAs and KPIs to avoid finger-pointing.
• Share data: Shipment visibility, expected delivery windows, and customer preferences reduce surprises.
• Train and support drivers: Good tools and simple instructions reduce errors and improve the customer experience.
• Use a mix of partners: Combine national carriers, local couriers, and pickup networks to balance cost and service.

Final thought

Last-mile delivery is a team sport. Successful execution depends on selecting the right mix of carriers, technology, and operational partners, and on clear responsibilities across all parties. For beginners, start by mapping every handoff between actor groups and setting simple metrics — like on-time rate and first-attempt success — to keep partners aligned.