Last-mile delivery metamorphosing in Middle East

Once considered a logistical challenge, last-mile delivery (LMD) is undergoing transformation and becoming more consistent. Public and private sector players are investing heavily in enhancing urban mobility, smart infra and digital logistics hubs to support seamless movement of goods.

-Dr. Shehara Fernando

Cities such as Riyadh, Dubai, and Doha are leading the way with initiatives that integrate logistics planning into broader smart city frameworks. Technologies play a central role in this evolution. Advanced technology such as Artificial Intelligence (AI), Machine Learning (ML) and data analytics are being used to optimise delivery routes, improve real-time tracking and streamline warehouse-to-doorstep operations. These innovations contribute directly to operational efficiency, reduce fuel consumption, and minimise delivery times—all the while enhancing the end-user experience.

Sustainability is taking centre stage. With governments in the region pushing for greener urban policies under frameworks such as the Kingdom of Saudi Arabia’s Vision 2030 and the UAE’s Green Agenda, logistics companies are embracing Electric Vehicle delivery vehicles, automated lockers, and eco-friendly packaging.

These initiatives reduce environmental impact and align with the region’s long-term goals for carbon neutrality and sustainable urban development. In essence, last-mile delivery in the Middle East is no longer just the final step in the supply chain—it is a pillar of economic growth, environmental responsibility, and customer engagement in a digitally connected future.

Today’s consumers demand transparency, speed, and flexibility. In response, the logistics providers are adopting customer empowerment strategies, such as live tracking, instant feedback loops and delivery time customisation. This has led to a sharp increase in customer satisfaction and loyalty, which are now significant competitive differentiators.

Digital infra minimizes environmental impact

Mahmoud Haj Hussein, Managing Director, DHL Express UAE

Dedicated drivers remain the backbone of the DHL’s last-mile delivery, ensuring consistency, quality, and brand trust. Local partnerships can support during the peak periods, enabling us to scale rapidly, while staying agile and fast. Sustainability is embedded through GoGreen Plus initiative, electrified fleets, and sustainable aviation fuel.

Thriving in today’s fast moving market

Ismet Demirel, Vice President Transportation, India Middle East & Africa UPS- ISMEA

Local partnerships with 3PLs enhance our last-mile capabilities by improving delivery speed, expanding service reach and taking advantage of local expertise—especially in the Middle Eastern markets. . We invest billions of dollars each year to make sure our physical and digital networks are underpinned by the best and advanced technology. It means we can be efficient and adapt to any situation, making logistics an advantage.

Route optimisation reduces fuel usage

Ken Robertson, Chief E-Commerce Solutions Officer, AJEX Logistics Services

Emerging technologies, such as AI-based route optimisation and real-time tracking, reduce fuel use, mileage and failed deliveries by adjusting to traffic, road and weather conditions. Real-time visibility improves customer experience through accurate ETAs. In select regions or industry verticals, partnerships with 3PLs and local specialists help tap into regional expertise and delivery density for cost-effective expansion.

Real-time tracking, AI improve efficiency

Daniel Caton, Managing Director, Momentum Logistics

3PL providers play a crucial role in last-mile delivery strategies and we value our partnerships with last-mile specialists to enhance flexibility, scalability, and efficiency by leveraging their local expertise and resources to deliver comprehensive end-to-end supply chain solutions. We have implemented ‘FERO AI’ transport management software to enhance route optimisation, real-time tracking and AI to significantly improve our last-mile efficiency.

3PL providers central to last-mile strategy

Patrick Grzywa, Regional COO, Contract Logistics, IMEA, Hellmann Worldwide Logistics

At our company, local partnerships with trusted 3PL providers are central to our last-mile strategy across the IMEA region. These collaborations give us the agility and regional insight needed to meet diverse customer expectations. Sustainability remains a key priority—electric vehicle deployment, route consolidation, and eco-friendly packaging. These efforts enable us to deliver safe, easy, friendly and Fast contract logistics solutions.

Technology redefines last-mile delivery

Raman Pathak, Co-founder & CEO, Jeebly

Across the logistics industry, last-mile delivery is shaped by collaboration over competition. Traditional logistics models are no longer sufficient to meet the demands of today’s fast-paced consumers. Local partnerships—with 3PLs, micro-fulfillment centres and gig-economy couriers—are essential to delivering speed, flexibility, and cost-efficiency at scale. AI, predictive analytics, real-time tracking and route optimisation are now redefining last-mile delivery ops.

AI optimises routes to reduce carbon footprint

Ala’a Saoudi, Chief Operating Officer Express, Aramex International

Local partners give us the agility to scale quickly during peak seasons and adapt to demand shifts. By blending our fleet with trusted 3PLs and gig couriers, we balance service quality and cost, ensures resilience, responsiveness and a consistently high customer experience across both peak and off-peak periods. AI-driven route optimisation and real-time tracking are critical in reducing emissions, and enhancing trust.