Abstract

This study investigates the challenges and potential solutions of last-mile delivery experienced by customers purchasing from online and physical stores in Delta State, Nigeria. Utilizing a mixed-method approach, data were collected from a sample size of 349 participants, comprising customers of both online and physical retail outlets. Quantitative data analysis involved the examination of contingency tables and the calculation of chi-square statistics to determine the significance of differences in last-mile delivery challenges between online and physical stores. Additionally, qualitative data were obtained through open-ended survey questions and thematic analysis to explore potential strategies for addressing identified challenges. The findings reveal that customers encounter similar challenges in last-mile delivery across both online and physical stores. While there may be variations in the frequencies of these challenges between the two types of stores, statistical analysis in this study indicates that these differences are not significant. Furthermore, findings reveal that the identified challenges have a substantial impact on customer satisfaction and purchasing behavior, particularly in online stores. Strategies were identified to address these challenges such as the integration of seamless payment options, address verification technology, involvement of locals in the delivery process, among others. These recommendations emphasizes the importance of implementing tailored strategies to improve last-mile delivery services and enhance the overall shopping experience for customers in Delta State. This study contributes to the existing literature by providing insights into the challenges and potential solutions of last-mile delivery in the context of both online and physical retail environments. The findings offer practical implications for logistics management and customer service strategies, guiding retailers in addressing common challenges and driving business growth in the competitive retail landscape of Delta State. Keywords: Last-Mile Delivery, Route Optimization, Innovative Delivery Models, Delivery Tracking Mechanism, Operational Efficiency, Customer Satisfaction

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