Delivered by Bike!
Cycle Logistics &
Last Mile Deliveries
Richard Armitage FCILT
Director, Cycle Waggle Ltd
Manchester (17.11.15) • London (18.11.15)
We need to improve
the sustainability of our cities
City logistics is responsible for:
• a quarter of CO2 emissions
• a third of NOx emissions
• a third of PM emissions
Source: BIM, Brussels, 2015
EU Objective:
City distribution
CO2 free by 2030
Vrije Universiteit Brussel - MOBI
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P&G 9/12/2013
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P&G 9/12/2013
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Cathy Macharis, VUB-MOBI
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How do we decarbonise last mile deliveries…
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…and logistics in general?
Can the modern cargo bike play a role?
Will it be a viable business, safe and efficient?
How much will our riders earn in this new business?
Will this work adversely affect our riders’ health?
Can our infrastructure cope with bigger bikes and trikes?
When is a bike no longer a bike, looking especially at
payload and electric assist?
• What can municipalities do to encourage cycle logistics?
• Will Big Data, ITS and all the rest make the job easier?
Cycle logistics is not new!
The changing urban landscape
Manchester
City Centre
Freight &
Deliveries
Strategy – in
draft, 2015
The rebirth of cycle logistics
1. Environmental awareness & positive image of cycling
The rebirth of cycle logistics
2. Rising cycling culture & new urban centre lifestyle choices
The rebirth of cycle logistics
3. Giving back public space to people
The rebirth of cycle logistics
4. E-commerce and retail evolution
“Instead of
completely
replacing older
retail logistics
schemes,
most recent
ones have
added to
them”
Last mile deliveries / first mile collections in chaos
• Failed delivery rates: 15%
– Employers banning domestic deliveries at workplace
– People who have no work base e.g. taxi driver, plumber
• On-line shopping up 15% p.a.
• Parcel shops, lockers, click ‘n’ collect
• Vans: parking fines (PCNs), congestion, noise, access
blocked, time restrictions, partial loads…
• Disruptive interventions: Amazon Prime, Shutl,
Doddle…same day deliveries…3D printing…
• Great business opportunity!
Cycle logistics - what an offer!
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Cost Effective (but not cheap!)
Fast & Reliable
Flexible Delivery Capability
Secure & Professional
Zero Emissions & Quiet
Positive Image: fun, smart, trendy
Development of local SMEs
Provider of employment
The rebirth of cycle logistics
5. Developments in
cycle design & technology
The rebirth of cycle logistics
6. Direct investment by global players
DHL EXPRESS – bike couriers
The express business
• DHL Express
• Global Time Definite
Network
• Last mile principle
B2B & B2C
DHL distribution by
bike in Europe is
expanding
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9 countries
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40 cities
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55 tours
Huge potential: motorised to pedal-powered
In European cities, every second motorised trip
associated with the transport of goods could be shifted
from cars or vans to bicycles, cargo bikes or cargo trikes
Potential for deliveries
When it comes to deliveries, every fourth trip associated
with the transport of goods could be shifted
from motorised vehicles to cargo bikes
25% of all urban deliveries could be done by cargo bike!
Bike types – equipment options
1. Standard Bicycle with Shoulder Bags/Panniers
2. Standard Bicycle with Trailer
3. Cargo Bikes
4. Cargo Trike/Quadricycle
Standard bicycle with shoulder bags/panniers
Advantages:
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Fast & agile
Ease of use
Low purchase cost
Low maintenance cost
Ease of storage
On-road and off-road use
Easy parking
Can be taken on a train
Disadvantages:
• Limit to size of packages
carried (weight & volume)
• Lack of visibility
• Negative image
• Security of bike when
making delivery
Payload up to 40kg - Cost €50 to €200
Standard bicycle with trailer
Advantages:
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Low purchase cost
Low maintenance cost
Can be hitched to many bike types
Ability to carry larger loads
On-road and off-road use
Potential advertising revenue
Trailer can be unhitched and taken
closer to customer
Disadvantages:
• Limited cargo security
• Open to weather
Payload up to 80kg - Cost €200 to €400
• Storage when not in use
• Maintenance of 2 items of equipment
• Push/pull effect when riding
• Need to lock bike and trailer
• Stability when riding
Cargo bike
Advantages:
• Ability to carry larger loads
• Flexible cargo carrying capability
• On-road and off-road use
• Cargo secure and weather protected
• Designed for purpose
• Ease of use
• Potential advertising revenue
Disadvantages:
• Purchase cost
• Maintenance cost
Payload up to 80kg - Cost €2,000 to €4,000
• Storage when not in use
• Additional bike security required
• Loading & unloading
• Greater rider ability required
• Overloading risk making bike unstable
Cargo trike or quadricycle
Advantages:
• Ability to carry larger loads
• Flexible cargo carrying capability
• Cargo secure and weather protected
• Easy loading and unloading
• Designed for purpose
• Potential advertising revenue
• Comparable with a small van
Disadvantages:
• Slow in traffic
• Purchase cost
Payload up to 250kg - Cost €2,000 to €4,000
• Maintenance cost
Electric assist – additional cost
• Storage when not in use
• Range when fully loaded
• May be restricted to the road network
• Parking
• Greater rider ability required
• Rider strength & stamina
Cycle logistics scope
1. Private Logistics
2. Services – municipality and companies
3. Delivery
Cycle logistics scope – private logistics
Cycle logistics scope – services (1)
Trades: plumbers, electricians,
carpenters, window cleaners
Waste collection
Park & garden maintenance
Cycle logistics scope – services (2)
Catering
Street cleaning
Cycle logistics scope - delivery
Outspoken Delivery, Cambridge, UK
Cycle logistics scope - delivery
Fleet
7 x cargo bikes
60kg of freight
Approx 0.3m3
4 x Cycles Maximus trikes
250kg of freight
Approx 1.4m3
Cycle logistics scope - delivery
Types of cargo carried – B2B (business to business)
Cycle logistics scope - delivery
Types of cargo carried – B2C (business to consumer)
Last mile
- for big logistics companies
Local companies
Cycle logistics scope - delivery
Problem: what to do when people are not at home?
www.parcelhome.com
Cycle logistics scope - delivery
Services:
Cycle logistics scope - delivery
b
e
a
d
Ad-hoc - point to point
• Reliant on customers
contacting you
• Fast delivery
• Cargo size dictates capacity
• Optimising efficient use of
available capacity and riders
c
Contracts
• Regular income
• Allows loads to be
consolidated
• Efficient use of cargo bike
space and rider
• Can service ad-hoc point to
point job
Cycle logistics scope - delivery
Up to 400 packages per day
Cycle logistics scope - delivery
What councils can do to encourage cycle logistics
What councils can do to encourage cycle logistics
Context
1. Compared to passenger transport, urban freight logistics
has to a large extent been neglected by urban transport
policy making
2. City logistics is not properly integrated into transport
planning and local economic development strategies
3. In most cities there is a lack of information and proper
understanding of freight flows and dynamics of deliveries
4. Urban freight transport demand and supply mostly
determined by private sector organisations
5. Public sector more focused on public transport systems
and passenger transport
What councils can do to encourage cycle logistics
More stick than carrot
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Restricted access
Parking restrictions
Low emission zones
Congestion charges
Vehicle speed limits
Delivery windows
Vehicle size and weight restrictions
Strengthen road traffic law and
enforcement
What councils can do to encourage cycle logistics
More carrot than stick
1. Investment in cycling infrastructure
2. Use of cargo bikes for municipal services (leading by
example)
3. Testing of regulatory measures favouring cyclelogistics
4. Remodelling on-street and off-street delivery
requirements and facilities
5. Securing and providing space for micro consolidation
centres and parcel stations
6. Full or part funding cyclelogistics inititatives
7. Promotion of cyclelogistics intermodal solutions
8. Cyclelogistics friendly tenders
What councils can do to encourage cycle logistics
1. Investment in Cycling Infrastructure
• Lane & entry
widths: cargo
bikes & trikes?
• Cargo bike
parking spaces
• Secure cargo
bike storage for
residents
What councils can do to encourage cycle logistics
2. Use of cargo bike by municipalities –
leading by example
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Induction & training
Institutional fear of cycling
Staff opposition?
Terms & conditions changes?
Helmets?
What councils can do to encourage cycle logistics
3. Regulatory measures favouring cycle logistics
What councils can do to encourage cycle logistics
4. Remodelling on-street and off-street
delivery requirements and facilities:
a. Specific facilities for cargo bike
parking
b. Adoption of regulations for design
and provision of off-street delivery
and storage areas in business
c. Cycle based home delivery services
d. Incentives to local shops and
businesses that choose green
delivery options
e. Cargo bike sharing schemes
f. Development of delivery service
plans for local shops & businesses
What councils can do to encourage cycle logistics
5. Securing and providing space for micro
consolidation centres:
a. Securing space for micro-hubs in
policy planning and zoning strategies
b. Identifying and adapting key public
space for micro-consolidation
purposes linked to cycle-based lastmile services
c. Testing low cost mobile micro-hubs in
cooperation with cyclelogistics
companies
d. Promoting strategies or incentives for
shared micro-hubs
What councils can do to encourage cycle logistics
5. Securing and providing space for parcel stations:
Direct to customer
Transhipment
What councils can do to encourage cycle logistics
6. Full or part funding cycle logistics initiatives
Devon County Council
- Local Sustainable Transport
Fund support
- 2electric bikes & accessories
supplied (75% funding)
- For local deliveries (>3 miles)
Carplus EAPC Programme
- Outspoken Delivery try before
you buy cargo bike scheme
Similar examples in Austria, Graz
(50% funding), Lustenau & Hartberg
What councils can do to encourage cycle logistics
7. Promotion of cycle logistics through intermodal solutions
What councils can do to encourage cycle logistics
8. Cycle logistics friendly tenders
• Many tenders are written assuming solution has
to be van based
• May be necessary to run a pilot to prove cycle
logistics solution
• Be willing to split tenders into smaller area (e.g.
cycle logistics routes, motorised vehicle routes)
• Actively encourage joint supplier solutions
• Don’t be constrained by conventional thinking!
What councils can do to encourage cycle logistics
Establish urban freight delivery platform
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Get all stakeholders together
Outline the problems
Highlight the possibilities via example implementations
Discuss potential ideas and easy first solutions
- Group purchasing scheme
- Consolidated deliveries
- Home delivery
- Customer ordering/delivery portal
- Cargo bike sharing scheme
• Identify realistic and achievable first steps
More research and knowledge-sharing required…
• How do we decarbonise last mile deliveries and logistics
in general, especially in urban centres?
• Can the modern cargo bike play a role?
• Will it be a viable business, safe and efficient, and will
everyone earn a living?
• Will this work adversely affect our riders’ health?
• Can our infrastructure cope with bigger bikes and trikes?
• When is a bike no longer a bike, looking especially at
payload and electric assist?
• What can municipalities do to encourage cycle logistics?
• Will Big Data, ITS and all the rest make the job easier?
Summary
• Cycle logistics is not new!
• “Liveable cities” is no longer a trendy aspiration, it has
become essential to sort our air quality and tackle climate
change, reduce noise, get rid of congestion.
• BUT people still want easy access to products/services
• 1 in 2 motorised cargo trips & 25% of urban commercial
deliveries could be done by bike
• Right bike for the job: bikes, trailers, cargo bikes & trikes
• Many business opportunities for cycle based solutions
• Private enterprise will implement solutions
• Councils can encourage cycle logistics
Summary
Thank you for listening
Any questions?
Resources
www.cyclelogistics.eu
www.federation.cyclelogistics.eu
www.eclfconference2015.bike
www.outspokendelivery.co.uk
www.wagl.co.uk
Cycle Logistics - Delivery Examples:
From farm to customer:
https://www.youtube.com/watch?v=sxwNLZvjsAU
Mobile consolidation centre:
https://www.youtube.com/watch?v=cULs0ZjhNyg
About the authors
Richard Armitage FCILT
Director, Cycle Waggle Ltd., Manchester
www.wagl.co.uk
richard@c4st.uk
+44 7973 538 556
www.eclfconference2015.bike
Gary Armstrong
Outspoken Delivery, Cambridge, UK
www.outspokendelivery.co.uk
gary.armstrong@outspokendelivery.co.uk
+44 7777 656142