As analysts sift through 2020, the big takeaway is that jobs were in a decline in December. However, as small businesses were impacted by the pandemic and other pressures, last mile transportation provided by smaller trucking companies showed big gains.
COVID-19 Partially Drove Last Mile Numbers
Non-store retailers saw a gigantic increase in sales over the last year. Customers who were used to driving to their local big box stores had to stop and self-quarantine. Instead of risking exposure, those customers looked to online businesses for the products they needed. While large carriers had the major routes covered, there will still individual cities and towns they could not reach. Smaller trucking companies were able to fill in the gaps by offering last mile transportation, dropping off products to people’s homes, if not their local post offices. Local delivery jobs are currently competing with commercial trucking like never before.
The Larger Impact of Last Mile Transportation
The pandemic has transformed our lives in a number of ways. One of the biggest is the market shift to e-commerce. Online shopping, whether B2C or B2B, resulted in a greater need for last mile transportation. That need created more jobs in the trucking industry, and resulted in more businesses investing in warehouses and storage facilities for their products. The manufacturing sector showed growth to meet customer demands and shows an upward trajectory from the previous year, as well. The big lesson in all of this to the number-crunchers is that the economy can make some serious headway in 2021 and beyond if the proper logistics are in place. As every industry leans more on trucking companies that offer last mile services, businesses that were previously gated by the shift to e-commerce can reach their clients and thrive.
At Single Point Capital, we help entrepreneurs and owner-operators who want to launch their own trucking companies. Our team will assist with the proper forms and permits to make sure everything is in order, so you can launch your trucking company quickly without any snags. If you want to get a foothold in last mile transportation, and you are currently using our factoring services, contact our offices and we will get the ball rolling on your new venture. To learn more, reach out to the team at Single Point Capital today.