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Two new automated delivery trials by Postmates and Amazon have been greenlit in California. The separate trials speak to different automation efforts in last-mile delivery - food delivery and package delivery, respectively. Here's how the two companies are developing the future of last-mile delivery:
PostmatesThe bigger picture: Both Postmates and Amazon are developing and implementing their own delivery solutions, instead of turning to autonomous delivery robotics companies.
Delivery companies should consider developing their own robots to ensure they are best tailored for their specific needs. By designing their own delivery robots, Postmates and Amazon can better control the customer experience around their products and services.
To ensure its solution best met its needs, Postmates hired an ex-Apple engineer specifically to improve its robots' interactions with pedestrians. Notably, Postmates didn't set out to build its own robot as it first trialed other companies' robotics, signaling that it didn't find what it needed when dealing with outside firms.If more delivery companies embrace in-house development, it could hurt companies like Starship Technologies or Nuro, which develop their own technology to sell to delivery companies. The delivery robots market is expected to grow to $34 million by 2024, at a compound annual growth rate of 19% from $11.9 million in 2018.
However, if more companies develop their own solutions, delivery robotics companies will find themselves without clients. To counter this possibility, firms should look to forge partnerships with delivery companies to develop company-specific solutions. Partnerships would not only allow delivery companies to speed up the development of their own solutions, but enable robotics companies to still capture income from their efforts.
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