CNBC AI News – June 11th: A burgeoning trend is reshaping the already dynamic food delivery landscape: the emergence of outsourced delivery services.
While the official count of delivery riders in China numbers in the millions, the reality of this ever-evolving industry paints a more complex picture. The increasing demand for rapid delivery has spawned a new wave of workers, providing a crucial ‘last-mile’ service to the frontline riders.
Observations in Shenzhen reveal a growing presence of individuals, often stationed near large buildings, assisting delivery drivers with the critical final leg of the delivery process. These support workers are bridging the gap, fulfilling the demanding need for rapid and efficient service in metropolitan areas. “At least dozens of people are doing this here,” reported one observer.
A nearby witness estimated the number of individuals involved in this auxiliary service to be significantly higher, easily exceeding one hundred.
Compensation models are becoming standardized, with prices reported around 2 RMB per delivery.
This supplemental income stream can be lucrative. Reports indicate that individuals can earn multiple times their single-delivery compensation during peak hours. What may seem like a modest sum quickly translates into substantial daily earnings for a motivated worker, particularly for those collaborating to maximize efficiency for larger orders.
From the perspective of the primary delivery riders, this outsourced model offers several benefits. It frees up valuable time, enabling drivers to fulfill more orders and potentially avoid penalties for late deliveries. “Having someone else handle the final steps saves me time,” a rider commented, implying a correlation between performance and income.
Furthermore, this ‘last-mile’ strategy can improve customer satisfaction. “If a customer lives in a high-rise, it can take significant time to get the delivery up there, time the food could suffer,” explained one rider, suggesting the rise in outsourcing has helped combat food degradation in the delivery process. “By having someone deliver to a customer living in a high rise, the food might not go bad as quickly and can satisfy that customer’s needs.”
The trend also extends beyond the food delivery arena. Courier services, which are struggling with similar logistical challenges, are embracing this new model.
A courier explained, “If the delivery fee is 6 RMB, I give someone 2 RMB and keep 4 RMB.” This dynamic of leveraging external resources is reshaping the efficiency of many different industries.
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