The Hague

The Hague

Integrated last-mile logistics with demand-supply matching platforms

Objectives

The value case of The Hague will explore the creation and operation of a sustainable inner-city, open platform based logistics service which (a) internalises local retailers and wholesalers as local warehouses, (b) allows instant (2h) or same-day delivery, and (c) connects customers and suppliers of local products and services in crowd-sourcing platforms. The trial for short distance shipping within the CID will explore two contrasting approaches:

  1. A major incumbent service provider with a strong track record in sustainable urban transport (DHL) which extends its services in a long-distance network (based on hub and spoke networks) to the short distance (direct shipping) using a new and dedicated, inner city platform and,
  2. A new SME platform (Nimber) which was recently launched in Norway and currently operates on the basis of crowd-shipping principles.The setting of the city is the Central Innovation District (CID), the triangle shaped business district, which employs about 100,000, and is located between the three current main train stations of the city. Brownfield urban renovation and greenfield urban development is planned, with the ambition to give room to the innovative development of entrepreneurial, socially inclusive settlements and new forms of sustainable urban mobility, including freight transport. Experimentation with new forms of freight distribution services fits very well into this context. In particular, the municipality wishes to support business models that enhance social cohesiveness, such as crowd-shipping. Also, the municipality wants to be able to better understand and anticipate the social impacts of new logistics service platforms. The experimentation will be guided by a Digital Twin of the city, which will help to assess the impact of new services from the perspective of different stakeholders to interpret the outcomes of trials in the city and explore most promising and viable next steps in the development of services.

 

LEAD Strategies to be explored

  • Crowdshipping
  • Local retailers/wholesalers as local warehouses
  • Electric cargo bikes
  • Demand-supply matching platform.

 

Ambition

The LL will explore:

  1. The potential of integrating crowdsourcing in last mile urban deliveries,
  2. Whether crowdsourced delivery is an answer to the growing expectations of customers for a faster, more personalised and cost-efficient delivery service,
  3. Business models, challenges and success factors for new players in the industry,
  4. New digital service platforms with algorithms that allow the interconnection of crowdsourcing services.