Same-day delivery is an elusive and expensive, yet appealing concept, that appears to be the next big battleground in e-commerce. Need a last-minute gift for the evening’s birthday party? Hanukah passing you by? No need to stop at the mall – just try one of the many competing services profiled by the San Francisco Chronicle and have the item delivered to your office before you leave.
The appeal is obvious, but the profitable model is not. After all, same-day delivery using current logistics models (trucks, delivery drivers) requires a nearby warehouse stocked and/or local retailers with the items, plus trucks and staffing levels sufficient to handle surges in demand (Christmas), and the corresponding dips (um, say, March) without going bankrupt.
Why it Will Work
So long as the FAA sets regulations in a timely manner, this seems to us like a feasible concept, at least for smaller items. Cheap self-piloting drones dropping boxes at GPS locations or street addresses is barely more risky than delivery drivers leaving boxes on doorsteps.
Drone deliveries – far-fetched fiction or a looming logistics model? Tweet us your opinion @FindLawLP.
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