48% of U.S. Delivery Drivers Are Required to Use Their Own Device, but Only 44% Are Compensated

| March 28, 2023

Delivery firms missing opportunity to automate common delivery operations tasks, negatively impacting an already struggling industry

According to new research from Scandit, the leader in smart data capture, 90% of drivers are irritated by a lack of functionality in the device they use for operational delivery tasks. Whether they use a dedicated scanning device or a smartphone, over a third (31%) wish they could scan more than one code at a time, 27% struggle with scanning damaged barcodes and 23% have difficulty scanning in low-light conditions.

The report, Global Delivery Insight- Driver Technology in the Last Mile, surveyed over 1,200 delivery drivers from 11 countries worldwide, 30% in the gig economy, 23% on short-term contracts and 47% employed by last mile delivery firms. Among those surveyed, smartphones are the most used operational device with 82% of drivers using them for post and parcel delivery. Regardless of which device drivers use, many are not equipped to access the full potential of their technology, with 43% of respondents only using them for two or fewer operational tasks. 

Earlier Scandit research revealed that the majority of delivery drivers are under pressure, with 66% stating they are expected to work faster and 71% reporting that the volume of deliveries has increased in the last five years. Delivery companies are missing an opportunity to improve efficiency and solve drivers’ biggest complaints. By adding smart data capture to smartphones which all drivers likely have, companies could easily offer improved scanning and increased functionality to frustrated drivers, without the need for the complex and expensive provision of multiple devices.

Samuel Mueller, CEO and co-founder of Scandit, said: “It is imperative that drivers can tap into intuitive tools which ease operational pressures, assisting them in dealing with rising delivery volumes and the wider range of tasks requested of them on a day-to-day basis. For business leaders, activating a wider range of functionality into a pre-existing smart device makes sense, not only resolving some of the challenges their workforce faces, but also increasing productivity and supporting scalable services such as peak season. The last mile is always the hardest, but it’s essential to get it right as effective delivery fulfillment is key to delivering high customer satisfaction.”

Flexible tools for flexible work

The global delivery industry relies on a flexible workforce, with 51% of those Scandit surveyed working in the gig economy, and 36% of all drivers bringing their own device to work (BYOD). As might be expected, more gig workers use their own smartphone than those on a fixed contract (46% vs 31%) and more contracted employees are issued a device by their employers (49% vs 38% of gig workers). 

In the United States, nearly half (48%) of delivery drivers are using their own smartphone for operational delivery tasks, regardless of whether they’re full time or gig workers. This not only adds a burden of cost to the employee (affecting recruitment and retention), but it also means that companies are missing an opportunity to standardize devices and therefore customer service, and improve the efficiency of operations with a smart data capture strategy. 

Making the most of devices

Whether using a dedicated scanning device or a smart device, the most common task for drivers (44%) is to provide proof of delivery. When comparing activity between dedicated device and smart device users, those with a smart device capitalize more on built-in functionality when communicating with customers (46% of smart device users vs 31% of dedicated device users), accessing navigation and route guidance (45% vs 34%) and providing age or ID verification services at the door (33% vs 32%). 

However, despite 66% of workers reporting an increase in new activities to their workloads in the last five years, such as deliveries to pick-up drop-off (PUDO) points, payment on receipt or age verification, the majority of drivers surveyed are not using their devices for common operational tasks. Even among smart device users where potential functionality is broader, 67% are not yet enabled by their employers to use their phones for age verification, and 73% and 75% respectively can’t use smart devices to find packages or load their vans. This functionality can be provided via leading smart data capture solutions, which can use augmented reality to guide workers through processes. 

Using a company-owned, personally enabled (COPE) system, a smartphone can increase worker satisfaction. With a software based approach, a broad range of functionality can be enabled to address different operational demands, and boost retention when provided for personal employee use too. 

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