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Autonomous last mile: digital delivery of the future

24 November 2025

Introducing the revolution of last-mile direct-to-customer deliveries.

Autonomous last-mile delivery is emerging as a disruptive force in retail fulfilment, reshaping how goods move straight to consumers’ doors. The drivers behind this shift are clear: relentless cost pressures, sustainability commitments, and the growing expectation for immediacy in online shopping. For years, retailers have focused on automating upstream processes in warehousing, inventory management, and order picking but the last mile has remained labour-intensive, costly, and operationally complex. Now, technology is closing that gap.

Recent partnerships in quick-commerce grocery highlight the pace of change. RIVR’s collaboration for their four-legged robotic-dog delivery robot with Migros Online introduces autonomous delivery of grocery orders from Migros’ Regensdorf store in Zurich direct to customer’s home. The robot can navigate dense urban environments utilising road, stairways and pathways seamlessly to get to the destination. These vehicles are designed to reduce reliance on human delivery contractors and will cut emissions through electric propulsion while delivering faster, more predictable service windows. The strategic benefits are compelling; a lower cost-to-serve, improved sustainability credentials, and enhanced customer experience.

The same technology has also been applied to Quick Service Restaurant (QSR) delivery through a separate partnership with Just Eat Takeaway. The delivery robot combines wheels with four legs to navigate small streets, curbs and stairs which are vital for its operation within European cities, outperforming the earlier generation of delivery robots. A top speed of 15 km/h (9 mph) and the capability to operate in wind, rain, snow and heat provide an advantage against human couriers which typically see costs increase and supply of drivers decrease with unfavourable weather conditions. This starts provide a significant commercial advantage for this technology as customers orders typically spike in the same conditions, allowing the retailer or restaurant to maintain a cost-to-serve but with increased order volume.

The benefits for retail leaders are profound. Autonomous delivery is not simply a technology upgrade; it represents a structural shift in the economics of last-mile fulfilment. Labour accounts for up to half of last-mile costs, and in markets where wages are rising and availability is tightening, automation offers a sustainable alternative. Electric autonomous fleets also align with net-zero commitments, reducing emissions and supporting ESG objectives. From a customer perspective, the ability to guarantee rapid, reliable delivery enhances loyalty and underpins the growth of online channels, particularly in grocery and takeaway food deliveries.

The impact on quick commerce will be transformative. This sector, built on the promise of delivery in minutes, has struggled to reconcile ultra-fast service with profitability. High labour intensity and fragmented urban networks have kept costs stubbornly high. To overcome barriers of driver supply in poor weather conditions driver cost incentives are applied, reducing profitability in times of peak demand. All damaging the economics of the growing Online channel. Autonomous fleets change that equation. By removing human dependency and leveraging AI for route optimisation, quick commerce operators can achieve sustainable economics while maintaining speed. The ability to deploy robotic dogs in dense city centres or autonomous vehicles for short-radius drops creates a model where scale no longer amplifies cost but drives efficiency. For investors and operators in this space, autonomy could be the catalyst that turns quick commerce from a tight-margins proposition into a winning long-term market.

However, adoption will not be frictionless. Regulatory frameworks for autonomous vehicles remain fragmented, with significant variation across markets. For the new technology consumer trust must be earned through consistent performance, creating a sense of security and clear communication from retailers and restaurateurs. Integration with existing systems within the industry such as order management, customer interfaces, and payment platforms will require further investment and operational redesign. Scaling beyond pilot programs demands capital and a willingness to rethink delivery models from the ground up.

Despite these challenges, the trajectory is clear. Autonomous delivery will not replace human couriers overnight, but hybrid models combining robotics, AI, and human oversight are inevitable in the near term. Retailers that act early will gain a competitive edge, not only in cost efficiency but also in sustainability and customer experience. The convergence of robotics, AI, and logistics is creating an end-to-end automated supply chain, from warehouse to doorstep. Those who hesitate risk being left behind as consumer expectations and economic realities accelerate the shift.

The race for the last mile has begun. For senior leaders in fulfilment, the question is no longer if autonomy will reshape delivery, but how fast and how strategically they can adapt. Those who seize the opportunity now will define the future of retail logistics.

RIVR’s autonomous robotic-dog and other last mile innovations will be on display at Manifest Vegas 2026 (February 9-11th 2026) in Las Vegas, US. The IGD’s supply chain team will be there and bringing the best of the show to life on IGD’s Retail Analysis after the event.
For more information on Manifest Vegas 2026, please follow this link here.

All images courtesy of RIVR.

James Rothwell
Head of Supply Chain

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