As the global focus on sustainability intensifies, businesses in Thailand must recognise the increasing importance of leveraging the sustainability trend in e-commerce logistics. However, by adopting green practices, businesses can reap numerous benefits while meeting regulatory requirements and consumer demand for eco-friendly solutions. This further emphasises the need for sustainable logistics and supply chain management strategies.
Understanding the importance of sustainability in e-commerce logistics
Traditional logistics practices have a significant environmental impact, contributing to greenhouse gas emissions and other negative effects on the environment. By adopting sustainable practices in e-commerce logistics, businesses stand to gain in areas such as reducing their carbon footprint, minimising waste generation, and enhancing their brand reputation as environmentally responsible organisations.
In Thailand, the regulatory landscape is evolving to prioritise sustainability, with the government setting ambitious targets to reduce greenhouse gas emissions and implementing strategies like the Bio-Circular-Green policy initiative. Additionally, consumer demand for environmentally friendly products and services is on the rise, with Thai consumers showing a willingness to pay more for sustainable options, a report by KBank revealed. Recognising these factors, businesses can align their e-commerce logistics strategies with sustainability principles to meet regulatory requirements, fulfil consumer expectations, and contribute to a greener future.
1. Implementing green packaging solutions
Packaging waste is a major environmental concern in e-commerce logistics as it often ends up in landfills to pollute our land, water, and air. Fortunately, when it comes to implementing green packaging solutions in e-commerce logistics, businesses have a range of eco-friendly materials and alternatives to choose from.
These options include recycled packaging, compostable materials, corrugated packaging, cellulose packaging, cornstarch packaging, paper bubble wrap, paper tape, and biodegradable foam chips.
By incorporating these sustainable packaging materials into their operations, businesses can significantly reduce the negative environmental impact of packaging waste.
To further optimise packaging for sustainability in e-commerce logistics, both small and large e-commerce businesses can adopt strategies such as using raw materials or 100% recycled materials, minimising the production process and supply chain, and actively promoting a circular economy around packaging.
These practices extend the life cycle and usability of packaging materials, contributing to a more sustainable and environmentally friendly approach to e-commerce packaging.
2. Optimising last-mile delivery for sustainability
Optimising last-mile delivery for sustainability is a key focus for businesses aiming to reduce their environmental impact as trends in last-mile delivery begin to change. However, last-mile delivery poses challenges in terms of emissions and efficiency, especially with emissions from traditional vehicles contributing to air pollution and carbon emissions.
To reduce environmental impacts, e-commerce businesses can employ various strategies. DHL Express, for example, has committed to achieving net-zero emissions by 2050. To do so, we’ve set aims to electrify 60% of our last-mile delivery vehicles and increase the use of sustainable fuel in line-haul operations to over 30% by 2030. We also made pioneering efforts in aviation by ordering 12 fully electric Alice eCargo planes, marking a significant milestone in the industry.
Additionally, DHL Express promotes the use of Sustainable Aviation Fuels (SAF) as a cleaner alternative to fossil fuels, enabling commercial aeroplanes to reduce emissions.
Innovative practices such as electric vehicles, bicycle couriers, and crowdshipping can also be adopted. For instance, we’re increasingly switching our last-mile delivery service to using electric vehicles, and in Germany, 28,500 bicycles were used for zero-emission last-mile delivery. These sustainability-driven initiatives in last-mile delivery contribute to a greener and more environmentally conscious logistics landscape. By adopting similar strategies, businesses can reduce emissions, improve efficiency, and contribute to a more sustainable future.
3. Leveraging technology for sustainable supply chain management
Technology plays a vital role in tracking and optimising supply chain sustainability. Real-time tracking, data analytics, and AI-powered solutions provide businesses with valuable insights to improve efficiency and reduce environmental impacts.
For instance, our route optimisation technology utilises smart artificial intelligence algorithms to calculate delivery routes based on actual road conditions. This optimisation reduces carbon emissions and maximises drivers' productivity, ultimately enhancing our sustainable logistics practices.
4. Collaboration and partnerships for sustainable logistics
Collaboration and partnerships play a crucial role in achieving sustainable logistics in e-commerce. By collaborating with suppliers, logistics providers, and local communities, eco-conscious businesses such as textile exporters interested in boosting sustainability can collectively work towards improving sustainability in their operations.
One effective strategy is to establish partnerships with third-party logistics (3PL) fulfilment centres that have a proven track record of implementing green logistics practices, such as DHL Express. These 3PL providers have the expertise to handle various processes like procurement, warehouse management, transportation, distribution, and customs brokerage.
We not only offer comprehensive logistics services but also employ green optimisation strategies. Through efficient building and network management, as well as implementing measures to minimise environmental impact, DHL Express has successfully reduced carbon emissions. By outsourcing to such 3PL providers, businesses can benefit from their expertise in sustainable practices and contribute to the overall sustainability of e-commerce logistics.
