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Delivery fleets turning to EVs as consumers look to reduce eco impact

Changing consumer sentiment on home deliveries is contributing to a surge in delivery fleet owners turning to EVs.

Delivery firms such as DPD have made firm commitments on EVs

Research carried out by EV charge point technology company EO has found that online orders for home delivery have shot up by 35% since the start of the pandemic.

But in tandem with this, consumers are becoming more aware of the environmental impact of their home deliveries, with half (50%) saying they have become more conscious of it since the start of the pandemic.

Already, over half (57%) of respondents say they currently take measures to consider the environmental impact of their online shopping, such as grouping deliveries or only using vendors that use recyclable packaging.

However, 73% say they would prefer to buy from companies that deliver items in an environmentally friendly manner and 72% would be likely to use a green delivery option if one was available on the online shopping websites they use. Half (51%) would even be willing to pay an additional charge for a delivery that was environmentally friendly.

Driven also by the Government’s plans to phase out new petrol/diesel cars and vans from 2030, EO also identified a big spike in orders from delivery companies pushing forward with fleet electrification plans. Its analysis of the UK’s preferred parcel delivery companies suggests that seven out of eight of them have already made commitments to integrate EVs into their fleets or have already started trialling them. And several grocers have also made commitments in the EV space, as well as other initiatives such as ‘green delivery slots’ operated by Sainsbury’s and Morrisons.

EO also said its record revenue growth in 2020 was fuelled by some major contract wins with global logistics and delivery companies in the UK and overseas.

The business strategy has focused on business fleets rather than consumer vehicles and whose clients include Ocado, Sainsbury’s and DHL, experienced record revenue growth in 2020 fuelled by some major contract wins with global logistics and delivery companies in the UK and overseas.

Charlie Jardine, CEO and founder of EO, commented: “The environmental challenge of home deliveries is significant but it’s one that a lot of large delivery fleet owners are taking seriously. As a business we have seen our revenues more than treble in each of the past three years but demand has visibly surged in the past 12 months and a big part of that is due to delivery companies.”

Jardine added: “Many of these businesses have been planning for a switch to electric vehicle fleets for some time, but the governmental commitment and support to the EV sector has really super-charged these plans. The level of interest in implementing EV infrastructure is going up and up and it is helping us to continue our fast growth trajectory.”

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Written by Natalie Middleton

Natalie has worked as a fleet journalist for nearly 20 years, previously as assistant editor on the former Company Car magazine before joining Fleet World in 2006. Prior to this, she worked on a range of B2B titles, including Insurance Age and Insurance Day.

Natalie edits all the Fleet World websites and newsletters, and loves to hear about any latest industry news.

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