In the race to meet rising consumer expectations, speed has become the ultimate currency.
Over the past few years, delivery times have shrunk from days to hours and now, in some cases, to mere minutes. With customers demanding faster, more reliable delivery services, the last-mile logistics industry is undergoing a notable shift. What was once a ‘nice-to-have' has become a ‘must-have’ for customer satisfaction and loyalty.
In the past, customers were satisfied with a five-day delivery window. Then along came Amazon Prime, and next-day shipping became the norm. Now, with players like Uber Eats, DoorDash, and Instacart delivering groceries and meals in under an hour, the expectation for immediacy is redefining the eCommerce landscape.
Enter: the ultra-fast delivery revolution, a phenomenon that’s reshaping industries beyond food delivery changing how retail, healthcare, and more need to fulfil customer expectations.
According to a recent US study by Kibocommerce, 63% of online shoppers cite delivery speed as a key driver of choice when choosing where to shop. Although not the only component shaping decisions – some shoppers value sustainability, product availability or shipping cost over speed - for younger consumers, particularly Gen Z and Millennials, ultra-fast delivery isn’t just a perk, it’s a basic expectation.

Enabling a brand's ability to deliver within hours and days are several transformative trends and innovations that support the ability for brands to deliver on the promise of “ultra-fast” delivery for consumers”, with logistics technology, micro-warehousing, drone deliveries, and quick-commerce platforms all helping to re-shape the landscape and make ultra-fast delivery possible.
These innovations are solving one of the most challenging problems in the supply chain: the last mile. This final stretch of delivery accounts for up to 53% of total shipping costs (up from 41% in 2018), making it a critical issue for businesses to grapple with to be able to provide low or zero cost fast delivery for the end customer whilst maintaining profitability.

The rise of the micro-warehouse
Traditional fulfilment models rely on large, centralised distribution centres, located far from urban centres, optimised for cost-efficiency rather than speed. However, the rise of micro-warehousing is changing the delivery game. By strategically placing smaller warehouses in or near densely populated areas, companies can reduce delivery times and costs dramatically.
For instance, companies like Gorillas and Getir have built their business models around micro-warehousing. By stocking essentials in local hubs, they’re able to promise delivery within 10 to 15 minutes. Retail giants like Walmart and Amazon are also investing heavily in this space, with Walmart converting existing stores to double as fulfilment centres.

In Australia, local retailers are beginning to experiment with similar models. For example, Coles has piloted urban fulfilment centres that integrate with its online shopping platform, resulting in faster deliveries and happier customers. Woolworths are exploring similar strategies, including ‘dark store' designed exclusively for online order fulfilment.
For digital-first brands, partnering with local third-party micro-warehousing providers like Couriers & Freight or StarTrack allows them to scale operations without the need for significant capital investment. The strategy isn’t just about speed – it’s about flexibility, enabling brands to pivot quickly based on demand fluctuations, seasonal trends, or geographic expansion.
Drones: a sign we are really living in the future
Once reserved as a futuristic concept, one development in ultra-fast delivery is the integration of drones into the logistics strategy. Drones offer an unparalleled solution to the congestion and inefficiency of traditional road-based delivery systems, especially as our cities become more and more densely populated. By taking to the skies, they can bypass traffic, reduce carbon emissions, and deliver goods within minutes.
Amazon completed its first drone delivery in England back in 2016, taking just 13 minutes to make the unmanned delivery. Fast forward to 2023, and Amazon’s Prime Air service and Alphabet’s Wing program is making significant strides in drone delivery, testing new markets and refining their technology. In Australia, Wing has partnered with local retailers to deliver items ranging from coffee to pharmaceuticals. While regulatory hurdles remain – such as airspace management and safety compliance – the potential for drones to revolutionise last-mile delivery is undeniable. In 2025, we’re likely to see more widespread adoption of drones, particularly as these regulatory hurdles are cleared.

Australian businesses have a unique opportunity to lead in this space, with vast rural areas and sprawling urban centers. Drones could bridge the gap between regional and metropolitan logistics, ensuring that no customer is too far away to benefit from ultra-fast delivery.
Quick-commerce players redefining the industry
The rise of quick-commerce platforms like Uber Eats, Deliveroo, and Getir has fundamentally altered how consumers think about delivery. These platforms operate on a promise of near-instant gratification, often delivering within 10 to 30 minutes. While initially focused on food delivery, these players are rapidly expanding into broader retail categories such as groceries, pharmaceuticals, and even fashion. Uber Eats, for example, has partnered with retailers like Woolworths to offer near-instant delivery of everyday essentials.

Quick-commerce thrives on the combination of micro-warehousing and gig economy labour. Riders and drivers equipped with app-based navigation tools ensure maximum efficiency, while real-time inventory tracking prevents delays caused by stock discrepancies. For consumers, the appeal lies in convenience – forgotten ingredients for dinner, a last-minute birthday gift, or essential medications are just a tap away.
According to Statista, the Quick Commerce market in Australia is projected to grow by 6.48% (2025-2029) resulting in a market volume of US$1.62bn in 2029, showing that the demand for ultra-fast delivery is becoming more and more commonplace among Aussie consumers. And whilst several players have bowed out due to costs to scale, e.g. Voly and some global entrants exited the market due to high servicing costs e.g. Deliveroo – quick commerce is here to stay as players like Uber Eats see it as a critical part of their broader strategy.
The technology powering the revolution
None of this would be possible without advances in logistics technology underpinning ultra-fast delivery systems. AI and machine learning play key roles in demand forecasting, optimising delivery routes, and managing inventory. For example, AI-powered demand forecasting helps businesses anticipate peak times and allocate resources effectively.
Robotic process automation (RPA) is also playing a pivotal role and is being increasingly used in micro-warehouses, automating tasks such as sorting, packing, and inventory replenishment to speed up fulfilment. Autonomous vehicles, including drones and delivery bots, are beginning to hit the roads. UberEats has been offering autonomous deliveries in LA since 2022, with plans to expand across more US cities. Together, these technologies form a cohesive ecosystem that makes ultra-fast delivery not just possible but scalable.

Additionally, the use of real-time tracking and communication tools enhances transparency for consumers. Dynamic routing software ensures that delivery drivers take the fastest, most efficient paths. Meanwhile, IoT-enabled tracking systems provide customers with live updates, enhancing transparency and trust. With the click of a button, customers can track their delivery’s progress, receive notifications about delays, and even reschedule drop-offs. This level of visibility not only improves customer satisfaction but also builds trust – a critical factor in brand loyalty.
Instant gratification as a service
As ultra-fast delivery becomes more accessible, consumer expectations are shifting accordingly. Convenience is no longer a luxury but an expectation, particularly among younger demographics accustomed to instant access in all aspects of life, from streaming services to ride-sharing.
This demand for immediacy has also heightened competition among retailers, with delivery speed becoming a key differentiator. In fact, recent surveys suggest that over 60% of consumers are willing to switch brands for faster delivery options, which means a lot of smaller retailers are losing out to the big dogs such as Amazon who have a more solid delivery infrastructure in place. For businesses, the message is clear: fail to deliver quickly, and risk losing customers.
However, speed alone isn’t enough. Sustainability has emerged as a parallel priority for many consumers, prompting companies to balance ultra-fast delivery with eco-conscious practices. Innovations such as electric vehicles, drones, and optimised delivery routes are critical in addressing this dual demand to strike a balance between speed and environmental impact.
What it means for Australian brands
For Australian retailers, embracing the ultra-fast delivery revolution requires a strategic approach.
While urban centres like Sydney and Melbourne benefit from quick-commerce models, the country’s unique geography and dispersed population present challenges for scaling these operations nationwide.
Collaboration with third-party logistics providers (3PLs) and technology partners can help bridge these gaps. Australian brands must also focus on understanding their audience, identifying where speed adds the most value and prioritise delivering on that speed profitably instead of attempting to deliver everything now. To do this, brands need to invest in the right infrastructure to meet those needs.
As delivery speed becomes a make-or-break factor for customer satisfaction, the opportunity lies not just in keeping up but in leading the charge – innovating new solutions that align with local market conditions while considering what global trends and growing demand mean for your future strategy.
The ultra-fast delivery revolution is more than a trend; it’s a fundamental shift in how consumers engage with brands. By embracing technologies like micro-warehousing, drones, and AI-driven logistics, businesses can not only meet but exceed the growing demand for instant gratification.
As we move into 2025, the brands that succeed will be those that see ultra-fast delivery not as a challenge but as an opportunity to deepen customer relationships, drive loyalty, and set a new standard for convenience in an increasingly impatient world. For Australian retailers, the time to act is now – because in the world of ultra-fast delivery, every second counts.

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