Why A Decentralised Delivery Network Is The Future Of The Delivery Gig Economy

by | Nov 24, 2021

In this blog post we’ll be exploring the benefits of a Decentralised Delivery Network (DDN) and providing an example of how it can be used – MOBIX Family.

Over the last few years, ‘decentralisation’ has become quite the buzzword… but this isn’t particularly surprising, given that cryptocurrency is currently disrupting and decentralising the finance sector. The centralised systems, inefficient or not, that previously dominated finance have practically found themselves obsolete as DeFi (Decentralised Finance) and DAOs (Decentralised Autonomous Organisations) are revolutionising the industry. Meanwhile, the very beginnings of similar revolutions can be seen across numerous other industries- energy, logistics, advertising and delivery services.

Classic centralised delivery services, such as mail and takeaway deliveries, have already been disrupted by the – still centralised, but – burgeoning gig economy (by companies such as UberEats and Getir). However, the problem with these platform-based services is that they are centralised. Individuals wishing to use these centralised services are forced to adhere to the limitations that the company providing the service dictates, be that economical, environmental or otherwise. These limitations have aroused some opposition, mainly on the side of the gig economy workers. So, what are the exact benefits of a decentralised delivery network and why?

Benefits

  • Using a DAO is more efficient- both time-wise and environmentally. Instead of products and parcels having to be shuttled to a central sorting depot, they are picked up and instantly shuttled to their intended destination.
    • This also helps solve inefficiency issues surrounding last mile fulfilment of goods. Instead of a dedicated delivery driver, anyone can deliver goods through a DAO.
  • By cutting out a centralised (platform) company, with the associated overheads and profit margins, decentralised delivery will be cheaper… yet more moral, as more profit will actually be seen by the individual who is acting as the delivery agent.
    • One of the issues with the gig economy is that it has been noted that gig workers are being abused by the economics of the system. With a DAO, they can set their own prices by cutting out the company that is gatekeeping access to their service.
  • DAOs will be more transparent than centralised companies, so if any issues arise then the user will be able to action their concerns… instead of having to deal with opaque customer service and Byzantian terms of service.
  • A DAO will protect the privacy of its users; there is no app that will be hoovering up your data.

Potential Drawbacks

  • Without centralised control over a process, there is the possibility that something will go wrong. A parcel can go undelivered or your ride somewhere can not turn up. However, it should be worth noting that problems occur even with centralised companies possessing control over a service. Afterall- as noted above- we’ve all had a problem with a delivery and then had an absolute nightmare with the inefficient customer support of a company such as DPD!
    • This can be resolved through an in-built resolution service, refunding DAO users in the event of a mishap occurring.
    • Additionally, the system can be built to incorporate trust. Individuals wishing to use the decentralised delivery method can check the history of the delivery agents that state they are available to deliver your goods.

A Picture of the Future – MOBIX Family

You wake up one morning and see that you have made a sale through your online business. You notice that the delivery location is actually not too far away. Instead of going through the rigmarole of posting the parcel through a legacy, centralised, delivery provider (such as Hermes) you instead decide to see if decentralised delivery networks can get your product to the consumer faster. Utilising an app such as MOBIX Wallet, your Fetch.ai powered AEA begins the process of reaching out to delivery providers in your area and, within a few moments, you have a list of delivery agents who are available to take on your job. You pick one with an excellent delivery history and schedule a pickup. The delivery agent comes to your door and then picks up your parcel.

As you’re still at home, you realise that you need to go out… but instead of calling a taxi or loading up Uber, you once again decide to use a DAO. You enter your destination and pickup and your AEA once again puts together a list of available providers for you. You pick one and, a scant few minutes later, the driver pulls up outside and you set off. While in the car, you receive a notification that your parcel has been delivered via the delivery DAO. You later receive a glowing review due to the Amazon-style same day delivery that your business has provided.

Both services have cost you far less than the amount you’d have spent by using a centralised company. This is because you were contracting individuals who were paid through their respective DAO agreements. Life in the decentralised future is efficient, economical and privacy forward!

In closing

If you’re a keen reader of MOBIX news then you’ll likely be aware that MOBIX is expanding its product offering to include MOBIX Family. MOBIX Family is a Decentralised Delivery Network (DDN) that will use the technology underpinning MOBIX’s existing micromobility product. The unique benefit MOBIX Family offers is its eco-friendliness: delivery workers will be incentivised to use zero emission vehicles for their work, and users will be incentivised if they choose the eco-friendly delivery option! Find out more about MOBIX Family in MOBIX CEO Michael Reuter’s blog post here. Also, keep checking back here for news about this exciting product offering and sign up to our socials TwitterFacebook and Telegram!

If you work in the delivery gig economy, you might be intetested in joining MOBIX Family!