Organizations operating on a similar model connect independent contractors with delivery opportunities using a technology platform. These entities facilitate the transport of goods, often packages or food, from a central point, such as a warehouse or restaurant, directly to the end customer. This approach offers a flexible alternative to traditional employment for individuals seeking income opportunities.
The significance of this operational structure lies in its ability to address fluctuating demand effectively while minimizing overhead costs. Businesses can scale their delivery capacity quickly without the burdens of employing a large in-house delivery staff. This model emerged in response to the increased need for efficient last-mile delivery driven by the growth of e-commerce and the on-demand economy.