Dive Brief:

• UPS is exploring the feasibility of electronic bike deliveries in Portland, OR, according to Treehugger.
• The company currently uses traditional bicycles during peak times, but rolled out the eBike last month. The eBikes run on batteries and pedal power.
• UPS will count on lessons learned from its souped up trike delivery program in 2012 in Hamburg, Germany. It could also look to Amazon's bike program, which ended this summer.

Dive Insight:

eBike delivery, if it catches on, can satisfy a couple of issues for the supply chain.

First, the bikes can help with that crucial last mile, can often avoid traffic snarls and are more conducive to all types of terrain. Drones are also in the mix to solve this problem, but e-bikes would not have the regulatory hold ups that drones are facing.

Conducting the test in Portland offers the company the opportunity for immediate comparison to its current bike delivery program. And the green-leaning Portland community is conducive to UPS' stated goal of reducing carbon emissions. UPS is also tapping into a customer base that is willing to pay more for environmentally friendly products and services.