The delivery industry is changing with ever-shrinking margins putting pressure on delivery companies to save costs while providing a better service. A major costs companies have to face is failed deliveries, with the industry making strides to ensure that consumers know when to expect their deliveries and are ready to receive them.
According to IMRG (Internet Marketing and Retail Group), 50% of households are absent during working hours and have no safe place for deliveries, with 25% of consumer deliveries arriving without an answer. The introduction of lockers is significantly helping to reduce the large number of failed deliveries. Statistics show that 97.8% of customers are satisfied with eCommerce delivery in the UK and 97% of them would use a locker again.
In a study of 28,892 regular e-commerce shoppers, across 26 countries, it has been shown that the delivery preference to use lockers has increased 2 fold in the last year. Lockers, for example, in Asda, Westfield, and public shopping areas, can also attract customers increasing footfall in stores. Another advantage is making it easier for online retailers to improve shopper’s experience and increase their sales.
For the delivery companies, this technology requires integration so that deliveries can be made and codes provided to the correct customer. It is also important that the delivery company knows how many lockers are available and when an item has been collected, acting as a new POD (Proof of Delivery). For customers, the drop-off process is simple and easily completed by entering a delivery code and picking up packages.
Lockers are offering a safe way for customers to get their packages without an address or any personal information being required. Lockers also provide greater flexibility in terms of delivery times and locations can save consumers time that would otherwise be spent waiting for deliveries. For couriers, 28% of the total delivery cost coming from last-mile delivery is saved by lockers. For instance, the cost of global parcel delivery is about £62 billion while China, Germany, and U.S.A amounts more than 40% of the entire market. E-commerce shifts from B2B to B2C, so the locker is needed for B2C segment.
At Metafour we are excited to see how this trend continues and what benefits the industry will see. We are always striving to improve our product and integrations to help make delivery easier.