Parcel Lockers: Five Things Every Retailer Should Know Ahead of the Holiday Season

Posted on Sep 7, 2017 By tpawelka Share:

Click-and-collect lockers are a competitive advantage and enhance the customer experience.

Packcity Parcel Lockers Pilot ProgramAccording to UPS, more than half of shoppers are interested in an alternate delivery location with extended hours and lower fees. In fact, 35 percent of these shoppers prefer parcel lockers. With large retailers, such as Amazon, already adding parcel locker stations as a convenient final-mile delivery option, it’s time for all retailers to consider the benefits of this click and collect solution for their customers ahead of the holiday season.

We have provided the following tips to help retailers evaluate the benefits of parcel lockers for their business and their customers just in time for the holidays.

Five key benefits of parcel lockers:

ONEParcel lockers provide a free, convenient delivery and returns process. Customers want a quick and efficient way to receive their items. With parcel lockers on-site, they can do just that in three simple steps. When an order is delivered and placed into a parcel locker, the customer receives a notification via email or SMS message with a one-time PIN code or QR code. The customer goes to the parcel locker station and enters the code. The parcel locker door opens and the customer can retrieve the order. Not only is this system convenient for customers, but it allows a complete chain of custody – an added security for retailers.

The returns process is just as easy. Customers simply drop off their returns at a parcel locker station rather than mailing through a carrier or standing in line at the service desk. They place the return label on their parcel, scan the label at the parcel locker station and place the parcel in the locker that opens. Once secured, retailers can process the returned orders at a convenient time for them.

TWOParcel lockers can be placed inside or outside your store. Parcel lockers can be placed inside a brick and mortar store or outside the storefront to not only offer an additional delivery method to customers, but to also increase in-store traffic. But it isn't just the retailers who are satisfied with more in-store foot traffic, customers also enjoy the added benefit of walking through the store to see what's new. And with outdoor, weather-resistant parcel lockers, customers can pick up their orders 24/7 for instant customer satisfaction and convenience.

THREEParcel lockers can be customized with your brand and a configuration that works for you. Extend your branding to your parcel lockers by incorporating your logo and color palette to match the store's interior and exterior appearance. This will not only strengthen your brand, but will direct customers to the parcel lockers. Retailers can also configure the parcel locker station to include lockers in a variety of sizes so every customer order will fit into this easy click and collect system.

FOURParcel lockers reduce shipping costs. As final-mile delivery costs continue to grow and customers expect fast, free shipping, parcel lockers allow retailers to offer a free final-mile delivery option to their customers. The retailers themselves also save on shipping costs. Instead of shipping hundreds or thousands of small orders to residences, retailers can use their own transportation to ship bulk orders to the brick and mortar store for placement into the parcel lockers.

FIVEParcel lockers offer robust reporting capabilities. Parcel lockers offer reports and metrics on a number of key performance indicators, including occupancy, turnover, pickup times, parcel size and more. This enables retailers to determine their return on investment as well as the need for additional parcel locker stations on site.

“With Amazon introducing parcel lockers as another convenient delivery method for its customers, all retailers should also be aware of how this click and collect solution can benefit their customers,” said Gaven Rolfe, Western Regional Territory Manager of Packcity and ProShip. “By using parcel lockers as another delivery option this holiday season, customer satisfaction, and thus customer loyalty, increases. With growing customer demand for fast, free delivery, retailers of all sizes can benefit from this convenient final-mile delivery solution.”

Download the 2017 BOPUS Customer Experience White Paper: Parcel Lockers

View the original press release on Business Wire.

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