As the e-commerce market grows exponentially, companies are offering an ever-increasing number of delivery options to attract customers. Following this trend, speedy deliveries are now a customer expectation service rather than a perk, as identified by the Retail Industry Leaders Association (RILA). It is thus crucial for e-commerce companies to offer delivery services that add value to their customers to stay competitive in this crowded space. One delivery option that business owners often overlook is parcel pick-up.
In essence, parcel pick-up involves allowing customers to choose a location near them to receive their order from a list of choices. Once their package is ready, they can self-collect the items from the designated collection point. In the day and age where doorstep delivery is the standard mode of operation, this delivery option can appear counterintuitive, and you may wonder: how does parcel self-collection benefit me? In this article, DHL Express explores why parcel self-collection is a vital addition to your company’s list of delivery options.
1. Parcel self-collection is quick and flexible
Unlike companies with fixed operating hours, customers’ schedules can vary greatly from day to day. By offering parcel pick-up as one of your delivery options, you give your consumers the freedom to choose a location and time that works best for them. Not only does this relieve shoppers from the hassle of setting aside time to wait for their package, but working around your customers’ routines enables them to receive their packages quicker. Such an arrangement can help your e-commerce business reach out to individuals with unpredictable schedules who find it easier to retrieve their parcels on their own. More importantly, the flexibility afforded by parcel self-collection enhances the customer experience, potentially leading to a business revenue increase of 2 to 7%, as found by McKinsey & Company.
2. Lower delivery charges for parcel pick-up
When customers are allowed to self-collect their parcels, it eliminates the need for e-commerce businesses to arrange individual deliveries to unique locations. Instead, multiple packages from different customers can be dropped off at a single, designated collection point, significantly reducing the fuel and manpower costs associated with last-mile logistics. This, in turn, translates to cost savings that firms can pass on to consumers in the form of lower delivery charges. Meanwhile, having a cheaper delivery alternative enables your company to attract cost-conscious shoppers – securing a win for businesses and customers alike.
3. Parcel self-collection is discreet
While online purchases may not always involve sensitive products, there are various reasons why a customer may prefer discreet delivery options. Consider, for example, the scenario where customers purchase surprise gifts for their partners. In such cases, home deliveries can ruin the surprise, whereas enabling parcel self-collection provides the necessary assurance that packages will not be sent to their doorsteps. This can elevate the shopping experience of individuals who value privacy and improve your brand’s relationship with them, enabling your firm to increase brand goodwill in the long run.
4. Pick up option is eco-friendly
A growing number of customers are prioritizing environmental sustainability. Based on the Social Media Trends Report for 2023, as much as 82% of shoppers expect firms to place sustainable practices at the forefront above profit. Given this trend of sustainability, offering self-collection as a delivery alternative can improve your brand reputation. By having a parcel pick-up option, the number of courier vehicles on the road and the resulting carbon emissions can be significantly reduced. Through this, you demonstrate your firm’s commitment to green practices, which will help you earn customer trust and appreciation, enabling your brand to appeal to eco-minded customers who care about reducing their carbon footprint and supporting responsible companies.
Stay a step ahead with DHL Express’s parcel pick-up services
¹ Statista. 21 December 2023
² Retail Industry Leaders Association
³ McKinsey & Company. November
⁴ Prolific North. 25 October 2022