What is an Open Locker Network?
4 Min Read
Written by: Parcel Pending
With an open locker network, retailers and carriers can save money while still providing fast deliveries and a seamless return process for consumers around the world. In addition to resolving many of the problems associated with last–mile delivery, an open parcel locker network is a perfect fit for consumers’ busy lifestyles and schedules, reducing misdeliveries and delivery costs for both logistics providers and customers.
Parcel Pending by Quadient’s open locker network can help retailers and carriers reduce package handling costs by up to 50%, meet evolving customer expectations and, particularly for retailers, drive more traffic in-store and support omnichannel tactics with self-service parcel pick-up and returns.1
What is an Open Locker Network?
Most people are familiar with private locker networks. Typically located just inside or just outside of a retail location, a private locker network is exclusive to a particular retailer for the collection and return of their merchandise.
By contrast, an open locker network is a courier-agnostic solution that can be used for delivery, pick-ups, and returns by any retailer, courier, or recipient. Open parcel locker network hubs are typically placed in highly trafficked retail locations or publicly accessible properties such as convenience stores, public transit hubs, or parking lots.
By consolidating parcel delivery and returns to convenient, secure, open locker network locations, couriers and retailers can lower operational costs and reduce customer friction. The result? More satisfied customers, less urban congestion, and lower pollution levels.
What are the Different Types of Open Locker Networks?
Our open locker network deployment models limit upfront costs and can even provide revenue–sharing opportunities for participating retailers and carriers.
- A Shared Locker Network is a retail or publicly-accessible locker solution that makes some lockers available to other couriers or retailers and even for customer-to-customer (C2C) deliveries and returns. This decreases upfront investment costs for both the retailer and the courier. It also drives additional foot traffic for participating host locations.
- A Hybrid Locker Network is like the Shared Locker Network (with the same option for courier or retailer partnerships), but it also allows local or regional services, such as laundry drop-off and collection, to fulfill transactions through the locker system.
How Does Delivery Work with an Open Locker Network?
- The customer selects a pick-up locker compartment as their package delivery preference when shopping online.
- The order is delivered directly to the locker compartment by a carrier agent or retail employee.
- The customer receives a delivery notification via email or SMS once their order is available for pick-up.
- The customer opens their designated locker using a unique PIN or scanning a QR code.
- Once the customer collects their parcel, the locker is available for another delivery or a return.
How do Returns Work with an Open Locker Network?
- When making a return, the customer selects a locker location as their desired return method.
- The customer receives a personalized return QR code via email.
- The customer opens a locker by scanning their QR code, then places the item in the locker and closes the door.
- The customer receives a return confirmation notification to confirm receipt of the returned item.
- The courier or retailer collects any returns directly from the parcel locker system.
Open Locker Network Benefits
With the massive increase in online shopping and returns, and evolving customer expectations for lightning-fast delivery and processing times, providing 24/7 access to parcel deliveries – with options for same-day retrieval – makes smart economic sense when 95.9% of consumers agree that smart lockers save them time.2
A recent pilot study at the University of Washington examined the problems faced in urban areas with increased online shopping and the flood of delivery vehicles on city streets.3 The study found that smart locker solutions generated a 78% reduction in delivery times and zero failed deliveries. A significant improvement in last-mile logistics!
Parcel Pending by Quadient’s open locker network is an innovative and effective delivery solution that can improve business operations while also meeting consumer demands. Our smart locker technology reduces pressure and costs for retailers and couriers by offering fast, seamless, and centralized delivery and returns to convenient, secure parcel locker network locations.
Our industry-leading locker hardware and cloud-based software provide a scalable, open locker network for retailers and couriers that bolsters omnichannel tactics with self-service parcel pick-up and returns.
Pick-up, drop-off (PUDO), buy online, pick up in-store (BOPIS) and Buy Online, Pick-Up in Locker (BOPIL®) are just a few of the acronyms retailers use to refer to how they are dealing with the growth in online shopping. Not only does our solution support these varying retailer and courier offerings, but our flexible deployment models limit upfront costs and even provide revenue-sharing opportunities – with many businesses realizing ROI within two years*.
Around the world, Parcel Pending by Quadient smart parcel locker solutions are bringing carriers and retailers closer to their customers while providing greater flexibility, cost savings, and convenience.3 Ready to fulfill MORE for your customers by joining our open locker network? Fill out the form below to speak to a Parcel Pending by Quadient representative or learn more about our other electric lockers and retail lockers here.
* Based on client data, results may vary.
- Urban Freight Lab. The Final 50 Feet Urban Goods Delivery System: Common Carrier Locker Pilot Test at the Seattle Municipal Tower. Supply Chain Transportation and Logistics Center University of Washington. October 2018. https://depts.washington.edu/sctlctr/sites/default/files/ SCTL_Muni_Tower_Test_Report_V4.pdf
- Morgan, Ethan. What is PUDO and What Does it Mean for Retailer, Shoppers and Carriers? Doddle.com. November 14, 2019 https://www.doddle.com/us/blog/pudo/what-is-pudo-and-what-does-it-mean-for-retailers-shoppers-and-carriers/
- Parcel Pending. What is PUDO (Pick-Up, Drop-Off) and How Does it Work? parcelpending.com. https://www.parcelpending.com/blog/what-is-pudo-pick-up-drop-off-and-how-does-it-work/