Open Locker Network

How Businesses can Boost Brand Awareness and Revenue as a Parcel Locker Host

It’s no secret that businesses are feeling the squeeze of the cost-of-living crisis. Consumers’ well-documented reduction in spending power over the last year means there’ll be plenty of organizations out there – in retail, leisure, property management, hospitality, and other community amenities – that have seen revenue hit as a result.

Forward-thinking retailers have added new categories or services to draw customers in while shopping centers and malls look to freshen up their offerings with pop-up events and live performances. In the modern shopping era, the retail landscape is flooded with online and brick-and-mortar retailers vying for customers to grow footfall and loyalty to their brand. Especially during tougher economic times. However, there is a more effective tactic that uses consumers’ continued love affair with online shopping not only to build stronger relationships with customers and drive loyalty but to also help increase revenue while cutting costs.

Ride the e-commerce growth wave

Online shopping has become consumers’ go-to for purchases as more and more shoppers embrace the convenience and competitive pricing offered when buying online. As a result, the growth of this digital marketplace has reached unprecedented heights, with e-commerce sales growing by 10.2 percent YoY to nearly $385 billion in the US alone. As e-commerce gains popularity, parcel delivery continues to grow exponentially, with global e-commerce sales expected to reach $9.4 billion by 2026, a number that should come as no surprise as e-commerce remains a top shopping preference for consumers, thanks to its fast adoption during the COVID-19 pandemic. With these growing numbers, businesses of all shapes and sizes are battling economic headwinds and should be looking for ways to turn e-commerce growth into new opportunities for brick-and-mortar locations.

Retail smart lockers are one way of doing that. Placing them at a retail location can bring additional footfall and spending – and businesses hosting them can boost brand awareness. We’ve crunched some numbers on this, and in our recent research, we found that of the 2,000 consumers we surveyed, they would send 57% of all their parcels to a parcel locker and would return 48% of all their parcels via a parcel locker. In addition, 32% said they would frequent a business that provides parcel lockers more often, and 40% have visited businesses more regularly to collect or return a package. The incremental spend is significant, too, with 21% saying they would spend $20 or more at different types of stores, including large supermarkets, specialist stores, big-box stores, small supermarkets, corner shops, or gas stations. These numbers show a clear case for integrating lockers and designating your business as a pick-up point.

Lockers are for everyone

Parcel lockers aren’t exclusively for retailers to utilize; any business has the opportunity to become a locker host and enjoy the advantages of greater customer traffic and enhanced brand recognition. In fact, our survey found that approximately 34% of customers would increase their usage of businesses or facilities if parcel lockers were available. Additionally, our research indicates that 40% of consumers have a tendency to return to or patronize businesses more often due to the convenience of hassle-free parcel drop-off and retrieval services.

Whether you’re a car park operator, a library, a gas station, a property management company, a gym, or a local government building considering ways to get people into malls, outlets, or other locations, then you should consider hosting lockers. We know the competition is fierce, but having online order pick-up lockers can be a differentiating factor – it gives people a reason to come and visit you and notice you.

If that isn’t convincing enough, then our research also shows there are some real signs of discontent with the current online retailing status quo. Consumers are calling it too unreliable, lacking sufficient sustainability, and inconvenient. Over one-third (35%) of consumers are more worried about parcel theft than before the pandemic, and according to a survey conducted by Safewise, 260 million delivered packages were stolen in 2022, 50 million more than in 2021, demonstrating that their fears are not in vain. In addition, 45% say Buy Online, Pick-Up In-Store (BOPIS) services in their current form are too frustrating to use regularly, and 42% feel the number of delivery vehicles on the road is making their community less safe and pleasant. With our Open Locker Network, businesses are able to alleviate these pain points, and host locations have the power to be a part of the solution.

Create a lasting impression with lockers

Parcel Pending by Quadient smart lockers are designed to provide a seamless and secure delivery and return experience for customers. We offer flexible options to match any locker host business’ specific requirements. Our modern, sophisticated technology allows retailers to reduce packaging handling costs and provide a supreme experience for their customers, and for other locations, the lockers provide a chance to increase their prominence in the community and attract more potential customers to their location.

Online retailing is here to stay. However, consumers are growing increasingly frustrated with delivery service as it stands. Parcel lockers present the perfect opportunity to switch the narrative and keep businesses and shoppers happy.

Contact us today to learn more about how we can help elevate your business by becoming a parcel locker host.

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