What is PUDOs?

A local shop or retail outlet that offers parcel pick up and drop off service as part of a wider network of PUDO points is known as a PickUp and DropOff location. This service enables parcels to be picked up or dropped off at locations where a trusted member of the network receives them. Locker banks, convenience stores, and parcel shops are good examples of PUDO locations.

The rise in home deliveries since the outbreak of the COVID-19 pandemic has put increased pressure on stock and delivery capacity. PUDOs frees up home delivery slots for those who need it. They enable under-pressure retailers to help customers access online shopping without long waiting periods. Today, many retail outlets are working on creating PUDOs locations like Buy Online Pick Up In Store collection points.

How PUDO Points Make it Easy for Postal Customers to Receive Their Parcels

In an age of declining letter volumes, the explosion of online shopping and the subsequent increase in parcel volume offers the postal industry an incredible opportunity. According to the 2018 Pitney Bowes Parcel Shipping Index, every second 2,760 parcels were shipped globally. The report also estimates that by 2025 the global shipping volume will reach 200 billion parcels.

That’s a lot of deliveries!

While this is excellent news for Posts, it raises questions about the efficiency of the delivery service. Or rather, the failure to deliver. Recent research suggests that up to 60% of people have missed a parcel delivery and had to make additional arrangements to receive their packages. In the UK, only 30% of packages are delivered the first time. Subsequent deliver attempts add to the Posts’ cost.

Plus, there is also the cost to the seller’s brand. Customers have high expectations around when they will receive their purchased goods. Studies  found that having to stay at home at inconvenient times to receive the parcel is the main problem customers experience over online shopping.

 

Why PUDO points?

PUDO locations allow customers to collect and drop-off parcels. They usually have longer opening times than a traditional post office and are typically at easy-to-access locations, such as convenience stores. PUDO locations also reduce pressure on consumer support for the local Post Office during peak periods. By offering more convenience, Posts can reallocate their resources to higher-value services and increase their competitiveness with rival delivery services.

Top benefits of PUDO locations

Perhaps the main reason for Posts to offer PUDOs is because it enables them to extend their network and provide consumers with additional opportunities to interact and transact with the Post. This helps Posts meet service obligations, develop new revenue streams, and meet consumer expectations for convenient mail and postal service.

“It’s all about convenience. Primarily for consignees, who can pick up or drop off their shipments more easily without having to physically meet the courier, but also for retailers who operate the network. Hence, when designing a PUDO network, it needs to be ensured that processes, systems and tools are easy to use for the end customer and shop operators.”

Fabian Düx, head of DHL Parcel Europe’s PUDO and locker network

Top Reasons Why PUDO Locations Are Great for Gustomers

  • Make it convenient for consumers as they do not need to be present to receive the delivery
  • Increases options for places to conduct postal services and pick-up & drop-off parcels
  • Extends opening times giving customers more time to complete postal transactions
  • Provides hassle-free eCommerce returns process

Top Reasons why PUDO is Great for Retail Outlets

    • Increases footfall and revenue by offering postal services to their consumers
    • Is easy to deploy and involves only limited training required for employees
    • Requires minimal hardware or software investment to operate system e.g., a mobile device or desktop, and a printer
    • Allows outlets to provide services via Windows, Android, iOS PUDO app

Top reasons PUDO locations are great for Posts

  • Posts also get a bigger timeframe to complete the delivery
  • Can quickly expand the postal network with minimal capital outlay
  • Offers direct access to the consumer-facing agent network
  • Can offset reductions in the postal network in rural locations
  • Enables Posts to take advantage of the continuously growing eCommerce trend
  • Provides longer opening hours for customers to access postal services
  • Means increased revenue from enhanced service availability and access to consumer-facing agent network
  • Empowers Posts to compete with other delivery services by offering greater accessibility
  • Alleviates busy periods
  • Increases revenue due to streamlined delivery and returns processes
  • Facilitates real-time data to assist decision-making

Our PUDO Centres Locations

  • Safe and secure locations
  • Trained and professional staff

Reduce delivery carbon emissions by almost 50%

Click and collect is on the rise like never before. Though the delivery method is certainly not new on the global stage, many consumers have only just started using it. Once they do, it seems to be habit-forming.

Adobe reports that Click and Collect’s market share increased by 65% over the last year in the U.S. and, in Ghana, Parcelport, the country’s premier Click and Collect provider, reports a 153% growth in orders over the same period.

The new shopping habits of consumers have largely been the result of the ongoing pandemic, which has forced many to shop online for the first time. In Ghana, some of these new online shoppers opted for Click and Collect when deciding how they want their orders delivered because traditional methods of delivery like home delivery are inconvenient and expensive when you live in hard-to-reach areas such as small towns and informal settlements. For them, visiting a nearby pickup point in a store to collect their orders when it suits their schedule is the only way they can enjoy the convenience promised by ecommerce.

For Parcleport PUDO Centres, the increase of new online shoppers who use Click and Collect means a massive influx of potential customers entering their store. These pickup points, which function as Click and Collect delivery hubs, are located nationwide at enterprises such as GOIL, SHELL, PUMA ENERGY, Mobilemoney Agencies at as well as local independent mom-and-pop type stores.

 

By becoming a Parcelport PUDO CENTRE, stores immediately tap into an ever-growing customer base at no cost, which they can leverage to make more sales of their own.

Parcelport reports that 1 in 3 shoppers make an in-store purchase while collecting their parcel, while 45% of shoppers buy in-store when returning a parcel. This is a particularly effective tool for reaching customers and getting them back in-store during the current decline of traditional brick and mortar sales fueled by the pandemic and economic climate.

Click and collect customers shop 3 times more frequently than home delivery customers further reinforcing the value of having customers collect parcels from your store.

Parcelport also compensates pickup points for every parcel handled, giving these stores a passive stream of revenue in addition to the potential of upselling their own products to Parcelport customers.

The additional footfall from Click and Collect customers can have a profound impact on your business. Whether that’s the potential of selling your own products when they visit or the brand awareness you earn during the pickup point discovery process.