The Current E-commerce Landscape in India
Did you know that the e-commerce companies in India spend nearly 30 percent of their net revenues on logistics? This is what a recent study by the consulting firm Technopak has revealed. Well, if we convert the percentage into the monetary value, it will turn out to be a staggering figure. Huge logistics cost is one of the primary reasons why India’s e-commerce businesses are barely meeting the break-even and still are not profitable. Package delivery, for instance, is still a challenging task for logistic providers. To keep up with the growth rate of e-commerce business, increasing logistic demands and changing customer needs, automated parcel delivery system is likely to be the way forward.
Parcel delivery or collection points are increasingly getting an integral part of e-commerce and logistics business, creating a win-win situation. Utilizing the unused public spaces, innovative service providers of automated parcel delivery like ‘Smartbox’ are helping out e-commerce providers to find a more efficient and reliable method of delivering packages to their customers. Smartbox parcel delivery terminals, for example, are placed strategically in Delhi metro stations from where online shoppers can collect their parcel while on the go.
Key Benefits of Adopting Automated Parcel Delivery
Now the inevitable question is what are the benefits automated parcel delivery brings to the table for e-commerce businesses and improve their delivery fulfilment process? Let’s take a look:
1. Seamless Deliveries
Keeping up with the lifestyle of today’s urban consumers, self-serviced lockers provide greater convenience and flexibility in managing their parcel deliveries. Consumers can have several mailing addresses by choosing automated parcel delivery terminals located in the metro stations or other public places. This process is highly convenient for e-commerce companies, logistics providers, and of course customers as they can collect, post or return parcels based on their schedule.
2. No Missed Deliveries
Self-serviced terminals help e-commerce companies bring down their logistics costs caused by missed deliveries as in the case of the traditional delivery process. These terminals are functional 24*7, which ensures that the delivery staff doesn’t miss any delivery. Once the packages are delivered to the terminals, customers can collect their items from lockers by using a one-time password or OTP sent to their mobile. Such digitization of parcel delivery helps reduce returns and re-attempts of delivery.
3. Enhances Shoppers’ Brand Experience
The flexibility in automated parcel delivery collection provides greater convenience to online shoppers. They can collect their package at their free time, on the way back home after office hours, and during weekends. Such delivery options make an e-commerce business stand out from their competitors and enhance customers’ brand experience. This, in turn, will build customer loyalty and brand strength with repeat purchases.
Automated parcel lockers are more environmentally sustainable because of the consolidation of deliveries. Simply put, with the help of self-serviced lockers, delivery staff can make nearly ten times more deliveries than traditional delivery process. Reduced travel times causes minimal carbon footprint and traffic congestion.
The incredible growth rate in the e-commerce sector across India provides online retailers to reach a larger consumer base much faster through digital channels. Besides the comfort of online shopping, customers these days also seek flexible, efficient, low-cost delivery and returns solutions. This is where automated parcel lockers are set to become decisive in last-mile fulfilment. A secure and reliable method like self-serviced lockers has proven useful and relevant for online shoppers who want more control and convenience over their parcel delivery.