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Click-and-Collect Cuts Costs

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Click-and-Collect Provides Greater Convenience For Consumers and Cuts Costs for Retailers

Pick-up storage lockers are the latest innovation in click and collect services, enabling retailers to cut costs and add value to the customer experience.

In an ever-more competitive market, retailers are increasingly experimenting with new ways to bring their products and customers together, and existing technologies are being used in new and innovative ways to improve the speed and ease by which customers receive their purchases. In light of this, many brands now offer specialist delivery options such as fast-track or same-day delivery, drone delivery, and even talk of delivery robots!

In addition to this, another option now on offer to consumers is click and collect, and these services have seen a steady growth in popularity in recent years amongst retailers and customers alike.

Click and collect

Click and collect services enable customers to order products online and collect them in-store, or at a dedicated site, at their own convenience. The first major retailer to introduce click and collect in the UK was Tesco back in 2011. Other retailers were quick to play catch up and in the past few years the service has really taken off, growing by approximately 155% and in some cases even overtaking home delivery as the preferred customer option. And it’s easy to understand its popularity, with customers appreciating the added convenience it offers, and retailers seeing a positive impact on their bottom line.

Pick-up Lockers

Traditionally, click and collect has meant customers going into a store, queuing up and waiting to be given their goods. However, in an effort to constantly improve the customer experience, retailers have continued to innovate in this area and an increasing number of companies now allow customers to collect their purchases from a secure pick-up locker – either based in-store or in a convenient location such as a train station or shopping centre.

Perhaps unsurprisingly, Amazon was the first brand to fully exploit the potential of lockers as a delivery option. The Amazon locker project launched in 2011 and there are now almost 2,000 Amazon lockers across the UK in locations such as shopping centres, petrol stations, convenience stores and universities to name just a few.

The success and popularity of the Amazon locker project has seen similar initiatives adopted by other retailers (most notably Walmart with its giant pickup towers), as they recognise the benefits it offers both to customers and to their profit margins.

Customer Convenience

One of the key benefits offered by click and collect is customer convenience. If they miss a home delivery customers have to either collect their parcel from another location or call to arrange redelivery.  By opting for click and collect, customers can collect their goods at a time that suits them. Pick-up lockers offer even greater convenience than conventional click and collect services, enabling customers to punch in a code and immediately retrieve their goods – and in the case of external locations customers often enjoy 24/7 access. Returns are also made easier with consumers simply having to repackage and place back in the locker.

In today’s busy world, anything that helps to save time and effort is appreciated by customers. And a happy customer usually equals a returning customer.

Cut Costs

As well as improving the customer experience and potentially helping to win repeat custom, the use of click and collect services also enables retailers to significantly cut their shipping and fulfilment costs by shipping products to one location rather than to multiple addresses. It also provides retailers with more accurate estimates of delivery costs as occurrences such as redelivery attempts, inaccurate addresses, and lost or damaged parcels are eliminated.

Once again, the use of storage lockers offers a number of advantages over more traditional click and collect services. By giving customers to opportunity to access their purchases directly, fewer staff hours are spent on managing click and collect and retrieving parcels, which means that staff time can be used more productively to the advantage of the company. What’s more, the use of storage lockers can simplify the way distribution centres operate, and reduced logistical challenges means that retailers can offer customers quicker delivery times, adding extra value to the shopping experience.

With the growth of omnichannel retailing, brands are always looking for ways to make the shopping journey as seamless as possible, and customers increasingly expect an efficient, streamlined experience. Pick-up lockers offer the perfect solution, providing retailers with an efficient and cost-effective way of delivering purchases to the end customer.

If you’re thinking about implementing product collection get in touch. When used alongside the correct software, our range of personal storage lockers are perfectly positioned to meet your needs. And with Simplicity’s extensive security features, you can be sure that your products and your customers are in safe hands.

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