The Dispatch: May 2023
Doddle - Part of Blue Yonder
Technology powering collections, delivery and returns.
This month we discuss ASOS' £100m returns headache and dive into the future of automation in the last mile. Plus, we explore why micro-shippers are a great opportunity for posts and host a roundtable on what consumers want from carrier communications. Elsewhere, we look at InPost’s Q1 results, US retail returns and Amazon giving Prime status to Evri.
Our guest post in DeliveryX explores how ASOS might move away from the ‘free for everyone’ returns policy, following shocking data in its latest results showing that 6% of customers were responsible for £100m in costs, driven in part by their returns habits.?
Micro-shippers have too many parcels to send for small post office branches to easily handle without causing queues and frustration – but they don’t have enough volume for a dedicated pickup. Finding a drop-off solution that works for them is a great opportunity for posts to secure revenue from the growing C2C segment.
The future isn’t all drones and robots. We take a realistic look at automation in the last mile, covering autonomous vehicles, route planning, communications and what we’ll likely see happen within the next few years. (Hint: it’s not robots.)?
We hosted another roundtable to discover what consumers really want from carrier communication and how carriers can use these insights to influence their strategies and ultimately provide a better customer experience.
InPost released its Q1 report for 2023, revealing 95% YoY growth in UK volume largely driven by locker-to-locker service and consumer returns, as well as a new Q1 record of 132 million parcels in Poland. Interestingly, despite being primarily known for its lockers, InPost has nearly a 50:50 split of PUDOs to lockers, showing the advantages of a mixed network.??
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The Wall Street Journal interviewed US retailers who are finding new ways to combat online returns’ damaging margin impacts, including one apparel retailer offering discounts of up to 70% to customers willing to forego sending their returns (and receiving their refunds).
Returns charges are also becoming more popular. JCPenney's Chief Customer Officer noted that while “customers say free returns is the most important thing, but if it’s not there they still shop” - JCPenney charges $8 per return.?
Amazon gives Prime status to Evri?& offers?$10 to US shoppers?to pick up parcels?
Evri has been awarded a “Seller-Fulfilled Prime’ status on Amazon – boosting conversion for sellers using Evri to fulfil orders instead of Amazon. Considering that Amazon and Evri are usually on opposite ends of?Citizens Advice leader boards for customer satisfaction, it’s interesting that Amazon would lend its Prime logo to these listings.
Over in the US, Amazon has been running email promotions to Prime subscribers, offering them $10 in exchange for trying out-of-home delivery for the first time.?
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