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~ Seven Senders ~
IS OUT-OF-HOME
THE FUTURE OF
DELIVERY AND
RETURNS?
Text: Romina Romano // Photos: AdobeStock, Seven Senders
Over the past couple of years, demand for more flexibility and control of delivery and returns
has become increasingly important for online shoppers. Additionally, the consumer trend
toward more conscious consumption, including sustainable delivery options for online
shopping, has also risen. Yet, fulfilling these requirements can be challenging, especially if
e-tailers are not keeping up with the latest trends on the last mile.
ne current trend catching the attention they depend on numerous factors such as country, carrier,
of the e-commerce world is out-of-home and size and weight of parcels, retailers can expect an average
O(OOH) delivery and returns for its ability to savings of 5% to 25% compared to home delivery rates. And
tackle these issues. as many OOH service providers offer better rates for returns,
online retailers can also save costs on reverse logistics with
Out-of-home delivery and returns this option.
Out-of-home (OOH) covers all deliveries and returns where
end customers choose a PUDO (pick-up/drop-off ) option • Higher delivery NPS
offered by the online shop at checkout to receive or return Considering that OOH eliminates the need for someone to
parcels instead of their home. Out-of-home has been available be at home when a parcel arrives, it raises the FDA (First
for a couple of years, but recent investments in pick-up and Delivery Attempt) success rate to practically 100%. And
drop-off networks have increased the density and, thus, its customer confidence about receiving their order also increases.
attractiveness. In addition, the advantages of reducing costs With OOH, customers choose the PUDO (pick-up/drop-off )
and carbon emissions for retailers and more convenience for location and can collect their parcels at their convenience.
online shoppers all point to OOH being a potential game- This freedom for self-determination greatly influences a
changer for e-commerce shipping. retailer’s delivery NPS (net promoter score).
The benefits of offering OOH options • Sustainability
With OOH, the idea is that instead of driving directly to
• Cost savings 100 or more recipients within a certain area–possibly with
With out-of-home, multiple parcels are getting delivered or several vehicles and repeated journeys due to a failed first
picked up at a single stop, which saves carriers a lot on costs. delivery attempt–all parcels are delivered once to a collection
While the exact cost differences remain very individual as point close to everyone. Ideally, customers collect their
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