Receiving packages is frustrating. Carrier solutions for out-of-home delivery do not get adopted. PaketConcierge is the paradigm shift that lead to a massive adoption of upfront selection of pick-up point delivery. Convenience for the recipient is key to drive this change in customer behavior. The transition itself is a game changer for the carrier. Reliable delivery and the potential of pooling saves them 20% of the costs usually generated on the last mile. This accounts for 1 Billion EUR in Germany alone.
We have confirmed our key customer hypothesis by running a small network of pick-up points. The KPIs we generated are impressive and have opened the doors to the CEOs of carriers in Germany. We are now preparing a collaborative pilot with DPD and UPS, with others hopefully joining soon in multiple zip codes of Berlin.
Problem or Opportunity
Last-mile delivery of packages is expensive. A delivery fails if the recipient is not at home. This leads to frustration and a bad customer experience for the recipient. At the same time, the costs explode for the carriers.
Carriers at the same time feel the pressure of an ever-growing amount of packages being shipped. Delivering each package one by one is an expensive process.
Solution (product or service)
Our approach solves both pains. Recipients adopt solutions that are much more convenient than existing ones. We offer a single process that can easily be repeated for each package regardless of the online shop and the carrier. The recipient gets to chose the pick-up point he likes most. And only has to do so once. This behavioral change lets carriers realize huge savings - starting with the first package.
On-Demand Last Mile: Mister Postman, Willma Locker Boxes: ParcelLock, World of Lockers Neighbor services: DropFriends, PaketFuxx
Advantages or differentiators
We collaborate with the carriers and fuel a smart marketplace with their existing pick-up points. Combined with the carrier-agnostic approach this enables quick scaling. At the same time, we offer a product so simple and free to the recipient the demand side will grow accordingly. We do not have huge investments in new resources like hardware or a fleet of drivers rethinking the delivery process at a level where a viable business model is out of sight.
Money will be spent on
Product: - We currently have an iOS app on the recipient side only - Additional features like power-of-attorney pick-ups
Marketing: - Our goal for the next 6 months is to produce KPIs in the pilot area that prove our carrier savings case assumptions on a bigger scale. To achieve this we have to prefinance our marketing efforts making recipients aware of our solution.
Operations: - Scaling from 500 to 10000 packages a month and 15 to up to 100 pick-up points, we need to intensify our efforts in support, onboarding, etc - As not all carriers will likely join initially, we will have to cover some of the fees for our pick-up point partners ourselves in this stage