He ecommerce continues to grow in Spain. In the second quarter of 2022, it reached 18,190 million, an increase of 33% compared to the previous year, according to the CNMC. For this reason, it is essential that companies operating in large cities address one of its main challenges: logisticssince, according to data from the same consultant, in Spain less than 10% of deliveries are made at collection points despite the fact that between 10 and 15% of shipments are unsuccessful and require a second attempt, increasing the cost of the delivery service and worsening the customer experience.
The increase of use of collection points and deliver They could reduce CO2 per package by up to 20%, the number of vehicles per square kilometer by 22% and the cost of each package by 9%, according to estimates by the same consultant. In this context, Huboo, one of the fastest growing fulfillment providers in the UK and Europe, highlights the main advantages of collection and delivery points.
Increased sustainability
Environmental sustainability is becoming increasingly important, especially in large cities, where approximately 25% of the total emissions of polluting gases come from the transport of goods. This deterioration in air quality can compromise the health of more than 80% of the Spanish population living in urban areas, according to Statista data.
Fullfilment companies play a fundamental role in the logistics of companies, increasing the effectiveness of shipments, reducing failed deliveries while working with different courier providers in a simple way, which allows offering the customer the most convenient shipping option. efficient at all times.
Reduction of urban congestion
Urban congestion is one of the main challenges that large Spanish cities are facing, in which 20% of traffic is caused by the transport of goodswhich is equivalent to a delivery man in Madrid being stopped in traffic once two day annual average.
In order to reduce congestion and improve the delivery service, it is essential to create a network of delivery points that significantly reduce the number of home deliveries. Additionally, the installation and use of smart lockers for the collection of packages at strategic points such as supermarkets will also help reduce urban congestion and simplify the delivery process.
Increased logistics efficiency
According to Deloitte data, the last mile represents up to 40% of the total logistics costs and it represents one of the main challenges for companies engaged in the merchandise distribution and delivery business due to the significant and direct impact on operating margins. In recent years, the average profitability of parcel transport companies has eroded significantly, which is why a large part of retailers have serious difficulties in making the e-commerce channel profitable.
For this reason, collection and delivery points are a great solution to increase logistics efficiency, especially for small and medium-sized companies that do not have as much room to make home deliveries.
Reduction of logistics costs
Spanish consumers are increasingly demanding with the service. According to Deloitte, express shipments have increased by over 10% each year and 86% of all deliveries are requested at home, which can generate costs up to 3 or 4 times higher than selling the products directly in establishments.
Once again, delivery and collection points can be essential to reduce costs and to be able to consolidate a profitable and efficient e-commerce, since the implementation of these can reduce logistics costs by up to 25%. Likewise, a better organization between customers and couriers with pre-delivery calls could significantly reduce logistics costs and enhance the efficiency of deliveries.
“During the coming years, it will be essential for distribution companies to increase their network of delivery points in order to reduce costs, improve the shopping experience for their customers and reduce the emissions emitted in their delivery process. In addition, the implementation of new technologies in the purchase and delivery process, such as predictive purchase algorithms and smart ticket offices, and even improved communication with customers, will help create more efficient processes, which will benefit both companies, consumers, and society. long-term” says Roi Elizondo, vice president of strategic alliances at Huboo.
