Self-service solutions offer carriers great opportunities to expand out-of-home (OOH) delivery networks, provide automated journeys, and deliver a great customer experience while reducing staff dependency in pick-up and drop-off (PUDO) locations.
While parcel lockers serve a dual purpose in automating both delivery and returns, when it comes to the drop-off experience specifically, the different types of self-service kiosks offer much greater flexibility at significantly lower deployment costs and can handle surprisingly large volumes of parcels.
Focusing on parcel kiosks, let’s explore the next stage of the journey – ensuring that volume is driven into the PUDO network to reap the rewards and benefits. Read on to discover 7 strategies to encourage customer adoption and drive volume.
1. Feature your OOH kiosk options at the start of the journey
The first step to driving volume into OOH locations is to increase awareness. If customers don’t know they exist, how can they be expected to use them?
PUDO locations must be presented to consumers at the start of their drop-off journey. It’s the same concept as parcel collection – if customers don’t see the option to use OOH collection at checkout, how would they know to select it instead of home delivery? And if they are not aware that they have a self-serve returns option available around the corner from home, they might never use it, even if it could save them tons of time and effort. When customers initiate returns on a digital returns portal, they should be presented with a list of self-service location options to complete the drop-off.
Promoting these locations on digital portals is especially important for paperless drop-offs, as self-service drop-off kiosks remove a barrier for those who don’t have a printer at home. Within the list of OOH locations in that returns initiation journey, logistics providers should visually highlight this printer-less advantage to encourage customers to use the self-service option.
2. Incentivize customers to use self-service options
Rewards and offers are a great way to incentivize customers to use self-service solutions as part of their drop-off journey. This can be done through discounts, such as offering customers a discount code off their next purchase or a gift card for in-store spending at the drop-off location.
Rewards are a great way of getting customers to break ingrained routines and try something new. Once customers have used the kiosk and had a positive experience, they will be more likely to select that option again, having discovered the benefits for themselves.
3. Use partnerships to your advantage
Partnerships are a good way to drive volume into self-service networks, particularly by teaming up with C2C providers like eBay or Vinted for drop-off volume.
One successful strategy involves integrating the partner platform’s services directly into the carrier’s self-service infrastructure. For example, generating platform-specific QR codes for use on carrier equipment can streamline the shipping process. Additionally, joint marketing initiatives, such as influencer collaborations, can raise awareness of the partnership and the convenience of using both platforms.
4. Ensure optimal kiosk placements in store
In addition to choosing the right location for kiosks, their placement within the store can make a big difference in the drop-off volume received. The optimum placement of kiosks ultimately depends on the context of the store and its objectives.
Firstly, parcel kiosks should be placed where customers will drop off parcels or receive help. For example, if customers are used to going to a service desk, the kiosk should be placed next to it as an obvious alternative. Otherwise, placing kiosks next to an entrance can help to draw attention when customers enter the store.
Secondly, kiosks need to be placed in an easily accessible and visible location. They shouldn’t be hidden out of the way in corners, but in an obvious space that is not difficult to find. The easier the kiosk is to find and use, the better the experience the customer will have.
Finally, kiosks shouldn’t be obstructed by or surrounded by other hardware. Customers need a clear line of sight to drive more volume to the devices.
5. Clear and sufficient signage
As well as placing kiosks in optimum positions within their own post offices, parcel shops, and third-party locations, logistics service providers (LSPs) should ensure they support PUDO partners with signage so that customers can easily tell where and how to drop off their parcels. The best practice is to use end-to-end directional signage throughout the store so that when customers enter, they can see a clear path through the aisles to the kiosk.
Next to the kiosk, it can be helpful to include iconography and clear instructions for usage if needed but remember to keep it simple and brief. Customers don’t want to feel like they must read an instruction manual to drop off an item. If presented with barriers like this, they are more likely to revert to over-the-counter solutions as a more straightforward approach.
Clear and attention-grabbing signage also benefits the service by advertising it to other shoppers, who are then more likely to try the self-service option in the future.
6. Divert from existing solutions
We are creatures of habit. If customers are used to going to a counter to drop parcels off, LSPs need to change this behavior to drive more usage to self-service solutions. Changing customer behavior is no mean feat, but there are some measures that you can take in-store to try to redirect customers from their usual habits into using kiosk solutions instead.
If the space allows, placing the kiosk next to the returns desk or counter can help redirect customers, particularly when paired with attention-grabbing signage to inform customers to use the kiosk instead of the counter. For example, when the kiosk is first placed in a store, signs can be used around the counter to direct customers to the kiosk rather than to queue at the counter for parcel drop-offs.
7. Utilize your marketing channels
A great way to generate awareness of self-service kiosk solutions is to use existing marketing channels to inform customers of new self-service options before they start the journey and test marketing strategies for future potential rollouts.
For example, local advertising can be used to promote OOH self-service drop-off solutions to customers who are closest to the physical kiosk locations. This can include adding banners to existing communication with consumers to highlight new kiosk options and sending out targeted email campaigns to those who have used carrier services in the past.
Driving volume into PUDO and self-service options
The common theme among these tactics is the importance of having a strategy to promote both the overall network of PUDO locations and the self-service options within it. Any OOH network will fail to live up to its potential without a concerted effort to make customers aware and incentivize them to try it out, whether the drop-off process is automated or not.
Once consumers start using self-service kiosks for drop-offs, we know they will be more likely to use them again in the future. Our kiosk solutions have also had consistently high NPS, with an average of 93% customer satisfaction. Getting that better customer experience in front of more customers at least once is the key to overall adoption and repeat usage.
Ready to expand reap the benefits of OOH drop-offs with self-service kiosks? Get in touch with our team today.
