PUDO points mushroom in bid to cut delivery costs as e-commerce booms
Summary
In a bid to cut costs, the e-commerce sector is turning hosts of commercial enterprises into access points for parcel shipments. The need to keep delivery and returns costs low is pushing parcel logistics firms to set up pick-up and drop-off (PUDOs) points at a frantic pace. According to Escher chief executive Nick Manolis, one postal agency with a network of some 12,000 outlets used the service to set up 15,000 new PUDO locations within three months. Dean Maciuba, director consulting services at Logistics Trends & Insights, said both had between 15,000 and 20,000 access points through relationships with retail outlets and other enterprises. “By expanding and tracking volumes in our network, we were able to see very clearly parcel traffic trends and work with our courier partners to help them reduce friction, costs and losses,” said PUDO Inc chief Frank Coccia.