All Encompassing: Package Concierge Offers Package Shipping and Returns

One in three.

That’s right: 30 percent of every online purchase is returned.

Did you know around 49% of retailers offer free return shipping now? Package concierge is here to help.

According to invespcro.com, 30% of all products ordered online are returned as compared to 8.89% in brick-and-mortar stores.

We already know that ecommerce is bigger than ever with people spending more than a $200 billion annually – a steadily rising number. It is estimated that online shopping has grown more than 17 percent over the last decade. And as more and more brick-and-mortar stores close their doors ecommerce is projected to further skyrocket.

While online shopping offers a greater convenience with the ability to shop 24/7 and from various devices, it still lacks the sensory appeal that comes with shopping at a brick-and-mortar retailer. As such, 60 percent of returned packages are due to either damaged goods, the product looks different than what was online or it was simply the wrong item.

A report released by Sanford C. Bernstein indicates that Amazon ships an average of 608 million packages each year, or 1.66 million daily. According to UPS, they deliver approximately 18 million packages daily during typical non-peak shipping periods while FedEx boasts 13 millions daily packages.

So what does this mean?

While these figures don’t take into account the massive upswing in package deliveries during the holiday season (think double the volume), we are looking at roughly 9 million packages returned every single day.

Package Concierge is further improving your package management solutions, and ensuring your leasing office and leasing team no longer have to deal with mountains of packages.

Shipping and Returns is now available from Package Concierge and operates through its package locker system. Similar to package pickup, residents have access to shipping and returns capabilities 24/7.

With Shipping and Returns available from Package Concierge, apartment owners and operators:

  • Provide even greater convenience for your residents by allowing them to returns items they are unhappy with, as well as ship packages to their friends and family.
    • Satisfied residents are more likely to renew their leases – more than 80 percent indicate that effective package management positively impacted their renewal decision.
  • Offer efficiencies to burdened delivery carriers
    • By taking advantage of their regular stops, carriers no longer have to make extra trips to pick up outbound shipments or returns.
  • Generate ancillary revenue
    • Whether or not you chose to charge residents for this service, you garner improved ROI through enhanced resident satisfaction.

Contact us today to learn more about how Shipping and Returns can further improve your package management!

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I-85 Bridge Collapse Could Impact Package Delivery Scene in Atlanta

After our initial shock when we saw the unprecedented traffic jam and bridge collapse on Atlanta’s major thoroughfare Interstate 85, the first thing we thought was: How is that going to affect package delivery?

When you’re in this business, those are the connections you make.

Atlanta features notoriously heavy traffic to begin with – the fourth-worst in the nation, according to INRIX – and the bizarre I-85 incident clearly won’t help. The bridge collapse on March 30 reportedly was due to a homeless man starting an accidental fire beneath an overpass. If that wasn’t enough to compound things, a portion of Interstate 20 buckled on April 17 due to an underground gas leak, which sent a biker airborne.

We’re not here to criticize traffic situations in particular towns, and we’re eager to see the vibrant city for the Atlanta Apartment Association’s 2017 Trade Show. But this spurred thoughts as to how much package delivery could increase in Atlanta, considering two of its major vessels have endured significant setbacks. Will the city’s residents be less eager to commute to brick-and-mortar stores when they can simply order items online? Will lunch-break shopping trips decline as residents are foregoing the traffic challenges and opting to work from home?

According to The Atlanta Journal-Constitution, freight traffic traveling through the city is now being directed to I-285 to bypass the city until the projected June 15 reopening of the bridge on I-85. As more vehicles use the alternate route, times will slow for commuters and logistics firms alike. Toby Jorgensen, a senior analyst at CBRE research told the newspaper: “The hardest part is the last-mile consumer and business delivery.”

It will be compelling to see how consumers, businesses and apartment communities adapt to the newfound challenges.

In the tech-savvy city, perhaps drone delivery will start to become a larger part of things as well. Drones have the capability to bypass heavily congested freeways and drop off packages at an apartment community much more efficiently. Residents will have their shipments in their package lockers right on schedule. In the future, this might even advance a step further. Imagine living on the 18th floor of a swanky urban high-rise and having your package drone-delivered to your balcony.

Perhaps we’re getting a bit ahead of ourselves here, but these are the things we think about when we’re heading to a new city for a conference.  We’re excited for Atlanta and the opportunity to learn more about how different regions utilize package management. We’re just hoping we don’t have to spend too much time on the freeways.

P.S. We will be back in Atlanta for the National Apartment Association Education Conference and Expo starting on June 21st – wonder how the package situation will be different then? Either way, be sure to stop by and see us!

Meet Tim and Alexis on Wednesday, April 26th 2017!

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Flawlessly Deliver the Gift of Love

Has this ever happened to you?

You spent hours researching and planning the perfect gift for your special someone. You went so far to make your purchase with a prepaid gift card online so they wouldn’t see what your ordered on the bank account. You had it all planned – nothing could ruin it. Or so you thought.

Valentine's Day packages

The package arrived but you weren’t home when it arrived so your special someone picked it up. They mindlessly open it and that perfect gift you spent so much time trying to surprise them with is staring them directly in the face.

All of that planning ruined with a misstep in the package delivery process. It is probably safe to say a lot people can relate to some part of this shipping mishap, and that’s unfortunate.

What is fortunate though, there is a solution for apartment dwellers: a package locker system.

Package Concierge® offers a robust and innovative interface for our locker installations providing every resident a unique, individual access code. That’s right, each person, not a code for the apartment home, ensuring there is no longer a potential the wrong person will pick up the package.

This practice in individuality will certainly come in handy this Valentine’s season when residents are really hoping to surprise their special someone with something they will love. In the last 3 years, we have seen a significant increase in the number of packages delivered the week before and the week of Valentine’s Day – some communities are receiving 50 percent more packages in these two weeks and seeing their package volume return to normal the week after.

How heartbreaking would it be if any of these packages were discovered before they were given? Show your residents some love and contact Package Concierge® today to set up an installation!

Still looking for that perfect gift? Check out these 5 online sites still offering 2-day shipping:

  1. Amazon.com – This is a no brainer if you are an Amazon Prime member. With access to hundred of thousands of gifts, you are sure to find exactly what you are looking for. And if you aren’t a Prime member, you can sign up for a 30-day trial to make sure your package arrives in time.
  2. Walmart.com – Now this may not evoke the spirit of Valentine’s Day but the major retailer has recently announced free 2-day shipping for any purchase more than $35. If your loved one is looking for something like a FitBit Charge, new camping gear or even the uber popular InstaPot, this might be a new go-to shopping site for you.
  3. Sharperimage.com – For those who enjoy a tech-savvy treat, Sharper Image has unique high-end gifts such as a light and massage therapy hair brush or heated indoor-outdoor slippers. Use promo code VDAY99 to get free 2-day shipping for orders over $99 till February 10th!
  4. MichaelKors.com – Speaking of high-end, this top designer ensures that amazing purse, luxurious wallet or killer pair of sunglasses will arrive on time if ordered by February 9th. Just be sure to use the code VDay for free 2-day shipping.
  5. Apple.com – For the tech lover in your life, order any Apple product by 5pm today to receive free 2-day shipping. Apple Watch for all!
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5 Million Mark: A Measure of Skyrocketing Ecommerce Industry

In some ways, 5 million represents the perfect storm.

While package delivery continues to increase exponentially in the ecommerce market, Package Concierge® has tirelessly aimed to keep a steady pace by installing innovative package lockers in as many locales as possible.

In Spring 2016, we surpassed the 2-million mark in package transactions. At the time, it signified a hefty achievement. But as consumers continue to gravitate to online shopping and nationwide demand for package solutions rises accordingly, we’ve experienced more than a 200-percent spike in package lockers installations.

With that, the number of package transactions has quickly ascended to 5 million.

5 million

To be clear, the 5 million figure isn’t something we’re thumping our chest about. In our eyes, the number more represents the thriving ecommerce industry and the suddenness of it. This hasn’t been a gradual rise – it has been meteoric. There is a reason why businesses are closing brick-and-mortar stores but continue to thrive overall. It’s because their merchandise is being ordered through a few clicks online, and consumers are utilizing package delivery at ultra-historic rates.

Ecommerce Increase Means More Deliveries

Internet sales accounted for a mere 3 percent of consumer expenditure as a whole in 2006. That number rose to 15.5 in 2016 according to Business 2 Community, and the U.S. is at the forefront of this global movement. Ecommerce is a $220 billion market in the U.S. and has grown at annual rate of 17 percent over the past decade.  This figure is likely to increase even more with Walmart’s recent announcement that is it offering free two-day shipping.

The trend within the trend is that consumers are not only shopping online, but increasingly doing so through mobile devices. Experts predict that mobile transactions (those conducted through smartphones and tablets) will account for 26 percent of retail ecommerce sales in the U.S. by the end of 2017.  This figure is likely to increase even more with Walmart’s recent announcement that it is offering free two-day shipping.

What to expect?

Packages are being delivered at such a fervent pace that Amazon is unveiling its own delivery service. The Wall Street Journal reported in July that ecommerce growth played a key role in 3.2-percent profit growth for the United Parcel Service. Naturally, Amazon’s decision to utilize its own deliverers could put a dent in overall numbers for UPS, FedEx and USPS. But no matter the method in which they are shipped, the packages will continue to arrive.

Looking to the Future

Along with the demand, residents are expecting to receive their packages in a convenient, hassle-free manner. That’s why we believe it is important to parallel the growth of ecommerce with solutions that fit.

Perhaps in six months or a year, we’ll view our 5 million package transaction as obsolete, as antiquated as the dial-up modem. But for now, the figure holds some clout when looking at ecommerce as a whole.

5 million.

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Amazon’s Forthcoming Addition of 100,000 Employees Underscores Package Boom

Warehouse worker taking package in the shelf in a large warehouse in a large warehouse

Warehouse workers search for their packages in an unorganized package room.

It is no secret that the trend is there. Package delivery is increasing on a daily basis, as millennials prefer the convenience of shopping from their phone.

Even older generations are beginning to resist shopping in stores, opting for the alternative of making a few clicks and waiting a few days for the package to arrive at their doorsteps. That’s why, despite strong industry-wide sales, prominent retailers such as Macy’s and Sears are closing many of their brick-and-mortar stores.

This trend is not a momentary blip. In fact, a recent proclamation by tech giant Amazon indicates package delivery will continue to steamroll in this direction for the foreseeable future. Amazon, widely known as the king of package delivery, has indicated that it will create 100,000 jobs in the U.S. by 2018, according to a recent article by USA Today.

Apartment operators should prepare accordingly, as this is not a knee-jerk move by Amazon. First Data reports that ecommerce’s share of retail sales in the holiday season was 21.3 percent, a hefty increase from the 15.4 percent of 2015. Expect the numbers to rise again in 2017, as the Internet now represents six percent of the total U.S. economy. And it’s not only going to grow during the holiday season. Package delivery is steadily increasing year around, with significant upticks around back to school, Halloween and even Mother’s Day.

If your apartment communities have not yet adopted a solution to combat the influx of packages – such as a smart room, package lockers or a package management team – now is the time. While many apartment owners/operators were ahead of the curve and enjoyed a much smoother 2016 holiday season, still a large number of the industry saw overflowing packages, leaving overburdened members of the leasing team with the cumbersome task of sorting through them.

In September, Amazon announced intentions to deliver its own packages, eschewing traditional delivery services UPS, FedEx and USPS by building its own delivery service. Now comes news of Amazon’s hefty six-figure addition of employees, with many of the positions slated for four soon-to-come fulfillment centers.

The additions of fulfillment centers in California, Florida, New Jersey and Texas have clear objective in mind: Get packages out more quickly. Amazon went from 56,200 employees in 2011 to 306,800 last year. Now 100,000 more are on the way to keep up with the country’s propensity to shop online.

The packages are coming at a historic rate and, as indicated by the actions of one of the nation’s premier tech giants, the breakneck pace will continue. Make sure you’re proactive rather than reactive, or you might end up beneath the pile.

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Holiday Package Preparation

christmasYes, it isn’t even Halloween yet. And yes, you should be thinking about the upcoming holiday season. Especially if you plan to ship gifts to your loved ones across the country or across the world. Given the way the calendar falls this year, the holiday season is compressed by one week. You can thank a late Thanksgiving and early Hanukah for that (Did you know they’re on the same day this year?). With one less weekend to shop for deals, that’s one less weekend to prepare your gift packages.

Don’t think it’s a big deal? Well, some of the biggest names in shipping sure do. Amazon plans to hire 70,000 season workers to handle the increased load this year.  That’s up 20,000 from 2012.

Fedex expects an 11% rise in Cyber Monday sales, thanks to the increase in online shopping, making December 2nd their anticipated busiest day of the year with 22 million packages shipped.

UPS also knows that because of the compressed holiday season, that they will be busier than ever. December 16th, UPS’s peak pick-up day will likely see 34 million packages and they’re hiring additional works to handle the load.

If you want to get ahead of the curve, what should you do?

Shop Early. Instead of waiting for December to roll around, head out to the stores now and get your shopping done to beat the rush.

Ship Early. If you’re packing a gift yourself, or buying on the web, it would be best to do it early. The sooner you get your presents out, the shorter the lines and the shorter the wait.

If you’re like most people and wait until the last minute, what should you do?

cyber mondayCyber Monday Deals. Given the short shopping season, the online deals on Cyber Monday (December 2nd) will be worth the wait.

Last Minute Deals. Some companies offer last minute deals if you purchase much closer to Christmas (December 20th or later) such as 75% off the full price you might pay in November.

Whichever route you take, this holiday season is sure to be one of the busiest yet.

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