Metapack have announced that over 10 retailers have now deployed their Ship from Store solution, enabling retailers to transform physical stores into mini distribution centres and keep trading during the disruption caused by the COVID-19 crisis.
With the majority of physical stores still closed, consumers continue to spend more online resulting in a massive surge for ecommerce. Metapack data highlights that online spending has reached Black Friday and holiday peak levels, with certain retail verticals experiencing a huge 101% year-on-year increase in shipping volumes. Alongside this, new research from ACI shows that transaction volumes saw a 74% year-on-year increase in March.
For some retailers, ecommerce is their sole channel to generate revenue during lockdown. However, in order to protect employees and abide by social distancing guidelines, the risk of warehouse closure is a concern. Additionally, inventory trapped in physical stores and rapidly losing value, is another major concern for retailers who need to recoup lost profits and avoid markdowns.
Ship from store is likely to be a long term change to ecommerce and indeed a handful of retailers already operate this model. With speed of delivery having been a key differentiator for many consumers, the only way to compete with the likes of Amazon is to Ship from Store and this is one impact of the pandemic that is likely to stay the distance. Even when lock downs end, consumers are likely to be wary of shopping and anyone that can deliver, whether through same day or next day services, will be in a better position to serve customers for the future.
We’ve seen a change in how retailers operate going down to the very smallest of retailers and including businesses that have never delivered before. Butchers are employing local taxi drivers to undertake deliveries and one we are aware of has increased turnover from around £400 on a weekday to over £1200 through their new deliver service. Another example is TAOS Gifts run by Vicki and Rob Widdis, traditionally an online gift retailer they’ve pivoted to add essential food supplies alongside their gifts and operate a delivery service locally in their Reading area as well as a regular ecommerce courier delivery service.
Whether you Ship from Store or offer local delivery from your warehouse, with stay in place guidance for at least some time into the future, now is the time to capture new customers who in all likelihood will remain your customers in years ahead.
“The delivery volumes we are processing are unheard of for this time of year and retailers need to ensure they have the technology, agility and capability to adapt their operations and put their physical stores back to work. Metapack’s Ship-from-Store solution allows retailers to dust the cobwebs from their physical locations and use the local inventory to deliver goods to restless consumers and outlast the crisis.”
– Bruce Fair, CRO, Metapack
One Response
Anyone know about the pricing / MOQs to take advantage of this service?