Page 11 - Logistics News June 2019
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Thought Leadership
Why is Click and Collect on the rise? orders at their offi ces due to stringent
Over the last 15 years, there has been a huge company regulations.
rise of e-commerce in (South) Africa that is Cost: Click and Collect delivery is more cost-
fuelled by increased smartphone adoption, eff ective than home delivery as parcels are
internet penetration and a growing middle consolidated at hubs – the pick-up points. As
class. More people than ever order anything, an example, sending 10 parcels to 10 people
from anywhere, at any time. Logistics, is more expensive than sending 10 parcels to
however, is still the biggest challenge, one store.
meaning people either can’t receive their Returns: The Click and Collect network off ers
goods, or they don’t trust the current options customers a simple and convenient returns
so refrain from ordering at all. solution without the frustration of waiting
Access: Experience has shown that the for a courier all day. After all, 90 percent of
biggest reason why customers choose customers check the returns policy of an online
collection points over home delivery is access. retailer before making a purchase.
A large percentage of the South African With Click and Collect on the rise, Pargo
population live and work in areas that are not is constantly working towards its vision to
easily accessible for couriers. These areas create access for anybody in Africa. Pargo
include townships and rural towns. To respond has recently expanded its Click and Collect
to this need, Pargo has created a network network into the neighbouring countries of
of over 2,200 pick-up points, with a store in Botswana, Lesotho, Swaziland and Namibia.
every town and every suburb in South Africa, Additional pick-up points in South Africa’s
including the most remote ones. urban areas, townships and rural areas are on
Missed deliveries: People are not at home. the cards.
Traditional courier services generally deliver With more than 2,200 pick-up points
during the week between 9am and 5pm. in southern Africa, I believe Pargo is well-
This is impractical as people are at work and versed at helping retailers in South Africa
don’t necessarily have somebody at home to with customised Click and Collect solutions,
receive the parcel on their behalf. Besides, a thereby enhancing customer experience
large percentage of South African shoppers while increasing revenue. We are excited to
live in security estates, which adds additional see where Click and Collect will take us and
challenges to courier delivery. Many South which unique African challenges it will help
Africans are excluded from receiving online us to solve. •
June 2019 | Logistics News 9

