Businesses can earn extra income through “locker” placements

Dec 29, 2023
4 Mins Read
Amazon locker

We have seen delivery lockers pop up more frequently than ever this year, as other delivery firms expand into a concept made popular by Amazon, the installation of a locker is also now seen as a way that established businesses can increase their income on a regular basis.

According to the most recent report from the National Markets and Competition Commission (CNMC), on the current state of parcel delivery and electronic commerce, more than half of the population in Spain makes purchases online. In fact, almost 95% of these online purchases involve receiving packages.

In general, although depending on the distribution company chosen, a business that offers package delivery or collection service could experience an average growth in sales between 12% and 20%, according to the data provided by the parcel companies.

The option of having a lockers installation not only benefits buyers and logistics companies, but can also represent extra income for businesses, generating monthly profits that could reach 900 euro.

The specific amount of income will depend on the quantity and size of the packages delivered. According to information provided by Inpost -formerly Mondial Relay-, the payment per package could vary between 0.30 and 1.50 euro, with the weight of the package being the determining factor in the price. Therefore, the greater the weight and size, the greater the benefit. “Strategically located stores, with a high influx of people, can manage more than 100 packages a day for delivery,” says the shipping company.

On the other hand, the well-known Amazon service allows self-employed workers to earn between 0.35 and 0.40 cents per package received, also depending on its size and weight.

The possibility of installing a locker was popularized by Amazon. This modality consists of installing a series of metal cabinets at the point of sale, where the self-employed person can forget to attend to those who come to pick up their shipment themselves. It is an automated process where the delivery people leave the packages in the different lockers to later be picked up by the customer by showing a barcode or entering a tracking code.

The Locker closet has a price of approximately 15,000 euro but the infrastructure is fully paid for by Amazon, although the premises must meet the ideal conditions of dimensions, interesting location for the company and another series of requirements to be taken into account by the experts.

Something that InPost highlights is that the lockers stand out for their variability in terms of size, which allows a precise adaptation to the space available in the premises. In the case of this company, the dimensions necessary to install the closet range between 2 and 6 metres and you can choose to place it both indoors and outdoors.

“This feature gives freelancers the freedom to choose the most convenient location for their customers, whether inside the establishment for a more integrated pickup experience or in easily accessible outdoor areas,” highlight Inpost.

Other companies, such as Amazon, require that businesses have a capacity of 6 x 6 metres free. “This is so that customers or users of the lockers have comfort when picking up the packages they have ordered.”

The size of the package must also be taken into account, since the lockers have limited space. From Amazon they confirm that the “ideal” package should measure a maximum of 42 x 35 x 32 cm, with a maximum weight of 4.5 kg.

To install it, the main requirement, apart from space, is to have an electrical power point to operate. Although the shipping, installation and maintenance costs are borne by the logistics company, it is the self-employed person who must pay for the locker’s electricity consumption.

Both Amazon and Inpost offer customer support 24 hours a day, every day of the week, so if a user has problems when collecting their order, they can manage it directly with the customer service of these companies.

In the case of Amazon, when the package arrives at the assigned locker, the customer has a period of 3 business days to pick it up. But if it does not appear, it does not involve extra management for the owner of the premises, because, if that happens, it is the delivery person who is in charge of returning it to the warehouses.

CTT Express, a prominent company in the parcel sector, explains that they highly value the location of the business when implementing it as a collection point. “These convenience points help a lot, in areas where there is more population density, to bring together deliveries and make them more effective and sustainable, in one stop. It is about not having to travel so many kilometres inside cities due to pollution. In addition, the recipient does not have to wait for the arrival of the package, but rather picks it up near their house whenever they want.

One of the advantages that the shipping company points out with respect to the self-employed business is that the establishment would begin to receive more visits and traffic to its own business, which would gain popularity. “The person who goes there to pick up a package may also be a potential customer of yours and, as they pick up the package, may make a purchase.”

The steps that the self-employed person must follow to install a package collection locker

In Spain, there are several package delivery services, and the requirements to join their network of collection points through lockers are generally the same:

  • Have a commercial premises licence
  • Offer a direct sales service to the public
  • Have the minimum dimensions required by the company
  • Fill out the necessary form with information about the premises

Once the application has been submitted, the parcel delivery company will assess the conditions and decide if the premises meet the necessary requirements to install one of its locker cabinets.

The post Businesses can earn extra income through “locker” placements appeared first on Spain Today – Breaking Spanish News, Sport, and Information.

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