Will Your Customers Pay for Green Solutions?


Logistics innovations

Eco-conscious consumers are keenly aware that today’s choices will impact the planet far into the future. Creating sustainable living solutions is vital to our future that today’s consumers are willing to pay a premium to support products and services that propel us toward an earth-friendly future.

Since the pandemic, consumers are more aware of their shopping habits’ impact on the environment. The number of consumers who actively seek out and purchase environmentally friendly products has increased tremendously. The populace is actively trying to reduce their carbon footprint.

The Green Movement Is Growing

Business analysts agree that the Green Movement is here to stay.Consumers from all over the world are paying closer attention to how companies operate. They ask themselves fundamental questions before spending their money with a particular merchant. Questions such as:

  • Is this product packaged responsibly?
  • Is this product made locally or overseas?
  • Is this product reusable, or can it be donated?
  • Is this product made of sustainable materials?
  • Is this product mass-produced or in small batches?

The Harvard Business Review looked at a study conducted by NYU Stern’s Center for Sustainable Business. Their research found that products marketed as eco-friendly grew faster than their traditional counterparts. The data proves that consumers vote with their dollars and demand that companies create clean energy solutions.

Millennials are particularly conscious consumers.This generation has emerged in a culture where veganism is popular, solar panels are affordable, and conversations surrounding carbon footprints, and clean drinking water are prevalent.

The Millennial demographic comprises the most significant percentage of workers, causing a shift in consumer behavior. According to the Environmental Journal, 75% of millennials are inclined to pay extra for products aligned with their social and environmental values. Consider that by 2025, 75% of the US workforce will be millennials. Therefore, offering sustainable products and services will be necessary for businesses to remain competitive.

The Downside of Online Shopping

Another major shift observed as millennials begin to exercise their buying power is the increase in online shopping. E-commerce has benefited from the pandemic and a new generation of shoppers who value convenience. In addition, many shoppers also consider online shopping as more sustainable than traditional in-store visits. But, as it turns out, the delivery system required to meet same or next-day delivery negates those benefits.

Delivery – Combined shipments and efficient routes for delivering more packages in fewer trips are beneficial to the environment. However, many deliveries to homes and offices fail on the first attempt. As a result, drivers may require up to three trips to deliver the exact item increasing carbon emissions.

Photo of a parcel being retrieved from a ParcelPort smart locker

A courier quickly depositing a package

Returns – Online shopping also has a higher rate of return and exceeded 20% for the first time in 2021. When consumers return online items, the carbon footprint effectively doubles to bring products back to their origination location.

Packaging – A sizable portion of the world’s waste is the packaging. In fact, according to the EPA, packaging accounts for more than a quarter of all waste. Using packaging materials that are not recyclable is causing significant harm to the planet and creates more waste for the consumer.

Most Smart Parcel Lockers are about 24 inches deep and 78 inches high. For every 20 inches of locker length, you can expect to have, on average, eight locker slots. With the calculated number of slots required, you can determine how much space you need to house your locker. Using the numbers above, if you need 80 slots, you can figure that you’ll require about 200 inches (or about 16 feet) of linear space.

Smart Lockers as a Greener Option

Delivery vehicles stopping at every home on your block is undoubtedly an unsustainable practice for the environment. The fuel and time required for immediate gratification and ultimate convenience are also costly. Research shows that delivering that final mile to a home or office can account for more than half of the logistics costs. One potential solution is the introduction of Smart Parcel Lockers in dense yet convenient locations.

Delivery – Smart Lockers are an ideal solution to many of the ecological problems online retailers face. They allow couriers to deliver products to central locations rather than hundreds of individual homes and offices. And fewer stops means less time spent on the road, reducing carbon emissions and eliminating the need for multiple delivery attempts.

Returns – Configurations are available that allow Smart Lockers to accept return items. Delivery drivers may pick up returned items and deliver newly purchased items simultaneously, reducing drive time and fuel usage. On the other hand, consumers welcome convenient return options and appreciate more environmentally sustainable systems.

Packaging – Smart Lockers potentially eliminate the need for extra packaging on local and regional shipments. Packages are secured in slots which reduce the need for bubble wrap and cardboard boxes. Consumers are then not inconvenienced with disposing of extra waste and find value in the extra care taken to reduce harmful waste byproducts. Additionally, returns into lockers do not require repackaging as they would if they are sent back using traditional shipping methods.

Greater than the Sum of Its Parts

For these reasons, eco-conscious consumers value the sustainability offered by Smart Lockers when choosing online retailers as they:

  • Reduce waste
  • Promote better air quality
  • Reduce carbon emissions
  • Are fast, safe, and dependable
  • Reduce the use of landfills
  • Help protect our waterways
  • Save energy and resources
  • Lessen our monetary impact
  • Aid in eliminating dangerous greenhouse gasses

It has never been a better time for businesses to start offering eco-friendly services like those supported by Smart Lockers. Investing in sustainable solutions for the consumer, retailer, and the planet is always a smart idea.

To learn more about how your organization can maximize smart lockers to reduce cost, increase revenue, and delight your customers, contact the ParcelPort team online by visiting www.theParcelPort.com, email us at sales@theParcelPort.com, or calling 1-800-818-0870.