Lukasz Nowinski: easyPack 24/7: case study from Poland on last-mile delivery options
easyPack 24/7: case study from Poland on last-mile delivery optionsŁukasz NowińskiManaging DirectorInPost
Agenda Company overview How did we start? Developing the service in Poland Expansion to other countries
Listening to customers’ needs and observing market trends Distribution of Postal services Financial and insurance MVNO operator unaddressed mail largest alternative postal services Services for Carrefour Mova market leader in operator in Poland Offer for businesses and and new service Freemdistribution for supermarket individuals launched in Autumn 2010 chains Distribution of UDM in Automated parcel Logistics services Ukraine terminals InFlavo logistics support to Group’s Services in over 300cities Sending and collecting Internet shops on subsidiaries parcels 24/ 7 Facebook
InPost – wavemaker from Poland Listed on the Warsaw Stock Exchange The largest private postal group in Poland World Mail Awards winner Growth (2010), Innovation (2011) e-comerce (2011) Business culture and Performance reflected in earnings and recognised by investors 2011
Year 2009 Growth potential for e-commerce in poland 36.4% growth of e-commerce Wartość polskiego rynku e-commerce (w mln zł) Sklepy internetowe Platformy aukcyjne between 2008 / 2007 6480 4600 4530 3470 3000 7,000 active e-retailers 980 921 1300 1800 2000 152 180 328 410 48 60 2001 2002 2003 2004 2005 2006 2007 2008 6.9 mln Poles did online shopping Bright future for e-commerce globally
Year 201119% growth of e-commerce per yearSource: Invesp
Year 2009Parcel terminal answering needsof customers Important factors for customers: Decision to do it on Speed of delivery our own Low price Easy ways for parcel collection No focus on B2C customers Bad quality postal services vs expensive couriers A few APT providers – all very expensive
Year 2011 420 machines in Poland Number Max dimensions Self-service pick-up points for Size of boxes (in cm) collecting and sending parcels Size A 32 8 x 38 x 64 cm SMS / email notification about the Size B 32 19 x 38 x 64 cm parcel in the machine Size C 12 41 x 38 x 64 cm User and producer of the machines Machines already contracted to 9 countries: Estonia, Cyprus, Czech Republic Lithuania, Latvia, Russia, Slovakia, Spain, Ukraine
How it works Additional functions of easyPack by InPost: Credit card/cash acceptors Returns based on barcodes Sending of parcels directly from terminal
What we achieved in 2 years 420 machines in over 100 cities in Poland 8 countries contracted in 2011 … more to come Over 500 active e-retailers New segments – MLM, return logistcs etc Customer database: >200.000 fans on Facebook >300.000 customers used the service (registered and non-registered users) 61% clients used easyPack 24/7 again
easyPack operating markets usage data 74% prefer easyPack vs 37.45% - collection between 18:00 – 8:00 courier delivery 51% parcels collected within 6 hours 17 sec average time needed to pick up a parcel 97% of parcels delivered next daySource: CATI research 1Q 2011 Polish market, research sample 600 buyers, & own data
77% of customers have easyPack within 10kmSource: Own data collected from registered users
… We know how to make it work Where to locate easyPack machines? How to convince shops and business partners to offer the service? How to attract customers? How to track customers behaviour and stimulate frequency? What may go wrong and how to avoid pitfals?
16What needs are satisfied? Cheap and convenient delivery (Cheapest service – saving money)But the most important are COMFORT and CONFIDENCE Fastest option - 97% delivering day after posting Availability - 24h access Innovative service + modern solutions = unique experience Comfort - „just when I want it and how I need it” Security - Parcels are fully safe No queues - saving time – average time of collecting a parcel is 17 seconds
56% growth of easyPack deliveries Paatal.pl customers soft roll out 56% growth of easyPack delivery after the promotion (lack of materials for analysis before the promotion- new shop) During action percentage easyPack relative to other delivery option is 18% and after action 23%. Communication channels: On-line activities: banners + subpage E-mailings Posts and graphics on facebook.com/paczkomaty E-mailing statistics: Database 97 463 Unique opens 18 499 – 18% Unique click 274 – 0,2 % Results: over 127 participants received a special gift- product
Groupon sales up to 97% products via easyPack! Communication channels Standard daily e-mailings of Groupon On-line activities: banners + subpage Groupon application for iPhone Delivery options: UPS easyPack by InPost Results: Depending on the product that is offered delivery option via easyPack goes from 37% up to 97% Average share of deliveries to easyPack 75%
We do have clients and we ……………make profit on it The world’s mostchosen vendor in 201026-month Return onInvestment4-month Time to market
Second largestnetwork globally18 000 easyPack by 2016
„If I had to guess, social commerce is the next toblow up” – Marc Zuckerberg, CEO of Facebook Facebook Mobile E-commerce commerce commerce E-shops on MVNO – free access easyPack 24/7 Facebook to internet via phone
Thank you for your attention visit our stand no 4073Łukasz NowińskiManaging Director
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