Parcel delivery service CouriersPlease is predicting a second parcel boom before Christmas with a 30 per cent increase expected in the December quarter.
CouriersPlease’s (CP) latest research explains Victoria and New South Wales’ extended lockdowns is expected to prompt the next surge in parcel deliveries.
Between March and May 2020, CP experienced an 80 per cent spike in parcel volumes on the previous year. After lockdowns ended and restrictions began to ease, parcel volumes stabilised to a level that was still 53 per cent higher than in 2019.
October to December is peak period for the logistics industry, given the popularity of major shopping events such as Black Friday and Cyber Monday, as well as Christmas shopping. At CP, parcel volumes grew to more than 4.6 million in 2019, an increase of just 1 per cent (52,000 parcels) on the 2019 September quarter. During last year’s December quarter, however, CP handled more than 8 million parcels. While this was a 4 per cent increase in volumes (340,000 parcels) on the 2020 September quarter, it amounted to a significant 71 per cent growth on the 2019 December quarter.
Phil Reid, Chief Operations Officer at CP, says the current lockdowns have seen volumes soar to the levels we see during peak periods.
“Since last year’s boom, we expanded the business rapidly, doubling our franchisee network and hiring hundreds more delivery drivers,” Phil says. “However, volumes continue to soar to record levels, and a second parcel boom this November and December is inevitable. We are preparing for a more than 30 per cent increase in volumes during this period and have already started recruiting more warehouse staff and delivery drivers where possible.”
A 30 per cent increase would see 2.4 million more parcels than the company delivered last December quarter, and 122 per cent (5.7 million parcels) more than the 2019 December quarter.
“It is important for shoppers to understand that couriers across the country are delivering more parcels than ever before, particularly as lockdowns continue in Australia’s two largest cities,” Phil adds. “While it is a challenge for the industry to keep up and deliver within timeframes, we do know how frustrating it can be for those waiting to receive essential and urgent items. There are several recommendations retailers can share with their customers to minimise delivery delays. However, preparing for potential delays remains important and shoppers should pay particular attention to notifications from couriers, who are updating delivery timeframes and communicating delays to the best of their ability.”