Flipkart launches 20 pick-up centres to mitigate delivery issues

'Experience zones' will allow customers to collect shipments at their own convenience

Online retailer Flipkart on Tuesday introduced 20 pick-up centres for its customers in 10 cities across the country. These so-called ‘experience zones’ will allow customers to walk into a centre at their own convenience and collect products ordered online.
 
The centres have been set up by Flipkart's logistics and delivery unit Ekart.
 
Unavailability of customers during delivery and restricted entry of delivery boys into information technology parks, gated communities and educational institutions are among the primary reasons that leads to customer dissatisfaction with the delivery process, Flipkart said in a statement.
 
Flipkart expects this alternative delivery model to catapult customer convenience, while enhancing scale and reach in supply chain expansion.
 
The company said these collection points will form a key element of Flipkart’s rural expansion strategy. “Flipkart plans to expand their reach into Tier 4 towns and rural areas by making the entire town serviceable from a pick-up centre, a reliable alternative to door delivery in small towns,” it said. 
 

A pilot project, Flipkart claimed, has received an overwhelming response from customers with more than 80% of shipments picked up through the stores over a period of 6 months. Banking on the success of the first phase launch, the company aims to open 100 such centres by March 2016.
 
Logistics and good customer experience are the most common sticking points for e-commerce companies in India. As a result, most online retailers are increasingly partnering with logistics firms to address the problem.
 
“Our efforts are focused on expanding our delivery network without compromising on the customer service levels and expectation,” said Neeraj Aggarwal, Senior Director (Delivery Operations) at Flipkart. “We also plan to offer several value added services like instant returns, spot trials, open box deliveries and exclusive product demos at these experience zones to enhance customer engagement.”