Click and Collect Lockers Market Size (2023 – 2030)

In 2022, the Global Click and Collect Lockers Market was valued at USD 807.03 million and is projected to reach a market size of USD 2055.9 million by 2030. Over the forecast period of 2023-2030, the market is projected to grow at a CAGR of 12.4% The market growth is driven by the growing post and parcel business, which is projected to increase the use of modern smart parcel lockers around the world. BOPIS (buy online, pick up in-store) is quickly becoming a popular retail strategy. Customers may purchase from the comfort of their own homes and pick up their packages at a store or pickup site with BOPIS which in turn in is propelling the Click and Collect Lockers market.

INDUSTRY OVERVIEW:

Consumers are looking forward to a post-pandemic world, with more vaccinations being given out every day in several countries. The combined experiences of shoppers over the last year have spurred new behavioral patterns, many of which are likely to become permanent parts of consumers' daily lives in the future.  The digitalization of the customer experience was pushed in the retail world by consumers' health concerns. As a result, relatively novel conveniences such as click and collect (in which customers place orders online and pick up their items in person) have become popular, and are expected to persist long after the pandemic has passed. Customers can 'click' to buy goods online and 'collect' in-store at their leisure instead of having them delivered. Customers gain from this service in terms of speed and convenience, as well as long-term commercial benefits for enterprises of all sizes and sectors.

Smart storage lockers are a cost-effective solution to ensure that customers receive their goods on time and on their terms in-store. They can also be used as a platform to boost customer connection, increase sales, and strengthen brand loyalty if done correctly. Challenging retail conditions have only intensified the trend toward developing a contactless and self-service experience; shops and other businesses must remain competitive to survive. Curbside pickup, where consumers can pick up their products outside the store or in the parking lot, is also becoming more popular. This lowers the cost of the solution for both businesses and customers because shipping fees and operational costs connected with shipping orders are eliminated. The click and collect shopping experience's flexibility is increasing the use of smart parcel delivery locker systems for order storage and management. According to industry experts, around 67 percent of buyers in the United States utilize click and collect locker facilities, fueling the country's market growth. The click and collect solution is widely being used by retailers such as Walmart, Home Depot, and others.

COVID-19 IMPACT ON CLICK AND COLLECT LOCKERS MARKET:

According to a poll conducted by eCommerce Europe, the pandemic had a significant impact on eCommerce, with parcel delivery being substantially delayed across Europe. Retailers all around Europe have turned to offer click and collect services to better serve their customers. Click and collect services were dispersed in the area due to various lockup rules between EU member states.

The COVID-19 pandemic compelled consumers, particularly older generations, to try innovative shopping forms and purchase necessary items during lockdown periods. Covid-19 put all merchants' operational resiliency to the test, as well as consumers' patience around the world. Fortunately for everyone, Click & Collect stepped in to save the day, thanks to its built-in safety feature of not needing customers to spend time in a real store. Although click and collect is not a new service—it is widely established in the United Kingdom and continental Europe. During the epidemic, it became a vital channel offering for retailers. Its introduction was sped up at first due to security concerns, but it has since turned into a convenience factor for many buyers. Click and collect is displacing in-store and online delivery shopping, favoring companies with a local physical presence. Improved online capabilities and click-and-collect purchases in the United Kingdom helped to mitigate the impact of decreased non-essential retail sales during the second shutdown when compared to the first, while food retailers said that click-and-collect orders had boosted their online sales.

MARKET DRIVERS: 

Faster and cheaper service offered by the use of Click and Collect locker is the key factor enhancing the market growth:

Click and collect lockers are transforming the retail environment by allowing customers and suppliers to receive deliveries and pickups at any time of day. Customers can shop after hours and pick up their items within a few hours after ordering at a click and collect location. Suppliers can transport goods straight to the locker for clients to pick up or replace shop stock after hours, resulting in more efficient and lower-cost deliveries and lower store stock levels. Implementing a click and collect system has boosted sales and attracted new customers by providing super-fast, round-the-clock deliveries and pickups for both customers and suppliers. It has aided in delivering a higher quality of service while cutting down on labor costs. Customers can save money by using Click & Collect because there are no shipping expenses. Thus, the aforementioned reason is propelling the market toward a positive trend.

The availability of secure and convenient parcel collection and 24/7 delivery option is a prime factor in the market's growth:

Pickup and delivery of packages are easy and secure at any time of day or night. Lockers are also functional 24hrs due to the proper support facilities. Suppliers can transport directly to your locker for consumers to pick up or replace shop stock 24 hours a day, seven days a week, resulting in efficient and low-cost deliveries and lower in-store stock levels. When customers' orders are available for pickup, they are notified through SMS. Customer-centric solutions and the operational efficiency brought in by the use of click and collect lockers are propelling the market growth.

MARKET RESTRAINTS:

Limited Locker Capacity is one of the major reasons that is limiting the growth of the market:

The industry is trying to accommodate the rising demand for larger and higher-capacity lockers. Despite the availability of tailored and all-sized volume lockers from manufacturers, the market's growth is projected to be impeded by a lack of large-sized smart lockers. Moreover, securing a property for setting up and installing these lockers facilities is increasing the input cost which in turn is a major demotivating factor for organizations to adopt the Click and Collect locker.

Concerns about cyber security are growing, which could stymie industry expansion:

The increase in usage of digital features poses security and privacy issues. The high risk of hackers accessing the system data and unauthorized access to the vehicle can be exploited for carrying out malicious or criminal activities, including robberies and planned crimes. Furthermore, the high cost of investment in the internet network and investment required to set up the IT infrastructure adds up to the input cost and is acting as a negative influence on the market growth.

CLICK AND COLLECT LOCKERS MARKET REPORT COVERAGE:

This research report Click and Collect Lockers Market has been segmented and sub-segmented based on Type, By Application, and By Region.

CLICK AND COLLECT LOCKERS MARKET – BY TYPE

• Ambient Click and Collect Lockers

• Chilled Click and Collect Lockers

• Frozen Click and Collect Lockers

The Click and Collect Lockers market showcases a variety of locker types tailored to meet different needs. The segment with the highest market revenue is Ambient Click and Collect Lockers. These lockers are designed to store items at room temperature, making them suitable for a wide range of products. On the other hand, the fastest growing segment is Chilled Click and Collect Lockers. These lockers maintain a cooler temperature, making them ideal for storing perishable items such as groceries and beverages.

CLICK AND COLLECT LOCKERS MARKET – BY APPLICATION

• Supermarket

• Shopping Mall

• Hotel

• School

• Other

Click and Collect Lockers find applications across various industries, offering tailored solutions to different sectors. These lockers are commonly utilized in Supermarkets, where shoppers can conveniently collect their online orders and hence Supermarket segment emerges as the largest revenue holder of the market dominating in this category which reflects the growing preference for online grocery shopping. Another noteworthy application is in Shopping Malls. As the retail landscape evolves, Shopping Malls are incorporating Click and Collect Lockers to provide a seamless shopping experience for visitors that is making this segment to be the fastest growing application driven by the desire to enhance customer convenience and engagement and is poised to hold a significant market revenue during the forecast period.

CLICK AND COLLECT LOCKERS MARKET - BY REGION

• North America

• Europe

• The Asia Pacific

• Latin America

• The Middle East and Africa

North America emerges as a dominating region in the Click and Collect Lockers market. With an early adoption of e-commerce and technological advancements, the region has embraced Click and Collect services with enthusiasm. The largest segment in this region is North America itself, indicating a strong preference for this convenient shopping solution. The widespread availability of lockers across various settings, such as supermarkets and retail stores, has contributed to the robust growth of this market in North America.

Europe takes the lead as the fastest growing region in the Click and Collect Lockers market during the forecast period. The region's rapid expansion can be attributed to several factors. European consumers' increasing reliance on online shopping has paved the way for the integration of Click and Collect services. Furthermore, the presence of well-established retail networks and urban infrastructure has facilitated the deployment of lockers in key locations. This trend aligns with the evolving retail landscape, where customer convenience and seamless experiences drive innovation.

CLICK AND COLLECT LOCKERS MARKET - BY COMPANIES

There are a handful of retailers that stand out among the many that provide click-and-collect services which make the market consolidated and competitive. In the United States in 2020, the following seven multichannel retailers accounted for 64% of click-and-collect sales which include

1. Walmart
2. The Home Depot
3. Best Buy
4. Target
5. Lowe's
6. Macy's
7. Nordstrom

The financial metrics depicted by these retailers are intriguing because not all of them are large e-commerce players, nor are they all in the top 10 for general retail. This highlights the necessity of strong click-and-collect locker tactics in the retail business, especially given these companies collectively generated over USD 46 billion in click-and-collect locker facilities. Some of the key players operating in the market include LockTec, Vlocker, Parcel Hive, Penguin Lockers, Locker & Lock, Bell and Howell, Cleveron, Parcel Pending, and Luxer One among others.

NOTABLE HAPPENING IN THE CLICK AND COLLECT LOCKERS MARKET:

• PRODUCT LAUNCH- In April 2021, Lowe's, a Canadian home improvement company, introduced smart contactless pickup lockers where consumers may pick up things they've ordered online. The sophisticated lockers are now accessible in 48 Lowe's locations, with plans to extend to more locations in the future.
• PRODUCT LAUNCH- 2021 June – Your Pick-Up-Point (YPUP) has announced the debut of an improved pick-up and parcel storage service. For every workplace, industry, and market area, YPUP provides a completely automated collecting and drop-off solution.
• COLLABORATION- American Locker, Inc. struck an agreement with Quadient parcel locker provider in November 2020 to deliver advanced parcel pending solutions. The solution enabled real-time tracking, notification of the recipient, and safe and secure package delivery.
• COLLABORATION- 2021 – April A strategic agreement has been formed between Grubbrr, a commerce automation business, and Frank Mayer, a leading kiosk provider, to develop click and collect lockers. To enhance safety in the aftermath of the COVID-19 outbreak, the business distributed smart lockers to restaurants and other retailers. GRUBBRR has a contactless smart locker solution from Frank Mayer that allows them to pick up orders quickly and easily, saving both customers and employees time.