How to combat lost packages

Occasionally, packages end up missing. That's a fact. 

Since the pandemic began in 2020, it, unfortunately, has become the norm for many consumers to experience theft or loss of packages. In part, this can be attributed to the sheer volume of shipments during that period of time. According to DeliverySafe, 8 in 10 American consumers shop online, which of course means an acceleration of small parcel delivery and an increased probability of stolen packages. Frank Albergo, president of the Postal Police Officers Association, has said, "Mail theft is at epidemic proportions; it's never been higher."

From 2019 to 2020, C+R reported an increase of 7% in the number of Americans who had packages stolen. The prevalence of package theft is increasing, and companies are increasingly required to reimburse or replace missing items. Additionally, package theft has presented fraudsters with an opportunity to commit crimes. There is a growing awareness that some customers are attempting to take advantage of the "stolen" packages to receive multiple items or money back in the event the package was delivered successfully. Ultimately, companies are responsible for the loss of money, regardless of how it occurs.

So, how is one supposed to combat the cost of replacing or refunding lost packages?

Address validation

While porch pirates may sometimes steal the package, sending orders to the wrong address can also result in lost packages. An incorrectly delivered package almost always results in unhappy customers. There is a feature in ShipWise specifically designed for this purpose. Our real-time address validation determines whether an address is commercial or residential, an invaluable determination in e-commerce shipping. Above all, it verifies if the order address exists and catches errors that may have been inputted by a customer. Whether being applied to all orders, or just one-off verifications, the result is that your company will save money and reduce the number of packages lost. 

Parcel tracking

In order to reduce the number of stolen or lost packages, tracking is an essential feature. The ability to see a package delivered in the correct location allows businesses and customers to verify that everything was carried out as expected. Communication is extremely significant when it comes to tracking. In recent years, companies have begun sending text, email, or app notification updates to notify customers when the package has left the facilities, the morning it is out for delivery, and when it has been dropped off. Some companies, like Amazon, have even started to require pictures taken when packages are dropped off. This is to prove that items have been delivered to the correct place and at the correct time. That way, consumers can keep a look out for their orders and grab them off the porch before someone else has the opportunity. Research by Verte found that 91% of consumers actively track their packages and that 70% of American consumers surveyed would rather continue to check to track their orders digitally than connect with customer service or the shipping company if their shipment is delayed. Providing excellent customer service is all about effective communication.

#SHIPTIP: ShipWise partners with Pitney Bowes to help you create an on-brand tracking experience through Consumer Connect. Increase sales and loyalty through effective communication. Utilizing the Pitney Bowes Consumer Connect helps you engage with consumers in the "blind spot," which refers to the point after the purchase to the time the package is delivered to the consumer. 

Parcel insurance

When it comes to lost, damaged, or stolen packages, parcel insurance is the last line of defense. Different carriers, both large and small, offer per-package insurance or automatic insurance with packages valued under $50. However, when dealing with high-mix, high-volume shipping, insurance can become difficult to manage - especially if your company uses multiple carriers.

By utilizing parcel insurance, tracking communication, and, of course, shipping software, businesses can reduce lost packages and keep their businesses running efficiently, thereby improving their bottom lines.