HelloPackage Analysis: Apartment Communities Can Expect to See More Packages a Week as Major Carriers Move to Seven-Day Per Week Delivery

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The influx could further burden onsite staff, negatively impacting ability to sign new leases

The apartment industry needs to find ways to get ahead of this evolution and have the right technologies in place to effectively handle the package and carrier volume of today, and more importantly, tomorrow.

HelloPackage, a forward-thinking, logistics software and hardware platform that solves the package management problem for apartment communities, today announced that apartment communities can expect to spend more than the typical two-to-four hours per day on managing packages as carriers implement seven-day delivery.

The analysis comes on the heels of a recent FedEx Ground announcement that they are moving to a seven-day per week delivery model in January 2020 to compete with USPS and Amazon. Other major carriers are expected to follow suit.

“Package volume, weight, and size are already a growing problem for apartment owners. Now they have to contend with a greatly increased number of carriers coming seven days per week at all times of the day,” said James D. Grady, founder and chief executive officer of Package Solutions, Inc., the makers of HelloPackage. “The influx of carrier deliveries will create even more complexity around package management, create new security risks, block driveways/package rooms, and most importantly continue to further distract staff from their all-important task of leasing apartments.”

The package management problem is expected to compound in the future. In 2018, ecommerce growth averaged 14.3 percent while ecommerce in Q1 is already 10 percent of all retail sales.

The apartment industry is already experiencing the impact of growing online retail sales. According to the 2018 Package Delivery Survey conducted by the National Multifamily Housing Council and Kingsley Associates, package volume of more than 100 packages per week increased by 54 percent between 2014 and 2018; the largest increase (300 percent) was found in communities receiving more than 400 packages each week.

Apartment owners face an even greater threat in alternative distribution channels where retailers large and small are delivering directly from the store to the apartment community and bypassing the traditional logistics network. This means more packages, heavier/larger packages, and more carriers.

“The delivery landscape is rapidly evolving and finding additional ways to provide greater convenience and speed to buyers. The apartment industry needs to find ways to get ahead of this evolution and have the right technologies in place to effectively handle the package and carrier volume of today, and more importantly, tomorrow,” Grady said. “The key to solving the package problem at apartment communities is advanced software that is integrated with all stakeholders - carriers, property management systems, and residents. This software has to be intuitive and adjust its algorithms each day to maximize the precious space available at apartment communities. Apartment owners find themselves in the last-mile of the logistics supply chain and need better tools to do the job. Apartment staff and 100 year-old package lockers are simply not equipped to handle this complexity,” Grady continued.

About Package Solutions, Inc.

Headquartered in Atlanta, GA, Package Solutions, Inc., is the maker of HelloPackage. HelloPackage is the world’s most advanced package room technology for high-density environments such as apartment communities. HelloPackage is focused on a dedicated, scalable and lockerless package solution capable of handling the growing complexity of more packages (increased package volumes, shapes, sizes, and weights) and increased carrier deliveries. The patent-pending product is cost efficient upfront and has a low total cost of ownership (TCO). The HelloPackage system is easily expandable as package volumes and size increase and offers up to five times the density of package locker systems in a given space, has much greater package throughput, offers layers of both physical and electronic security, and utilizes sophisticated software to make package delivery (and return) fast for residents and carriers.

For more information, please visit https://hellopackage.com.

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Marlena DeFalco
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