Online shopping is a modern marvel. With just a few taps on our screens, we can summon everything from quirky toys to the latest TVs. Yet, there's a dark side to this convenience. And in 2022, 49 million Americans experienced it—the trend of 'porch piracy,' or the unexpected theft of packages from our doorsteps. The numbers tell a disheartening story: each theft averaged a $50 loss, totaling $2.4 billion. But these raw digits go beyond statistics; they represent ruined birthdays, anniversaries, and cherished moments.
Recognizing the escalating challenge, UPS unveiled DeliveryDefense™ – a modern twist on traditional security systems. This pioneering solution taps into real-time visibility and artificial intelligence, boosting package security by analyzing past delivery data to predict risks and suggest safer delivery routes. And what's truly thrilling? This solution is just the beginning.
As online shopping continues to boom, the accompanying rise in delivery thefts has not gone unnoticed. While offering countless conveniences, e-commerce has also unwittingly opened the door to a significant challenge: package security.
As e-commerce continues its meteoric rise, shippers face a looming shadow: the relentless increase in delivery thefts. It’s bad enough that 49 million Americans were victims in 2022, as discussed. But a deeper dive into the details reveals not a transient hiccup but a burgeoning crisis. Across the U.S., roughly 1.7 million packages get stolen daily. Moreover, 36% of Americans recount the sting of a stolen package from their porch, a statistic surging to 41% in urban centers. But the challenges don't stop at our doorsteps. Between October 2022 and March 2023, over 300 mail carriers were targeted, signaling a rise from the previous year. During these months, reports also documented a disturbing 25,000 mail theft incidents. And for added perspective? Mail theft incidents surged by a staggering 600% from 2017 to 2020.
The convenience of e-commerce shopping from the comfort of our homes has unintentionally made it easier for thieves to target unattended packages, causing significant challenges for the e-commerce sector. Shippers and retailers now face the headaches of missing packages, disgruntled customers, and the cost of reshipping. To make matters worse, about half of consumers feel that delivery companies aren't doing enough to prevent these thefts, potentially damaging the industry's reputation. In response, many are turning to solutions like rerouting packages to workplaces or relatives' homes or being home during expected deliveries.
Ensuring secure deliveries is no small feat. Shippers confront a myriad of challenges:
From 2019 to 2022, roughly a billion new e-commerce shoppers emerged globally, highlighting the sector's rapid growth. Yet, with this growth, it was also a sector woefully unprepared for resulting vulnerabilities, such as porch piracy and fraud. So, in response, UPS Capital launched DeliveryDefense, a predictive analytics tool crafted to enhance the shipping experience and protect merchants from these threats.
DeliveryDefense, a feature of InsureShield Shipping Insurance by UPS Capital, stands out as a trusted ally for e-commerce retailers. This tool uniquely assesses delivery risks nationwide, offering retailers a valuable edge. Mark Robinson, President at UPS Capital, says, “DeliveryDefense empowers merchants to select optimal approaches for seamless and successful deliveries, prioritizing the customer experience.”
Using UPS's extensive data, combined with artificial intelligence and machine learning, DeliveryDefense gives merchants a 'delivery confidence score' through an easy-to-use API. This score helps retailers make smart delivery decisions based on address analysis and past loss data. Here's how it works:
Addresses with lower DeliveryDefense scores face 63 times more post-delivery issues than higher-rated ones, highlighting the system's efficacy. Moreover, the platform is user-centric, making integration easy with intuitive APIs like InsureShield Connect. The fact that big players like Costco and Luxottica are beta-testing DeliveryDefense should say enough about its potential. However, there’s a long way to go. This system is just one component of the larger, intricate puzzle of robust delivery security.
The digital shopping age is all about convenience and speed. Yet, there's a missing piece: knowing exactly where packages are and when they'll arrive. Real-time visibility fills that gap. Instead of knowing when an order leaves the warehouse or reaches a hub, you get a play-by-play, live update from order to doorstep. Additionally, thanks to tech like GPS and data insights, it’s possible to foresee disruptions and sidestep them for smooth deliveries.
Real-time visibility is transformative for the delivery ecosystem in numerous ways:
Customers want to see where their packages are in real-time and expect to. With advanced tech and machine learning working together, real-time tools can now predict package arrival and enhance its safe delivery.
The potential synchrony between real-time visibility solutions and UPS's DeliveryDefense is unmistakable. Real-time visibility tools give businesses a direct look into their shipments from the moment they leave the warehouse. These tools predict arrivals with pinpoint accuracy thanks to machine learning, factoring in constraints like capacity and regulations. Meanwhile, DeliveryDefense ups the game by evaluating delivery risks and suggesting the safest delivery points. Together, they ensure packages are timely and delivered safely and smoothly, with fewer issues, and to the delight of customers.
Don’t only take our word for how real-time data analytics can work harmoniously with UPS’s DeliveryDefense. Look at the following ways real-time transportation visibility is transforming logistics as we know it:
For today’s shippers, ensuring a package's security is just as important as its timely delivery. Now that you have a better idea of UPS's DeliveryDefense, you can better appreciate the draw of real-time visibility and how it can help foster optimal security.
The convenience of online shopping comes with a shadow: porch piracy and delivery thefts. As these challenges grow, shippers aren't just tracking packages anymore. They're using real-time visibility to predict risks and ensure every package arrives safely. Route monitoring, instant alerts for mishaps, and smart, data-driven decisions are just a few ways. But for shippers to make the most of these tools, they need the right partner.
Intelligent Audit isn't just another name in logistics to think of partnering with; they're one of the industry’s top freight audit companies. They bring a mix of tech-savvy solutions, from business intelligence and analytics to machine learning and the clarity of real-time visibility. Yet beyond just tech, Intelligent Audit values relationships, emphasizing strong ties with carriers through transparent data sharing. Moreover, their expertise in secure carrier payments, invoice solutions, and savvy financial strategies can be transformative for shippers under pressure.
So, embrace real-time visibility, partner with the best in the business, and ensure every package's safe and timely delivery. Get started with Intelligent Audit today and see how.
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