PUDO in the UK | Verdict Channel Report

With growth of 274.8% from 2013 to 2018e, the UK PUDO market is set to grow at a quick pace. However, it will face obstacles in achieving this rate of growth, ranging from shopper behavior and uncertainty, to retailers' capacity and willingness to engage with the service.

With only 15.0% of shoppers who have never used locker services intending to try them at least once, providers need to build awareness in order to establish the service. An important step in increasing the uptake of lockers is in getting shoppers to use the service just once.

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Though Collect+ type services as a main delivery method are far behind that of the Post Office in many sectors, over the next five years we expect Collect+ and similar services to become the primary PUDO delivery method. While Post Offices are closing around the UK, Collect+ has been greatly expanding its coverage.

Report Summary

We forecast the value of the pickup & drop off (PUDO) market to increase by 275% from 2013 to 2018. While the likes of Collect+ and Amazon Lockers are in the early stages of being established as core delivery options, over the next five years we expect major growth. This report analyses key trends, who is using the service, and market value broken down by sector.

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Table Of Content:
1 Overview

2 Key Findings
2.1 PUDO will triple in size over the next five years aided by provider investment
2.2 Building customer awareness is key for PUDO growth
2.3 PUDO market growth could be limited by retailers' focus on other delivery methods
2.4 Partnering with online pureplays affords PUDO providers a competitive advantage
2.5 Retailers are partnering with pureplays, cutting out PUDO providers
2.6 High proportion of PUDO users will use it less often in the future
2.7 Lockers' appeal among non-users is minimal

3 Market Summary and Forecast
3.1 Market forecast
3.1.1 PUDO market set to triple
3.1.2 Clothing & footwear driving PUDO growth
3.2 PUDO penetration
3.2.1 Affluence gap narrows

4 Trends
4.1 PUDO service providers must boost shopper engagement
4.1.1 28.0% of convenience store and pick-up point users to use the service less often
4.1.2 Collection via Post Office or delivery hub becoming more appealing to consumers
4.1.3 PUDO user satisfaction on the rise, but still the lowest out of all delivery methods
4.1.4 Greater proportion of non-PUDO shoppers are willing to give it a try
4.2 PUDO moves instore
4.3 Collect+ has the scale and awareness to fight off competitors
4.3.1 Prompt expansion is key…
4.3.2 …but considered PUDO locations are imperative
4.3.3 Expanding relationships with retailers to increase accessibility
4.3.4 Doddle's fast expansion and high footfall locations make it one to watch

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5 Sector Analysis
5.1 Books
5.1.1 PUDO remains a tiny channel for books
5.2 Clothing & footwear
5.2.1 Greater awareness of PUDO services provides growth opportunities
5.3 DIY & gardening
5.3.1 PUDO increases but accounts for only a small proportion of the sector
5.4 Electricals
5.4.1 Amazon drives PUDO growth
5.4.2 Building customer awareness
5.5 Furniture & floorcoverings
5.5.1 Furniture & floorcoverings online is set to achieve the strongest uplift in shopper numbers up to 2019
5.6 Food & grocery
5.6.1 PUDO will struggle
5.7 Health & beauty
5.7.1 PUDO grows but remains tiny
5.8 Homewares
5.8.1 Homewares PUDO market is third largest of all sectors
5.9 Music & video
5.9.1 PUDO represents 0.1% of total online music & video market

6 Methodology

7 Appendix
7.1 Definitions
7.2 Abbreviations

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This release was published on openPR.