Amazon Pickup Locations in 2022: How Sellers Can Optimize this Fulfillment Option
As an experienced Amazon seller, I‘ve seen pickup locations become an increasingly popular fulfillment choice over the past few years. Amazon has rapidly expanded their pickup network, giving sellers like us the ability to provide faster, more flexible delivery without relying solely on shipping to customers‘ homes.
In this comprehensive guide, we‘ll explore everything sellers need to know about Amazon‘s pickup options in 2022. I‘ll share tips on preparing inventory, leveraging promotions, and optimizing the customer experience to take full advantage of this fulfillment method.
The Growth of Amazon‘s Pickup Location Network
Amazon currently has over 900 staffed and self-service pickup sites across the United States according to recent figures from their 2021 annual report. This includes:
- 27,000+ Amazon Locker locations
- 500+ Amazon Hub counters
- 5,000+ pickup spots at Whole Foods, Rite Aid, GNC, and other retailers
In 2021 alone, Amazon increased their pickup location network by over 30% to meet growing customer demand for fast, flexible delivery. They expect to expand these options even further in 2022.
As an Amazon seller, it‘s important to recognize this shift in buyer preferences. Nearly 72% of customers reported choosing pickup locations for convenience, according to a Brightpearl survey.
Offering pickup fulfillment can help us better serve our customers while controlling costs compared to home delivery. Now let‘s look at how different types of pickup work.
Overview of Amazon Pickup Options
Amazon provides several pickup choices for orders fulfilled directly through them. Here‘s a comparison of the main alternatives:
Pickup Type | Description | Accessibility | Security | Cost (FBA) |
---|---|---|---|---|
Amazon Lockers | Self-service kiosks in public locations | 24/7 access with code | Locked compartments | Free |
Amazon Counters | Staffed pickup counters inside stores | Retailer hours | Behind counter | Free |
Amazon Hubs | Combined locker banks and counters | 24/7 lockers Retailer counter hours | Locked compartments Behind counter | Free |
USPS Pickup | Select post office locations | Post office hours | Retail counter | Discounted USPS rates |
FedEx Pickup | Participating FedEx Office stores | Retailer hours | Retail counter | Discounted FedEx rates |
As you can see, Amazon Pickup provides our customers with convenient, secured package retrieval across major metro areas. Now let‘s go over how to optimize our inventory.
Preparing Inventory for Pickup Locations
When sending products to Amazon FBA that we expect to be delivered via pickup locations, there are a few key tips to follow:
Use display-ready packaging – Since customers may open packages to inspect items before taking them, ensure exterior packaging is presentable with no loose components.
Secure all contents – Internal packaging like bubble wrap should keep products secured inside boxes to prevent damage. Include any necessary inserts.
Simplify prep instructions – The pickup experience is quick, so include minimal insert materials requiring customer setup. Opt for ready-to-use.
Set size and weight limits – Pickup lockers have dimension limits, usually 12" x 12" x 16". Over 50 lbs may be restricted. Check requirements.
Leverage shipping presets – Use Amazon‘s preset boxes and bundles to optimize packages for locker dimensions.
Avoid hazmat products – Chemicals, batteries, pressurized cans may be prohibited from pickup locations by Amazon. Verify eligibility.
Best Practices for FBA Pickup Fulfillment
If you use Fulfillment By Amazon (FBA) for order processing, there are a few additional tips to maximize success:
Only send eligible inventory – Make sure your products are approved for Amazon‘s pickup locations before replenishing FBA stock.
Analyze demand – Use Amazon‘s analytics to see which zip codes have highest pickup location usage and stock accordingly.
Monitor restrictions – Amazon may implement temporary bans on high-value or restricted items from pickup during peak periods.
Provide tracking – Tracking numbers on Seller Central allow monitoring of FBA shipments to pickup sites and inventory replenishment.
Use QR codes – On product packaging, include scannable QR codes so customers can learn more using the Amazon app while retrieving orders.
Promotions to Increase Pickup Usage
As Amazon sellers, we can encourage more customers to use pickup locations with targeted promotions:
Offer 5-10% discounts for pickup orders to incentivize choosing this delivery method
Provide exclusive coupon codes usable only on pickup orders to drive trial and adoption
Partner with local businesses to distribute promotional flyers with pickup location details and offers
Run social media contests for customers sharing pickup experience and tagging your brand
Advertise reduced shipping times for pickup orders vs. home delivery during holiday peaks
By incentivizing customers to select pickup, we can reduce shipping costs and provide quicker fulfillment, especially during high-volume periods.
Optimizing the Customer Pickup Experience
Understanding the customer‘s perspective allows us to improve the end-to-end pickup process. Some best practices include:
Providing clear pickup instructions on packaging to facilitate order retrieval
Sending pickup notifications via email and text message to remind customers
Monitoring pickup timeframes and following up with customers approaching expiration dates
Collecting feedback after pickup through QR code surveys on packaging or via email
Handling any issues promptly and reshipping unclaimed orders when necessary
Offering self-service support for pickup through FAQ pages and tutorial videos
By fine-tuning the pickup experience based on customer input, we can increase satisfaction and repeat usage.
Conclusion
Amazon‘s ever-expanding pickup location network provides a valuable fulfillment option that sellers should incorporate into their omnichannel strategies.
As experienced Amazon sellers, we need to optimize our inventory, promotions, and customer experience to remove friction from the pickup process. This allows us to meet buyer expectations for quick, convenient delivery across metro areas.
I hope this guide has provided helpful insights into maximizing Amazon Pickup in 2022. Let me know if you have any other questions!