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Why the Wild West parcel industry threatens to spoil Christmas

“Sorry we missed you”: four dreaded words that are all too common over the festive period. Everyone has a story of waiting diligently at home for a parcel to arrive only to spot a note on the doorstep or to see a text message claiming their delivery has gone awry. Read More...
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“Sorry we missed you”: four dreaded words that are all too common over the festive period. Everyone has a story of waiting diligently at home for a parcel to arrive only to spot a note on the doorstep or to see a text message claiming their delivery has gone awry.

The run-up to Christmas is the busiest time for package deliveries across the country, with shoppers now far more reliant on online shopping than just a few years ago. There were 3.9bn parcel deliveries in 2023-24, compared to 2.8bn prior to Covid-19.

Yet customer service levels have not kept pace with demand. Requests for help with lost packages were up 79pc in 2023 compared to 2019 data, according to Citizens Advice data.

When things do go wrong, it can feel impossible getting a response out of delivery companies. Forty-eight per cent of people had a problem raising a complaint last year, the highest level in three years, Citizens’ Advice reports.

The charity has warned of a “worrying trend of worsening customer service” among delivery companies.

Across social media, stories abound of delivery firms sending photographic “proof” of delivery, only for parcels to disappear from porches. One Evri “delivery photo” shared with The Telegraph shows a pile of boxes in a sorting centre, rather than the package on the customer’s doorstep.

Two-thirds of shoppers experienced a problem with a package delivery in the six months to July, according to data from Ofcom published earlier this year, representing millions of parcels that were missing, delayed or dumped in the wrong place.

Among the worst offenders was Evri, with 44pc of parcel recipients reporting some kind of issue. Evri ranked particularly poorly when it came to complaints of drivers not knocking loud enough or leaving packages in random places.

In Ring doorbell footage, reported by MailOnline earlier this month, an Evri driver can be seen throwing two packages by a customer’s doorstep before hurling a third over a nearby fence. An Evri spokesman said at the time: “This courier will no longer be delivering on behalf of Evri.”

Other poor performers were Amazon, with 37pc of parcel customers experiencing an issue, TNT and Yodel. Royal Mail customers said they experienced a problem in 35pc of parcel deliveries. The companies with the least issues were DPD, Parcelforce – part of Royal Mail – and DHL.

On Facebook, there are multiple groups with thousands of members complaining about Britain’s delivery companies. On the group “Yodel Delivery Are Utterly Useless”, one customer writes: “Yodel ‘pretended’ to have attempted a delivery. I was home, and I had CCTV showing that Yodel wasn’t even near my door. Totally shameless.”

The group “Evri Complaints and Advice (Unofficial)” has 76,000 members. (An Evri spokesman said the page dated back to 2020 and did not reflect significant investments made in the business since then.)

Why has customer service got worse as demand has increased? Industry experts say Britain’s parcel delivery network has suffered due to underinvestment.

“This is a 10-year-old-plus problem that was getting increasingly worse due to a lack of investment,” says Phil Green, a former executive at Amazon, who spent eight years at US online retail giant.

“UK parcel delivery was, and has long been, a problem and a reason why Amazon was forced to build its own operation in the UK rather than rely on other providers.”

Amazon’s dominance has forced rivals to invest in their own infrastructure, piling financial pressure on their businesses.

Industry analysts say package delivery companies have been caught in a “boom and bust” cycle. Many did well out of the pandemic, but invested poorly in new capacity and warehouses.

At the same time, companies have been grappling with worker shortages. A report from retail technology business Esendex found there were 13,000 delivery driver jobs being advertised this Christmas along with 11,000 HGV driver roles, which are used to transport bulk packages to delivery hubs.

Citizens Advice, meanwhile, says overworked and overstretched drivers often have just minutes to try to reach consumers, before either abandoning a package or leaving a note.

With most couriers either on low wages or self-employed, there are few incentives to maintain high levels of customer service or hang around waiting for the door to open.

In a 2021 report, Citizens Advice claimed: “Delivery drivers have high volumes of parcels to deliver each day and often encounter delays on the road. In addition, they’re often given short time frames, such as one or two minutes to deliver each parcel.”

The report added that many drivers see part or all of their salaries made up of “pay-per-drop” fees – in some cases less than 50p per package – meaning they only get paid for a successful delivery. The structure potentially pushes drivers to dump packages or claim a delivery attempt was made, rather than trying again.

Evri, which is owned by private equity giant Apollo, says its couriers earn an average of £17 per hour and this month it agreed a deal with the GMB union for parental leave, pensions, and holiday and sick pay for its self-employed drivers.

However, self-employed drivers still need to pay for their own fuel and provide their own vehicles – in many cases passenger cars rather than vans.

Other experts suggest retailers also have a role to play in letting down consumers. Many are eager to promise quick and easy next-day deliveries to compete with services like Amazon Prime.

“Retailers, certainly over the Christmas period, are overpromising,” says Jonathan De Mello of JDM Retail.

Citizens Advice has called for tougher penalties for the industry when service falls short. It argues that current regulations are not up to scratch and Ofcom is failing to pressure companies into taking their responsibilities to customers seriously.

Anne Pardoe, head of policy at the charity, says: “Our research shows alarming numbers of people have to chase lost, late or damaged parcels – and those with accessibility needs are still being overlooked by delivery companies.

“Ofcom needs to start investigating companies whose complaints processes are still not up to scratch and take enforcement action if necessary.

“Ultimately, Ofcom must look more closely at the rate of delivery problems people are experiencing and, where necessary, fine the worst offenders if they fail to improve.”

Evri said it had invested £32m in its operations this year, including in making it easier to contact people.

A spokesman said: “The Citizens Advice survey shows we are one of the most improved parcel delivery firms over the past four years, while Ofcom recently stated high levels of consumer satisfaction with Evri’s service.

“This year we will deliver around 800m parcels, with more than 99pc arriving on time, and we are proud to be the only parcel delivery company that mandates proof-of-delivery photos for every parcel. Customers and retail clients are voting with their feet and trust us with their deliveries.”

A Yodel spokesman said: “The overwhelming majority of the 200m parcels we handled over the last 12 months were delivered correctly on the first attempt.

“We work tirelessly to make improvements, especially to the accessibility of our services, where we include options for customers to divert deliveries, encourage delivery preferences to be added and share any specific requirements or issues with us via the Yodel app.”

An Ofcom spokesman says parcel delivery companies need to have a “transparent complaints process in place, if for example you need to complain about something you’ve sent, or the behaviour of a delivery driver”.

The spokesman added: “Last year, we strengthened our complaints guidance, and have been speaking to companies to understand how they’re improving their service.”

Amazon declined to comment. TNT was approached for comment.

Despite claims of improvement, almost a quarter of customers are still unsatisfied with the level of service. Shoppers will be hoping for more Christmas cards than “sorry we missed you” cards this festive season.

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