Will Staples Same-Day Delivery Work?

same day deliveryA variety of companies are getting involved with Same-Day Delivery, especially more brick-and-mortar retailers.  The latest to join in is well-known office supply retailer Staples.

Staples has officially launched “Staples Rush”, a new same-day delivery program within several major cities nationwide.  It is a store fulfillment initiative, aiming to drive an increase of online sales. The announcement comes after its’ denied merger with Office Depot, which would have given both retailers a large market share.  The strategy toward same-day delivery positions Staples for another innovative way to compete online with Amazon, Best Buy, Target and Google.  Staples’ initial roll-out will begin with parts of Boston, Dallas and Manhattan, followed by San Francisco, Los Angeles, Seattle, Houston, and Chicago.  The program will involve only product delivery, yet, copying and printing will be available in the coming months as well.

Executive vice president of supply chain and logistics Mike Bhaskaran, touted how Staples anticipates same-day delivery to positively impact it’s customer service.  “By offering a wholly-owned, same-day delivery experience, Staples is providing businesses the type of customer service they’ve come to expect from us throughout their entire transaction,” said Bhaskaran.  He went on to say, “The development process for Staples Rush is truly a collaborative and cross-functional effort that brought together different areas of expertise, including supply chain, eCommerce and merchandising, to create a valuable service for our customers.”

Faisal Masud, executive vice president of global eCommerce at Staples, also weighed in on how Staples Rush will translate into faster order fulfillment.  Faisal said, “Businesses want their online orders fulfilled faster than ever. Thanks to Staples’ unmatched omnichannel capabilities, which already include the ability to buy online and pickup in store, we will deliver the products customers need when they need them, so they can make more happen without having to wait on shipped orders.”  With the establishment of technology at a customer’s fingertips, the demand of more shopping convenience has grown.  Now, the retailer that doesn’t make the customer wait will potentially win.  This is the type of seamless omnichannel that brings success–just ask Amazon.

The e-retail leader has impressively created a sustainable same-day delivery program in 27 US cities, as well as the service is free for Prime members.  The most recent, an eleven city launch, which included Sacramento,Stockton, Fresno, Louisville, Raleigh, Cincinnati, Richmond, Tucson, Milwaukee, Nashville, and Charlotte.  These came in addition to the same-day delivery in the San Francisco Bay Area, San Diego, Seattle-Tacoma, Dallas-Fort Worth, Phoenix, Indianapolis,  Tampa Bay, Baltimore, Washington DC, New York, Philadelphia, Chicago, Atlanta, and Orlando.  More than likely, Amazon will go nationwide, which speaks to the validity of same-day delivery evolving into more than simply a trend.

Staples is on its’ way to creating its’ own same-day delivery model, yet the question is will it work?  Of all of the components that will bring success with last-mile deliveries, one of the keys is close proximity warehousing, which Staples possesses.  Just as Macy’s, and other recent newcomers retail stores such as Best Buy, Staples has hundreds of store locations that will be used as online order fulfillment centers.  Same-day delivery is made profitable primarily by volume and distance.  Now, Staples could partner with a Same-Day Courier like 1-800 Courier to create a sound same-day delivery logistics solution that will meet the retailer’s needs.

The Dallas Courier has a national footprint and the courier expertise to not only assist start-up pilot same-day delivery programs, but also the ability to quickly adjust and expand with it.  Staples needs an established delivery company, experienced on how to make the service work.  In the upcoming months, Staples can begin to aggressively compete online, especially before the holiday season comes.

Reference: 6.15.16, www.pymnts.com, Staples Jumps Into Same-Day Delivery