Package delivery was already a thing, porch pirates and all, long before the pandemic upended shopping norms.
Add in a deadly virus, and many brick-and-mortar shoppers retreated, seeking a contactless way to get their goods.
Parcel Pending, a relative newcomer to the delivery trend, brought smart lockers to apartment communities where managers were fast becoming package handlers. The Irvine-based company’s contactless delivery solution is part of a growing industry that is front and center in the pandemic-stricken retail world
In late 2019, Parcel Pending was acquired by Paris-based Quadient (formerly Neopost) for $100 million. The merger would give the small firm a platform from which to grow its product on a grand scale. In recent weeks, its CEO and founder Lori A. Torres, a former executive with Irvine Company, cut a deal with Lowe’s Home Improvement to install smart lockers at 1,700 retail stores nationwide by March 2021.
Torres shared with us how the business has adjusted in a COVID-19 world. Her answers have been edited for clarity and length.
Q: The concept of curbside and in-store pickup has ramped up considerably in recent years as more and more consumers shop online. Are you finding increased demand for your lockers from other businesses as a result of COVID-19?
A: Yes! We’re experiencing high demand from new businesses, verticals and industries, including libraries to help them manage their book returns and check-out process, supply chains and back-of-house operations within the hospitality industry to manage things like housekeeping supplies, and also different municipalities within cities nationwide.
Q: The Lowe’s project seems like a pretty big deal for Parcel Pending. How did this come about?
A: Parcel Pending was selected as the exclusive locker partner for Lowe’s after a comprehensive evaluation process. (The company declined to say how much the deal with Lowe’s was worth.)
Q: How do these lockers work?
A: They generate a scannable barcode when an order is ready for pickup. After a Lowe’sassociate fulfills an online order, the customer receives an automated email notification with a one-time user barcode. The customer completes the pickup by scanning the barcode at the locker using their smartphone.
The lockers work the same way for residents at multifamily communities, employees at a commercial property or students at a university. Consumers can quickly and easily pick up their packages whenever they want and without having to come in contact with anyone.
Q: Getting these lockers into 1,700-plus Lowe’s locations seems like a tall order from a logistics standpoint. Has the installation process already started, and how long will it take to get all the units in place?
A: We are pretty deep into the install project and will complete all stores within Q1 of 2021. Our lockers can be found at Lowe’s stores in more than 50 cities, including Charlotte, Philadelphia and the tri-state area of New York, New Jersey and Connecticut, as well as in Orange County.
In the coming weeks, our lockers will be rolled out to Florida, Washington and Texas.
Q: Tell us about your customers.
A: Some of our biggest customers include The Irvine Co., Shaw Industries, Acacia Capital, a Fortune 500 sporting goods retailer, multiple fashion apparel and shoe retailers, Ohio University and Loyola Marymount University. Our lockers are also at the headquarters of UPS for employee packages.
Q: The COVID-19 pandemic has wreaked havoc with U.S. businesses across the board and most have been forced to make adjustments to stay afloat. How has the health crisis affected Parcel Pending, and what kinds of changes has the company made to adjust?
A: Like other businesses, we had to make some adjustments in order to conduct business effectively during the COVID-19 pandemic. This includes transitioning to a remote workforce.
For the most part, our entire team of 223 employees is working from home, except for a small set of employees who have to work from our warehouse or office due to their business responsibilities. In-office employees are following local health and safety guidelines for social distancing and face masks/coverings.
Prior to the pandemic, we would hold a monthly in-person staff meeting. We have transitioned to hosting a bi-weekly company-wide virtual staff meeting. This allows us to maintain regular and open communication with employees, which is imperative during a pandemic.
Q: What are the biggest challenges your company faces in dealing with a COVID-19 world?
A: By far, the biggest challenge our company faces in dealing with COVID-19 is the downturn of the global economy. There are a lot of potentially detrimental factors at play here that we will need to pay attention to as a company.
LORI A. TORRES PROFILE
- Business: Parcel Pending by Quadient
- Job: Founder and CEO
- Age: 53
- Birthplace: Long Beach
- Residence: Dana Point
- Education: Chapman University and Pepperdine University
FIVE FACTS ABOUT TORRES
- Pepperdine offers an MBA program that allows executives and entrepreneurs to take the program. So yes, I have an MBA, but no undergraduate degree.
- I have been a supporter and board member of Families Forward, an Orange County nonprofit dedicated to ending hunger and homelessness, for years.
- I am proud that Parcel Pending was selected as one of the Best Places to Work in Orange County by the Orange County Register for three years in a row.
- I drink coffee but only decaf. Like most CEOs, I work crazy hours and need something to drink. But if you give me caffeine, it’s ugly! I already talk way too fast.
- My favorite destinations include locations that have warm sandy beaches, but I also love to explore new cities and experience different cultures. I love Portugal and I’m a huge fan of New York City.
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