The Benefits of PUDO

Pick-Up and Drop-Off (PUDO) locations are designated areas where consumers can pick up and drop off parcels. These locations can be either staffed counters within existing businesses or unstaffed lockers placed in various accessible locations. PUDO services are transforming the logistics and retail sectors by providing convenient and flexible delivery and return options for consumers.

floor standing self serve postal kiosk solution in green for PUDO (pick up drop off), demonstrating the low cost pick off and high security drop off

What is PUDO?

PUDO stands for Pick-Up and Drop-Off. It is a delivery service model where parcels are delivered in bulk to a specific location. Consumers can then pick up their parcels at their convenience or drop off parcels for return. These locations can be found in supermarkets, convenience stores, gyms, or other accessible urban areas.

a person carrying shopping bags

Benefits of PUDO For Shoppers

Convenience: PUDO locations offer flexible parcel collection and return options that fit into consumers’ daily routines. Shoppers no longer need to wait at home for deliveries or rush to meet delivery windows.

Security: PUDO locations provide a secure alternative to home deliveries, reducing the risk of theft or missed deliveries, especially during busy holiday seasons.

Ease of Returns: Returns can be easily managed through digital interfaces or directly at PUDO locations, simplifying the process for consumers.

A row of coloured coats in a retail environment

Benefits of PUDO For Retailers

Increased Footfall: Retailers hosting PUDO locations benefit from increased foot traffic, as shoppers often make additional purchases when picking up or dropping off parcels.

Enhanced Customer Experience: Offering PUDO services improves the overall shopping experience by providing more delivery and return options, leading to higher customer satisfaction and retention.

No Additional Costs: Retailers typically do not incur fees for hosting PUDO locations, making it a cost-effective way to drive additional sales and customer engagement.

DHL Van at the bottom of a street

Benefits of PUDO For Carriers

Efficiency and Cost Reduction: Delivering parcels in bulk to PUDO locations is more efficient than home deliveries, reducing fuel costs, driver time, and environmental impact.

Consolidation of Deliveries: PUDO services allow carriers to consolidate multiple deliveries to a single location, improving deliverability and reducing the number of failed delivery attempts.

Sustainability: By reducing the number of individual delivery journeys, PUDO services contribute to lower congestion, noise pollution, and greenhouse gas emissions.

Statistical Data

Market Growth: The PUDO market is expected to grow at a CAGR of 10.2% from 2021 to 2026, driven by the increasing popularity of e-commerce and the demand for flexible delivery options.

Adoption Rates: In Europe, over 40% of consumers have used a PUDO service, highlighting its acceptance and integration into daily shopping habits.

Operational Efficiency: Carriers using PUDO services report a reduction in failed deliveries by up to 30%, leading to significant cost savings and operational efficiency.

Customer Satisfaction: Retailers offering PUDO services see a 15% increase in customer satisfaction scores, as customers appreciate the convenience and flexibility.

Environmental Impact: PUDO services can reduce CO2 emissions by up to 25% compared to traditional home deliveries, contributing to more sustainable logistics practices.

Technological Integration

PUDO networks are powered by advanced technologies that streamline the logistics process. Carriers can leverage these technologies to offer real-time tracking, automated notifications, and seamless integration with e-commerce platforms, enhancing the overall efficiency and reliability of PUDO services.

row of red and white external smart lockers designed for pick up and drop off (PUDO)


PUDO services present a win-win situation for all parties involved in the logistics chain. Shoppers enjoy the convenience and security of flexible delivery and return options, retailers benefit from increased foot traffic and sales, and carriers achieve greater efficiency and sustainability in their operations. As the demand for e-commerce continues to rise, the importance and adoption of PUDO services are expected to grow, further transforming the logistics and retail landscapes.