10 Reasons Why Package Lockers Don’t Work!
Don’t be fooled! Package or Parcel Locker systems for deliveries like Amazon packages are an option many property managers see as the solution to their condominium package woes. However many are quickly discovering that they are wrong in the worst possible way.
Over the last ten years with ‘quick ship’ providers and online shopping being the ‘new normal.’ we have seen a massive surge of package and parcel deliveries to condominiums.
Most buildings were not purpose built with infrastructure or systems to handle this many deliveries. In fact the volume increased by 11% from 2013–2019 and is expected to double by 2025 with no signs of slowing down.
Package volume increased by 11% from 2013–2019 and is expected to double by 2025 :
In fact many are predicting a continued exponential rise. As a result, many property managers are looking for the right solution to manage this increase. Should you really turn to lockers?
Here are the top ten reasons why package lockers don’t work.
- Massive Initial Investment
Most condos will need to pay a minimum of $150,000 — $200,000 and beyond in order to have a locker system installed by any of the top 5 companies. This is a huge capital investment. It will likely increase condo fees, especially where most of these systems also have monthly fees in addition to the cost of the locker. And then what happens when you need more lockers because more packages than expected are being shipped?
2. Space Requirements
If a condo isn’t purpose-built with extra space, accommodating a parcel and package locker system will be difficult if not impossible. These systems need they own room or area of up to hundreds of square feet. And then more room if the initial locker system isn’t enough for the future volume of packages.
This is also room that the condo could rent out for revenue instead of spending and spending to deal with a package problem. If you have the room, why not put a business or vending machines in that space instead of a costly locker system?
3. Package Sizes Matter
Another limitation of package and parcel locker systems is package sizes. The truth is, you don’t know in advance the types and sizes of packages the building will receive, so how do you properly configure the lockers.
Too many lockers for small packages and you no longer have any room for medium packages. If you end up with too many smaller packages you will start to cannibalize other locker space needed for medium or large packages further reducing your capacity. Depending on what you are receiving — what condo dwellers are ordering — you might build a locker room that doesn’t fit with the packages people order. Then where do the packages that don’t fit go?
4. High Monthly Costs
Most package locker systems will cost $300 or more per month in addition to the initial $200,000 investment. Package Locker companies will tell you this is in order for locker companies to try and maintain a high level of support required. $ 3,600 a year fees, that can go up at any time, are a significant line item in most condo building budgets. And a cost that is very hard to undo after you have installed the lockers. Most companies will not allow you to use the lockers without their software and support in place.
Also this high cost for monthly support may indicate that these lockers require a lot of support from the locker company head office to operate properly. That, and that there may be ongoing issues.
5. Hardware Failures
Package lockers are essentially an access control system controlling package locker doors. This in an of itself is not an issue however the system is controlling 150–200 locks for each system. They can easily break and often do for a number of reasons including product quality and damage from residents. This can quickly escalate as you can imagine because locker modules are tied together and require the whole system to be offline while fixing one small problem and can stop the whole locker system from functioning. It is not uncommon for a package or multiple to be stuck within lockers for extended periods of time requiring a visit from the locker company to fix the issue and retrieve the package while residents wait and you have no package system alternative to take its place.
6. Queueing
Package locker systems typically have one screen, requiring residents to wait in line to retrieve their packages one package at a time. This also becomes a problem when finding the right time to load lockers with new packages in a busy building rendering your package locker system unusable every time new packages are dropped off. This will happen several times a day.
7. Minimized Contact
In an era of hyper minimized contact lockers are the exact opposite requiring every resident to touch and use the same user interface and touch the same locker doors. Infection control and extra cleaning requirements are an issue worth discussing. Many buildings are moving to touchless elevator and washroom buttons. Your lockers may be a weak spot in your building’s overall cleanliness and infection control.
8. Residents Privacy / Information
In order for package locker system to function within your buildings ecosystem the package locker company needs to be provided an updated resident listing regularly in order to email or text notifications to residents. Transferring resident information over email puts residents data dangerously at risk, and creates another onerous recurring task for property management.
9. Locker System Downtimes
The truth is, buying new and complex hardware is a risky move by a condo board without extensive due diligence. Locker system downtimes cannot be predicted. No one can make an accurate projection how often a building will experience an inability for residents to retrieve packages. If there is a power outage, the system will go down and packages will not be accessible. What other mechanical issues might occur meaning the system is offline? Given the frequent challenges with elevators in condos, and the related inconvenience to residents and property management, we urge extreme caution in underestimating this element of locker package and parcel systems. Buyer beware!
10. Package Overflow
What happens when the lockers are full and a new load of packages come from the courier? Do they leave them on the floor? Does security have to guard these packages? Will you need extra security cameras or make other investments to protect resident mail? Investments you didn’t anticipate? Package overflow is a major shortcoming to locker systems.
In summary, don’t even think of buying lockers for your building without considering ALL the costs of these systems. Are the sales people telling you the full story about what will happen if there are too many packages? How do you know for sure you bought enough lockers on the front end? The truth about locker systems is it’s a buyer beware world, so be prepared and think through all these issues before making a purchase.
Find out why Condominiums choose ARMS for their package management solution.
