Online fashion leader THE ICONIC improved checkout conversion, reduced cart abandonment and boosted Net Promoter Score (NPS) by offering Parcel Locker delivery at checkout. By solving failed delivery issues, they created a more reliable delivery experience and lifted customer confidence.
Key points
- Customer satisfaction and NPS is heavily influenced by the delivery experience.
- Failed delivery when a customer isn’t home creates friction with parcels needing to be picked up from a Post Office during business hours.
- By adding Parcel Locker eCommerce delivery, THE ICONIC achieved higher cart conversion rates, reduced cart abandonment, fewer customer delivery enquiries and improved NPS.
The link between delivery experience and Net Promoter Score
For eCommerce businesses, customer satisfaction is heavily shaped by what happens after checkout. As Rostin Javadi, COO at THE ICONIC, explains "Delivery is the main and almost only physical touchpoint that we have with our customers.”
Their internal data confirms the link between shipping experiences and customer sentiment. "Delivery experience is the biggest contributor when it comes to both positive and negative NPS. The correlation is high," says Javadi.
The friction of failed deliveries and carding
One of the main challenges to a good delivery experience is when people aren’t home to receive their parcels. Additionally, in high-density apartments drivers can’t always access the building or there might not be a safe drop location.
The result is “carding”: when a customer receives a card telling them to pick up their parcel from a local Post Office. This turns a simple delivery into an extra errand, adding friction and reducing satisfaction.
“Because many customers aren’t home to receive deliveries and don’t have a safe place to leave a parcel, first-time deliveries were failing, reflecting poorly on the overall shopping experience,” notes Javadi.
Implementing the Australia Post Collection Point Widget and API
THE ICONIC's data revealed a key insight. “We noticed that a lot of customers were already, through manual address entry, sending packages to Parcel Lockers before we incorporated the widget. So they were telling us that’s an option that they wanted. We just made it more seamless for them,” says Rostin.
THE ICONIC integrated the Australia Post Collection Point Widget and Collection Point API to incorporate the choice of delivery to a Parcel Locker or Post Office at checkout on their app and website.
This enabled the online retailer to show active collection points on a map or list within their checkout experience, showing customers Parcel Lockers and Post Offices based on postcodes.
“We’ve had a lot of positive feedback. Customers have told us that having a Parcel Locker option takes away stress around carding. For a lot of urban shoppers who are living in places where it’s not practical for a package to be dropped somewhere safe, it gives them peace of mind."
The impact: Higher conversion and NPS, reduced cart abandonment
For THE ICONIC, the business impact of offering Parcel Locker collection points was seen across online checkout conversion rates and cart abandonment behaviour. When shoppers encounter delivery ambiguity at checkout, they can abandon their purchase. Presenting a reliable, secure delivery option right at the point of purchase mitigated this final-stage hesitation.
"The result overall has been very positive, with higher conversion rates and a smoother shopping experience," Javadi says. "It's also reduced our cart abandonment rate a lot – because it helps customers feel more confident when completing the purchase."
Shifting delivery volume to Parcel Lockers also led to fewer customer enquiries regarding missing packages, lowering support overhead for team members. Post-purchase feedback also confirmed a substantial lift in satisfaction: Parcel Locker users reported a significantly higher NPS compared to traditional carding, showing predictability is key.
What this means for your business
- Offer checkout delivery options to reduce purchase hesitation.
- Use Parcel Lockers to minimise failed delivery and carding.
- Improve customer satisfaction by giving customers more control.
- Reduce support enquiries by offering more reliable delivery options.
Give your customers more delivery choice at checkout
Offer flexible delivery options, like Parcel Lockers, and reduce failed deliveries.
Writer and Editor
Ben Maher
Ben Maher writes about eCommerce, business growth and logistics for Australian SMBs. His research-informed content has helped merchants improve their customer experience, acquisition and operational efficiencies, with a focus on how technology applications can improve business outcomes. His work draws on B2B industry insights, producing practical guidance for Australian SMBs looking to grow.