In logistics and e-commerce, OOH stands for Out Of Home delivery. This means that a package is not delivered to someone’s home, but to an alternative location where the recipient can pick it up later.
This delivery method is becoming increasingly popular. Webshops and logistics service providers use OOH deliveries to make delivery processes more efficient, reduce costs, and offer consumers more flexibility.
At Van der Helm, we see OOH solutions playing an increasingly important role within modern fulfilment and distribution processes, especially in the e-commerce sector.
What is Out Of Home delivery?
With Out Of Home delivery, a package is delivered to a location other than the consumer’s home address. The recipient picks up the package themselves whenever it suits them.
This could be, for example, at a location close to home, work, or a daily route.
Commonly used OOH locations include:
- Pick-up points in shops or parcel points
- Parcel lockers or locker walls
- Supermarkets or petrol stations with pick-up services
- Work addresses or central drop-off points
Because multiple packages are delivered to a single location, a carrier can deliver more efficiently than with individual home deliveries.
Why do companies choose OOH deliveries?
More and more webshops are offering OOH as a delivery option alongside traditional home delivery. There are several reasons for this.
Firstly, delivery costs are often lower. When multiple packages go to one location, a driver needs to make fewer stops.
Additionally, there are fewer failed delivery attempts. With home delivery, it frequently happens that no one is home. A parcel point or locker prevents this problem.
Sustainability also plays an important role. Fewer stops and better-planned routes result in fewer kilometres per package.
Finally, OOH offers more flexibility for consumers. They can pick up the package whenever it suits them, for example after work or at the weekend.
OOH in e-commerce and fulfilment
For webshops, OOH has become an essential part of their delivery strategy. Consumers today expect freedom of choice in delivery options.
In many checkouts, customers can choose between:
- Home delivery
- Pick up at a parcel point
- Delivery to a parcel locker
By offering OOH options, webshops can better manage their logistics costs while simultaneously improving the customer experience.
Within fulfilment processes, OOH is often integrated with transport and distribution. This allows logistics partners to efficiently consolidate packages and send them to the correct pick-up locations.
You can read more about how fulfilment and distribution are organised on our page about e-commerce fulfilment
The difference between OOH, PUDO, and Click & Collect
The terms OOH, PUDO, and Click & Collect are sometimes used interchangeably, but they do not mean exactly the same thing.
OOH is the umbrella term for all deliveries outside the consumer’s home address.
PUDO stands for Pick Up Drop Off and refers specifically to locations where packages can be collected and returned.
Click & Collect means that a customer orders online and picks up the product at the webshop’s own store.
Although these concepts overlap, they refer to different logistical processes within e-commerce.
Why OOH is becoming increasingly important
The growth of e-commerce is causing a huge increase in package flows. At the same time, companies are looking for ways to organise delivery more efficiently and sustainably.
OOH networks play an important role in this. They make it possible to bundle packages, optimise routes, and offer consumers more flexibility.
For logistics partners, this means that distribution is being organised ever more intelligently, using a combination of home delivery, pick-up points, and automated parcel solutions.
Would you like to know more about how smart logistics solutions can strengthen your supply chain? Then please contact us.