cost of package deliveries in apartment buildings

 

You already know that managing package deliveries to your building can be tedious and time-consuming. But did you know it can also be expensive?

You might be counting on property staff to manually process every package that’s delivered, but that isn’t recommended as it costs a lot of time and money. So read on to find out what you’re potentially spending on delivery management and how to best rectify the problem.

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Rising cost of package deliveries and management

Since the Covid-19 pandemic, online shopping has grown exponentially. In fact, in 2021, the volume of shipped goods reached more than 21 billion parcels in the United States.

With that said, the cost of shipping and receiving packages has also increased. While all major couriers have annually increased their rates for delivering packages, receiving and managing such parcels has grown — especially for multifamily apartment buildings.

For most apartments, package management isn’t a full-time job. However, depending on the size of your property, it can certainly feel that way. When a multifamily property accepts packages on behalf of its residents, managing those packages consumes a significant amount of time.

As a result, a property manager or leasing agent could spend hours of their week accepting, organizing, and retrieving packages for residents. Thus, you and your staff won’t have the opportunity to perform more crucial duties.

 

How much does managing package deliveries cost?

It depends on the number of packages received per day, the number of minutes each package takes to process, and the hourly rate of the employee managing those packages.

Every time a package is delivered to your building, your front desk needs to accept it, store it, and then retrieve it when your resident comes to collect it. This takes away time from more important tasks such as greeting residents, managing visitors, and maintaining overall building security.

Let’s use the example from above. This 200-unit building receives about 19 packages per day (minus holiday parcels when deliveries aren’t made). It takes the front desk approximately two minutes to process each package. This includes accepting, storing, and distributing each package. The person at the front desk has a salary of $15.00 per hour. In this example, this building’s monthly cost of managing package deliveries is $270, and 18 hours of labor.

When viewed in absolute terms, it’s not necessarily ‘expensive’. But viewed in relative terms, expenses add up. Consider all of the other things that a staff member could have done with those 18 hours: delight a resident, verify a visitor, or secure the property.

These are the tasks that deliver the value your residents pay for and the reason they continue to call your property their home.

 

Package management calculator

If you’re still not convinced, here’s how you can get a closer look at the true impact of package management on your bottom line. With our package calculator, you’ll get an accurate estimate of the costs associated with package management.

This calculator gives you a concrete picture of the minutes and dollars wasted by employees stuck with managing package deliveries. With a ButterflyMX package room, you’ll save both time and money on package management.

 

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Best package management solution

The best package management solution is the ButterflyMX package room.

The ButterflyMX package room is specifically dedicated to storing packages and processing package intake. By installing our package room solution in a spare office or an unused closet, you’ll automate your package management duties. With the ButterflyMX package room, couriers no longer have to wait at the front desk for a staff member who has a dozen other responsibilities to juggle.

Instead, all the courier has to do is:

  1. Input their designated delivery PIN.
  2. Select the resident the package is for in the directory.
  3. Place the packages inside the room.
  4. Close the door on their way out.

Upon finishing the delivery, the ButterflyMX package room notifies the resident via our mobile app. When the resident would like to retrieve their package, all they have to do is swipe to open in the app or use their PIN to enter the package room.

Above all, the ButterflyMX package room takes a date- and time-stamped photo of all entry events. That way, your staff can review the audit log and effectively address stolen packages if the problem arises.

 

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Author

Jon Tamn

I enjoy writing about real estate, property management, and proptech. I live and work in New York City.