Posti is seeing a surge in consumer-to-consumer parcels during the corona crisis and is also driving ahead with moves to reduce delivery emissions.
The postal operator and Finnish auction website Tori.fi have released statistics that show the volume of C2C parcels delivered by Posti rose by nearly 70% compared to the corresponding period last year.
According to the study, the coronavirus-related social isolation has made Finns clear their closets and sell lots of things online. The use of the auction website Tori.fi increased by 30% in May, compared to May last year. Records were broken on Sunday May 17 when Tori was accessed 1.5 million times, with 20,000 sales completed.
All in all, half a million transactions between customers took place at Tori.fi in May. The 70% rise of C2C parcels was recorded between April and May.
Laura Kuusela, Chief Marketing Officer, Tori.fi commented: “The growth was already strong last year, but the coronavirus has now accelerated the C2C sales even more. This is good news for the environment, because for every item people buy second hand, there is one fewer new product bought and manufactured.”
Well-known brands are the best selling products at Tori. In May, the most searched word was ‘Marimekko’. Second on the list was Lidl, because Lidl released its sneakers that received a lot of publicity in May. In 2019, a total of 2.6 million garments and pairs of shoes were sold at Tori. The recycling thereof saved 17,000 tons of carbon dioxide emissions (CO2e).
Kuusela added: “Quality products retain their value. The easiest products to sell in C2C e-commerce are sustainably made, have quality materials and are easy to mail. For example, clothes are easy to send because they can be packed in a plastic bag taped shut.”
The e-commerce boom is also visible at Posti. Posti estimates that, in addition to more free time, the regression resulting from the coronavirus is also evident in people buying more things second hand.
Timo Korander, Head of Consumer Services, Posti, explained: “The popularity of consumer-to-consumer parcels is also clear in the logistics centers’ delivery flows. We can see an ever increasing number of various recycled parcels among the commercial parcels.”
Quality products are also bought from and sold to an area larger than the surrounding residential area. For instance, the sales of the Tori package launched by Posti and Tori.fi in October 2019 increased by 50% in the spring. Statistics show that it has been sent evenly from all around Finland to everywhere in the country.
Meanwhile, in line with its continued efforts to develop its emission-free e-commerce logistics, Posti will begin to use renewable Neste MY diesel in its light delivery fleet. E-commerce continues its comprehensive growth, which makes it even more important to construct it on a sustainable foundation. The use of renewable fuels is the fastest way to reduce the greenhouse emissions generated by e-commerce logistics.
Overall, the volume of parcels delivered by Posti has increased sharply in the last few years, with millions of parcels delivered every week this spring. Previously, similar delivery volumes were only reached during the busiest periods of the year, such as Black Friday or Christmas. Posti’s own fleet covers roughly 40% of the parcel deliveries in Finland.
Arttu Hollmérus, Senior Vice President, Parcel and eCommerce business group at Posti, said: “The growth of e-commerce was already fast, but it has really exploded this spring. Both Posti and the online retailers have their roles to play in building the growth on a sustainable foundation, but consumers can also contribute by their sustainable purchase decisions.”
An earlier survey by Posti stated that the emission differences between online stores and brick-and-mortar stores are mainly created in the last kilometer, i.e. on the way from the distribution center to the consumer. By calculation, delivering one parcel from a distribution center to a pickup point generates on average 600 g of greenhouse gas emissions, which corresponds to approximately five kilometers driven in a normal passenger car.
By adopting the renewable Neste MY diesel, Posti can influence this critical stage and reduce its own greenhouse gas emissions by approximately 3.8 million kg annually. This is the equivalent of removing nearly 1,300 cars from traffic. The effects will be particularly evident in the areas of Finland’s big cities, where most of the deliveries occur.
Hollmérus concluded: “In this day and age, our customers are very conscious of the ways in which they can make a difference in terms of the environment and take concrete action to help reduce the carbon footprint. Thanks to the fuel made of waste and scraps, our customers’ purchases will get delivered generating lower emissions. We believe that this will become increasingly clear in our customers’ choices down the line.”
Posti aims to achieve zero emissions in its own operations by 2030. The renewable Neste MY diesel is a concrete and immediate step toward this goal. Posti is also currently looking at ways for its transport partner network to switch to alternative fuels.
Joni Pihlström, Vice President, Marketing & Services, B2B Sales at Neste, added: “Logistics companies play an important role in reducing greenhouse gas emissions, and every climate act supports Finland’s goal to become carbon neutral by 2035.
“Posti is an important operator in the Finnish logistics sector, which is why it is so great to be able to support Posti in reaching its climate objectives. The renewable Neste MY diesel is a Finnish innovation that helps companies to immediately reduce their own greenhouse gas emissions – without changing their current engines or logistics.”
