New York City parcel lockers reduce delivery costs, porch piracy

Independent retailers to host GoLocker machines in stores

GoLocker will install e-commerce parcel lockers in New York City retail stores that belong to the PUDO Inc. network. PUDO provides staffed counters for pick up and drop off of packages. (Photo: GoLocker)
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Key Takeaways:

  • PUDO Inc. is partnering with GoLocker to expand its parcel pickup and drop-off network in New York City by integrating GoLocker's smart vending machines with its existing collection points.
  • This hybrid model aims to enhance consumer convenience, reduce package theft, and lower first-mile/last-mile delivery costs for carriers and merchants, while also mitigating urban congestion.
  • The initiative aligns with New York City's public LockerNYC pilot program, which utilizes GoLocker machines to successfully provide secure package delivery, reduce emissions, and combat package theft.
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(Correction: An earlier version of this story incorrectly said that GoLocker machines would be installed inside PUDO member stores.)

PUDO Inc., a network of independent retailers that provide parcel pick up and drop off locations, is partnering with GoLocker to expand availability of smart vending machines in New York City — making it easier for retail brands and customers to save time and money, while reducing urban congestion. 

Under the arrangement, PUDO is expanding its footprint by tapping into GoLocker’s existing locations in New York. The hybrid model of lockers and staffed collection points for secure pick up and return of online packages, adds another layer of convenience for consumers, while helping carriers and merchants reduce the cost of first-mile and last-mile delivery, the companies said in a news release on Tuesday. 

PUDO connects retailers, parcel carriers and consumers through a network of nearly 2,000 pickup and drop-off points in the United States and Canada, providing a low-cost alternative to traditional couriers delivering to residential doors. Shippers are able to integrate its software, making locations easily visible and accessible to shoppers. The network begins consolidating returns as soon as packages are dropped off. Independent carriers are used to deliver returned packages to a local facility where they are sorted based on the e-tailer’s business rules. Now, PUDO Points include GoLocker locations.

GoLocker has rapidly expanded across New York City and said it is on track to reach 1,000 locations by the 2026 holiday season. 

Vending machines are becoming increasingly popular for receiving and sending parcels because they can be used around the clock and are located in central public locations such as supermarkets, train stations, company premises, and residential areas. In addition to providing customers added flexibility, parcel lockers can also reduce courier costs and traffic by making deliveries to a centralized point instead of multiple households. 

Lockers have a clear chain of custody. When a delivery arrives, retailers can send the customer a unique QR code or PIN number that expires when their selected pickup window closes.

New York City promotes public lockers

E-commerce growth is adding to congestion in major cities as more trucks circulate on streets delivering to individual residences. In New York City, 80% of households order at least one package per week and each day 90,000 packages are reported stolen or lost in transit because many buildings lack secure areas for package deliveries, according to city officials. 

GoLocker says embedding lockers in neighborhood residential complexes and businesses also eliminates missed deliveries, reduces package theft and makes it easier to conduct returns. 

A delivery locker pilot in Seattle found that carrier lockers can reduce the amount of time delivery trucks dwell at the curb by as much as 33% and reduce delivery times by as much as 78%.

Last year, New York’s Department of Transportation launched a free pilot program that utilizes lockers installed on public sidewalks to allow New Yorkers in multiple boroughs to receive secure package deliveries. The lockers are operated and maintained by GoLocker and each locker location is equipped with two security cameras, LED lighting and anti-theft mechanisms on locker compartments. Lockers are vinyl-wrapped for quick graffiti removal and are actively monitored for cleanliness and maintenance. 

The LockerNYC program is available across multiple delivery carriers. 

Locations were selected based on land use, concentration of buildings lacking mail or package rooms, and New York City Police Department package theft data, among other criteria. 

“We are taking on porch pirates and cutting down on emissions by unwrapping LockerNYC,” said Mayor Eric Adams said on April 10, 2024.”Reducing crime, fighting climate change, and providing a convenience to New Yorkers all at the same time is a package deal that New Yorkers can be proud of.”

In April 2025, LockerNYC hit a milestone with its 10,000th package delivery. The city subsequently added locations in Brooklyn and Queens. Since the pilot program launched, no graffiti incidents have been reported, and there have been no security breaches, the city announced. 

Write to Eric Kulisch at ekulisch@freightwaves.com.

Click here for more FreightWaves/American Shipper stories by Eric Kulisch.

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Eric Kulisch

Eric is the Parcel and Air Cargo Editor at FreightWaves. An award-winning business journalist with extensive experience covering the logistics sector, Eric spent nearly two years as the Washington, D.C., correspondent for Automotive News, where he focused on regulatory and policy issues surrounding autonomous vehicles, mobility, fuel economy and safety. He has won two regional Gold Medals and a Silver Medal from the American Society of Business Publication Editors for government and trade coverage, and news analysis. He was voted best for feature writing and commentary in the Trade/Newsletter category by the D.C. Chapter of the Society of Professional Journalists. He was runner up for News Journalist and Supply Chain Journalist of the Year in the Seahorse Freight Association's 2024 journalism award competition. In December 2022, Eric was voted runner up for Air Cargo Journalist. He won the group's Environmental Journalist of the Year award in 2014 and was the 2013 Supply Chain Journalist of the Year. As associate editor at American Shipper Magazine for more than a decade, he wrote about trade, freight transportation and supply chains. He has appeared on Marketplace, ABC News and National Public Radio to talk about logistics issues in the news. Eric is based in Vancouver, Washington. He can be reached for comments and tips at ekulisch@freightwaves.com Eric is the Parcel and Air Cargo Editor at FreightWaves. An award-winning business journalist with extensive experience covering the logistics sector, Eric spent nearly two years as the Washington, D.C., correspondent for Automotive News, where he focused on regulatory and policy issues surrounding autonomous vehicles, mobility, fuel economy and safety. He has won two regional Gold Medals and a Silver Medal from the American Society of Business Publication Editors for government and trade coverage, and news analysis. He was voted best for feature writing and commentary in the Trade/Newsletter category by the D.C. Chapter of the Society of Professional Journalists. He was runner up for News Journalist and Supply Chain Journalist of the Year in the Seahorse Freight Association's 2024 journalism award competition. In December 2022, Eric was voted runner up for Air Cargo Journalist. He won the group's Environmental Journalist of the Year award in 2014 and was the 2013 Supply Chain Journalist of the Year. As associate editor at American Shipper Magazine for more than a decade, he wrote about trade, freight transportation and supply chains. He has appeared on Marketplace, ABC News and National Public Radio to talk about logistics issues in the news. Eric is based in Vancouver, Washington. He can be reached for comments and tips at ekulisch@freightwaves.com Eric is based in Vancouver, Washington. He can be reached for comments and tips at ekulisch@freightwaves.com