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UPS Leverages Its Logistics Network to Launch New Storage on Demand

UPS shipping
UPS Leverages Its Logistics Network with Storage on Demand

UPS launched a service called Storage on Demand at ClickStoreStuff.com on Monday, available in metro Atlanta, Georgia.

Customers can request delivery of empty storage bins directly to their home or business. After filling the bins with their belongings, they can schedule a pickup for their items to be delivered to a nearby UPS facility for storage.

Customers can later request the storage bins be delivered back to their location with same-day service.

An example of how a customer might use the service: “Store seasonal and holiday decorations until they are needed,” UPS wrote in its announcement.

UPS charges monthly fees by the bin. It costs $7/bin per month for a 3-month commitment, up to $5/bin per month for a 12-month commitment. The bins are 2.3 cubic feet (11.5″ H x 23.6″ L x 13.9″W).

Storage on Demand takes advantage of UPS’s logistics capability, which includes not only core its shipping services, but fulfillment services for online sellers, including UPS eFulfillment, launched in February; and Ware2Go, launched in 2018.

UPS Storage on Demand uses third-party companies – in its FAQs, it states, “Our Delivery partners must pass a safety screening that consists of professional third-party background and DMV checks. The storage location is a secure controlled facility monitored 24/7 with onsite security.”

UPS provides a list of prohibited items along with advice about fragile and valuable items on this page of the ClickStoreStuff.com website.

UPS said the new service leverages its existing logistics infrastructure, including personnel, vehicle assets, technology and storage capacity.

Press release follows:

UPS announced today the launch of Storage on Demand, a new UPS innovation that allows customers to request delivery of empty storage bins directly to their home or business using a mobile-friendly website. Customers then fill the bins with their belongings and seal them once packed, then simply schedule a pickup for their items to be driven to a secure, nearby UPS® facility for storage. The “valet storage” concept also enables customers to use the website to retrieve their warehoused items and have them delivered back to their front door with same day service.

“Storage on Demand solves a problem that is becoming nearly universal as our population and demographics evolve. Millennials are moving into small homes in crowded urban areas. Baby boomers are downsizing for retirement. And small businesses need space for excess inventory,” said Darren Kamensek, strategy and innovation manager for UPS and one of the co-founders of Storage on Demand. “The problem is that there aren’t many services that truly provide end-to-end storage and quick, easy retrieval of goods – Storage on Demand solves all of that.”

Self-storage is a $38 billion industry that has experienced 7.7% annual growth since 2012, with one in 11 Americans paying an average of $91.14 per month on self-storage according to SpareFoot Inc., a company that tracks the self-storage industry. In the traditional self-storage model, customers pack, load their items and transport them to a storage unit. If a customer wants to retrieve any of their stored items, they have to return to the unit. Unlike traditional self-storage companies, Storage on Demand adds digital, on-demand functionality to an industry that has historically required significant time investment and resources from its customers. Storage on Demand simplifies the entire process by eliminating the need to leave your home.

Storage On Demand makes it easier for consumers and small businesses to enjoy and better utilize their space, manage their belongings, and de-stress their lives.

  • Store seasonal and holiday decorations until they are needed
  • “Take back” a spare room, garage or closet
  • Small businesses can store inventory or records to better utilize office or retail space
  • College students can use the service to store belongings over the summer

A team of four UPS employees conceived the idea and pitched it at an internal innovation competition where employees from various UPS departments are invited to pitch new, innovative ideas directly to senior executive leadership for the chance to earn time and funding to turn the idea into a real, new business. Storage on Demand went from concept to reality in just nine months. UPS has focused increasingly on this kind of innovation, speed, and agility since it launched its Transformation in 2017.

“It’s critical to empower the people in your company to work on innovation. Our employees know better than anyone the needs of our customers and the hidden advantages that UPS can provide,” said David Lee, UPS vice president of innovation and new ventures. “This internal competition is a path for talented and passionate people to turn their ideas into a real, impactful business.”

“Our global reach, broad customer relationships, and unmatched logistics infrastructure give UPS a powerful platform on which to build and scale ideas,” Lee said. “In the last two years, UPS has engaged thousands of employees and reviewed hundreds of new business proposals. We are working hard to launch several new innovations in the near future.”

Storage on Demand currently serves the greater metro Atlanta area, including Roswell, Marietta, Alpharetta and Sandy Springs with plans to expand to other U.S. cities in the near future. Prices start at $5 per month per bin. Storage on Demand is currently offering a promotion for the first three months free, which includes delivery of bins, pickup from your door, three months of storage and delivery back to your home or business.

Click here for more information and to sign up for Storage on Demand.

SOURCE: UPS Press Release

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Ina Steiner
Ina Steiner
Ina Steiner is co-founder and Editor of EcommerceBytes and has been reporting on ecommerce since 1999. She's a widely cited authority on marketplace selling and is author of "Turn eBay Data Into Dollars" (McGraw-Hill 2006). Her blog was featured in the book, "Blogging Heroes" (Wiley 2008). Follow her on Twitter at @ecommercebytes and send news tips to ina@ecommercebytes.com.