Episode 510: Addressing lost and stolen packages with Deliverlitics
Today’s episode of The New Warehouse Podcast features Bobby McKinnon, Co-Founder and CEO of Deliverlitics. Deliverlitics is dedicated to solving a significant issue in the delivery and e-commerce industry: lost and stolen packages. With increased e-commerce activities, this problem has become more prevalent, impacting consumers and businesses. Bobby shares insights on how Deliverlitics leverages AI to tackle this challenge effectively.
Bobby McKinnon’s Journey to Deliverlitics
Bobby McKinnon’s background is diverse and impressive. After spending half a decade as an Army logistics and supply chain officer, he transitioned to the corporate world, gaining experience at Nike and a blockchain data analytics startup. His military experience, particularly in high-pressure logistics environments, equipped him with the skills to lead and innovate in the supply chain sector. “The military gave me a set of tools and passions for leading organizations that have pushed me to where I am today,” Bobby explains. His journey culminated in co-founding Deliverlitics, driven by a desire to address the pervasive issue of lost and stolen packages.
The Problem of Lost and Stolen Packages
The rise in e-commerce has exacerbated the issue of lost and stolen packages, creating significant challenges for retailers and consumers alike. Bobby categorizes the problem into three main areas: misplaced items, package theft, and first-party fraud. “Somewhere in the neighborhood of $15 to $20 billion is what it’ll end up being lost or stolen this year across all of e-commerce,” he notes. Examples like the man dressed as a trash bag stealing packages highlight the creativity of thieves. Moreover, first-party fraud, where customers falsely claim packages are missing, adds to the financial burden on businesses.
Deliverlitics’ AI-Driven Solution
Deliverlitics addresses these challenges through innovative AI solutions. By analyzing vast amounts of data, they predict and mitigate the risk of package loss and theft. This analysis allows them to provide specific recommendations to mitigate the identified risks. Bobby elaborates, “AI allows us to sift through these things, find the points of correlation, find the things that are causing these events to occur or contributing to their propensity to happen. And then we can predict them.” Their Shopify plugin, for example, assesses the risk of each order in real-time, providing recommendations like adding signature verification or redirecting to a secure location. This proactive approach protects businesses and enhances the consumer experience by reducing friction and maintaining trust.
Key Takeaways
- Innovative AI Solutions: Deliverlitics uses AI to analyze data and predict risks associated with package delivery.
- Significant Financial Impact: The e-commerce industry loses billions annually due to lost and stolen packages.
- Proactive Recommendations: Their system provides real-time recommendations to mitigate risks, improving both business operations and customer satisfaction.
