BufferBox Takes On Amazon Locker

The Canadian startup company has partnered with Walmart and Google in an attempt to out gain traction for its own parcel delivery service.

August 24, 2012

WATERLOO, Ontario - Apparently, delivery lockers are the next big thing €" or at least that€™s what Amazon.com and startup company BufferBox are hoping, AllThingsD.com reports. Amazon recently expanded testing of its Amazon Locker delivery service.

BufferBox€™s service essentially works the same as Amazon Lockers: consumers order goods online, which are then delivered to a secure storage facility for pickup. The company has contracts with UPS, FedEx and Canada€™s postal service, which will give each Canadian BufferBox an official address. BufferBoxes have been installed at 7-Eleven stores, supermarkets and office buildings.

Currently, both Google and Walmart are partners with BufferBox, which will be installing boxes on Google€™s campus. Walmart will also soon have lockers in its stores, at least for Walmart merchandise ordered online.

"Consumers are ordering more online, and 60% of delivers fail because no one is home," said Mike McCauley, co-founder of BufferBox. "We€™re changing that."

It remains to be seen whether BufferBox can make its business model viable as Amazon ramps up its own locker delivery service. "Businesses don€™t ship documents anymore," said McCauley. "They email PDFs. Consumers buy online, with a higher percent of retail deliveries going directly to homes."