Why Pargo is recognised as one of the most innovative companies in South Africa

FNB recently recognized our business Pargo as one of 9 most innovative companies in South Africa. The FNB Business Innovation Awards aims to ‘recognise and celebrate the efforts of high-impact entrepreneurs who have embraced many challenges to create world-class, industry-disrupting and scalable companies that continue to forge unique ways of doing business.’ CEO of FNB Business, Mike Vacy-Lyle says that these awards strive to encourage businesses as they hold the greatest potential to answer South Africa’s socio-economic challenges.

Therefore we are extremely proud to be acknowledged as one of the 9 finalists out of an overwhelming 700 entries;  completing five rounds of panel discussions with seasoned professionals to reach the esteemed final. We were selected as a finalist due to our revolutionary approach to transforming the logistics industry in Africa. We’ve created an extensive network of accessible drop-off and pick-up points as a solution to a growing e-commerce trend in South Africa and a lack of reliable delivery options.

Disrupting delivery and breaking down barriers to online shopping

Ecommerce in South Africa is booming with a 50% rise in online spending compared to the previous year. Driven by high mobile penetration, secure payment options and changing spending habits, online shopping has consistently been on the rise in South Africa. The main limitation has been a lack of delivery options. 58% of people who have not shopped online were concerned about delivery and it’s easy to know why by understanding some of the problems surrounding logistics in South Africa.

Firstly, delivery tends to be very expensive, especially if it’s outside of the main hubs of Gauteng and Cape Town. Then there is the added challenge of reaching online shoppers, as many people live in areas with limited access for courier services. Townships often lack residential addresses and estates often refuse to allow couriers in, these are just two examples of such areas. Add in the fact that delivery to work is not always an option, as most people don’t want personal things delivered to their workplace, and some offices do not accept couriers in the building. Plus no one wants to wait at home all day for a delivery as they may not have somebody to receive it on their behalf. Taking into account all these problems, we recognized that a lack of flexible delivery options was one of the main reasons holding back consumers from shopping online and the South African logistics industry needed a new player to change the game.

5 Innovative ways Pargo is revolutionising parcel delivery as you know it

We created a solution to increase access and add flexibility to delivery methods with our Pargo Pickup Points while doing this at a lower cost. We allow companies, consumers and couriers services to send and collect parcels from over 1,500 retail outlets nationwide, including Clicks, Caltex, Lewis and many more retail partners.

The FNB Business Innovation Awards judge panel highlighted the following 5 innovative ways that Pargo is revolutionising the logistics industry.

Click and Collect: As the first company to offer Click and Collect in Africa, Pargo provides a completely automated process which allows consumers to buy online and collect in store, bypassing the traditional inconveniences of courier services. Our easily accessible network of over 1,500 Pargo pick up points nationwide ensures consumers never have to miss deliveries again.

Price: Where traditional courier companies provide their customers with complicated rate tables filled with additional charges, we provide one fixed rate across the country with no hidden surcharges, making Pargo a cheaper alternative to courier companies and allowing customers to save on delivery cost. We’re able to achieve these rates through a 100% delivery rate on first attempt and consolidation on delivery; as we distribute 10 parcels to 1 store, instead of 10 to 10 different addresses.

Returns: We’ve helped break down another barrier to online shopping by making returns simple and hassle-free. If customers are not happy with their purchase they can drop off their goods at a Pargo point to return them instead of waiting for a courier service all day to collect the order.

Deliver 2 Me: In collaboration with TFG and Wumdrop we allow customers to shop online and deliver their goods directly to their real-time mobile location, rather than an address on a map. This innovative new delivery solution offers flexibility like never before as users can choose the driver to find them, without needing an exact location for their order to be delivered.

Customer Experience: We strive to provide an exceptional service and great experience through our advanced software and data-driven, customer-centric processes. Our smart logistics platform collects data from multiple points so that we offer full insight and transparency on the delivery process through Track & Trace and consistent communication to notify customers of their parcels’ progress. We ensure immediate action is taken should errors occur through closed customer feedback loops and our incredible customer service team are available 24/7 for any queries.

Growing ecommerce, one Pargo pickup point at a time
Ultimately our goal is to create a convenient, accessible and affordable parcel delivery service for South Africa in order to provide consumers with a more flexible delivery solution to maximize their productivity.  As a result, we are breaking down barriers to online shopping and want to continue making a difference by helping to grow South Africa’s ecommerce industry.

We are very honoured to have been chosen as a finalist for the FNB Business Innovation Awards 2018 alongside some truly remarkable entrepreneurs who are also striving to solve socio-economic issues around the country. We cannot wait to keep transforming Africa’s logistics industry and making online shopping available to everyone, one Pargo Pickup Point at a time.
If you’re interested in partnering your business with Pargo, contact info@pargo.co.za for more information on how you can use our delivery solution.