UPS Implements AI Technology to Enhance Delivery Security and Improve Customer Satisfaction
In an effort to combat package theft and ensure successful deliveries, shipping giant UPS has turned to artificial intelligence (AI) technology. The company has developed a program called DeliveryDefense, which utilizes AI and machine learning to assess delivery risks and generate a delivery risk assessment based on two years’ worth of UPS delivery information, historical loss patterns, and address characteristics. This assessment ultimately generates a score that retailers can use to recommend the best delivery option for each package, ensuring that it reaches its intended destination.
Mark Robinson, the President of UPS Capital, explained the value of this new technology, stating, By proactively identifying and addressing potential shipping issues, DeliveryDefense data increases the confidence in a successful delivery. Retailers can recommend alternative delivery options, such as UPS Store locations or other convenient Access Points, to optimize delivery outcomes.
The issue of package theft has increasingly become a concern for consumers, with millions of Americans falling victim to package theft each year. One study conducted by Security.org found that 49 million Americans had experienced at least one package stolen in the past 12 months as of 2022. This amounts to a staggering $2.4 billion in stolen goods. DeliveryDefense aims to mitigate this issue by utilizing the vast amount of data collected from UPS’ historical delivery records to generate a Delivery Confidence Score for each delivery. This score, ranging from 1 to 1,000, indicates the likelihood of a successful delivery.
When a particular address receives a low score, the program allows merchants to recommend alternative delivery options to consumers, such as picking up the package in-store or having it delivered to a UPS Access Point, which can be located in various retail stores or UPS Stores.
One notable aspect of DeliveryDefense is its availability to businesses of all sizes. The program can be seamlessly integrated into a merchant’s order fulfillment system using an API, making it accessible to both large and small-scale retailers. Additionally, consumers can benefit from the program through the UPS My Choice program, which provides text or email alerts about package deliveries.
Through UPS My Choice, consumers can customize delivery instructions, specifying where they want their package to be delivered. They can choose to have it sent to their home, office, the home of a neighbor or relative, or a UPS Access Point.
Overall, UPS’ implementation of AI technology demonstrates its commitment to customer satisfaction and securing packages against theft. By proactively identifying potential delivery issues and providing alternative delivery options, UPS aims to optimize delivery outcomes and enhance the overall customer experience.
Keywords: UPS, artificial intelligence, AI, package theft, DeliveryDefense, delivery risk assessment, retailers, successful delivery, porch pirates, package security, delivery options, UPS Store, Address Points, API, UPS My Choice.
