The Parcel Theft Saga - Why Protecting Against Porch Pirates Is Good for Business
Getting your orders out the door is just the start of the delivery journey, so what happens when those parcels vanish from doorsteps before they reach your customers? Parcel theft, affectionately known as ‘porch piracy’ is becoming a growing headache. And it’s not just annoying—it can be bad for business.
According to a recent report by Finder*, nearly 1 in 4 Australians have had a parcel lost or stolen. That’s around 4.7 million people. The average value of the items reported missing? $145. That adds up to a staggering $606 million in lost or stolen goods across the country in the past year alone. As online shopping continues to grow, so does the risk. And unfortunately, customers tend to turn to the retailer for answers.
The Real Cost of Parcel Theft
When a package goes missing, as a retailer you’re stuck between a rock and a hard place. Do you wear the cost and send a replacement? Or argue the case and risk losing a loyal customer? Neither is great. Repeat that a few times a month and suddenly you’re losing money and goodwill.
Then there’s the admin. Your support team gets bogged down chasing carriers, calming upset customers, and solving a problem you didn’t even cause. All while your brand takes the hit.
Parcel Insurance - A Smart Move
Sure, we’re biased here, but one of best ways to protect your business and keep customers happy is having your own insurance to cover stolen parcels. Many retailers assume that shipping carriers cover lost or stolen packages, but this is often not the case—especially when a package is marked as ‘delivered.’ Some carriers offer limited coverage, but it’s not always enough to compensate for the full value of stolen goods.
With parcel insurance in place, you’ll be better positioned to:
- Protect your margins – Claim back the cost of stolen goods instead of footing the bill.
- Keep customers happy – Quick, no-drama resolutions help build loyalty.
- Save time – Let the insurer handle the claim while you focus on running your store.
- Add value – Stand out by offering something your competitors aren’t.
Protect Parcels AND your Reputation
At the end of the day, parcel protection isn’t just about saving dollars—it’s about protecting relationships. In an era where consumer trust is everything, ensuring that shoppers feel secure in their purchases is one of the smartest moves you can make.
Learn more about Parcel Protect, our delivery insurance solution.
By Dershwin Moothan