The inventory accuracy provided by RFID technology is allowing American Apparel to deliver online orders to its customers within 60 minutes. The retailer is working with on-demand logistics provider Postmates to provide one-hour delivery from 79 of its stores nationwide spanning 31 metropolitan areas.
Consumers will have the ability to order over 50 of American Apparel’s core items for men and women. In an effort to grow the clothing company’s mobile and user experience, the consumer will receive their order within 60 minutes instead of the traditional four to five days it takes through standard shipping methods.
“American Apparel is improving its omni-channel consumer experience via Postmates by becoming their first major fashion retailer to offer ‘on-demand basics’,” says Thoryn Stephens, American Apparel’s Chief Digital Officer. “You’ll be able to receive hoodies, t-shirts, socks and more within a sixty minute delivery window — it’s great for traveling or last-minute needs. For the second phase we’re integrating the experience with RFID for real-time inventory availability.”
American Apparel is providing Postmates with RFID real-time inventory that allows them to display the most up-to-date merchandise offering. The participating American Apparel retail stores will have access to the merchant app, Postmates Order via an Android tablet, which will display items directly on a terminal in the store. This will allow the American Apparel retail team to retrieve and package the order while the Postmates driver is on the way to pick it up.
“The combination of American Apparel’s real-time, local inventory paired with Postmates’ superior delivery technology and national footprint is changing the way customers can access their favorite brands,” says Holger Luedorf, Postmates’ senior vice president of business. “One or two day shipping is no longer an option – we are creating entirely new customer expectations.”
With a one hour guaranteed delivery time, Postmates estimates this process will save 15-20 minutes per order and will result in higher order accuracy. The integration is also set up to allow Postmates to invoice American Apparel instead of the driver’s credit card at pick-up, which will result in further savings of credit card fees and time.
American Apparel previously tested Postmates in major cities such as New York and San Francisco with limited marketing and positive results. American Apparel is the first official and largest in-app apparel partner.