Australia Post to bring Parcel Lockers into new apartment buildings as eCommerce growth booms

Online shopping has surged since the onset of COVID, and delivery services are continuing to invest heavily in new solutions to keep up with the growing demand. Australia Post, which delivered over 2.3 billion items nationwide during the 2023–2024 financial year, is continuing to evolve its services in the delivery space to accommodate the increase in online shopping.

One of the most recent developments is the expansion of its popular Parcel Locker system, which was first introduced in 2011 when it trialled 24 different sites. The network expanded significantly in 2012, with hundreds of 24-hour parcel lockers deployed across 250 locations nationwide. By 2024, the Parcel Locker network has grown to 773 sites and more than 59,000 individual compartments.

The next phase of the Parcel Locker expansion focuses on getting them into new apartment developments across the country, bringing the service as close to consumers’ front doors as possible. With online shopping continuing to surge, integrating these lockers into new apartment buildings provides substantial benefits for both residents and developers.

The delivery of 2.3 billion items demonstrates strong demand for online shopping given Australia was grappling with a cost of living crisis which saw mortgage rates reach 20-year highs. The peak Christmas season saw nearly 103 million parcels delivered across Australia alone. In 2024, Australians spent a record $69 billion online, marking a 12 per cent year-on-year increase.

Generational spending patterns in 2024 revealed significant, and sometimes surprising, shifts. Millennials (27–43 years) led eCommerce spending with nearly $25 billion, accounting for 36 per cent of total online spend. Baby Boomers (60–78 years) embraced eCommerce more than ever before, spending 17.6 per cent more online in 2024 than in 2023. Given that the majority of new developments nationwide are currently geared toward downsizers—primarily Baby Boomers—there is a strong opportunity to enhance the value of a new project by strategically incorporating a Parcel Locker within the building.

Gen X (ages 44–59) saw only a one per cent increase in online spending, while Gen Z (18–26-year-olds) spent 11 per cent less than the year prior.

Australia Post Parcel Lockers are automated, secure units that allow individuals to collect, send, or return parcels at their convenience. Parcel Lockers provide a contactless solution for parcel delivery and retrieval. When a parcel is delivered to a Parcel Locker, the recipient is notified via the Australia Post app or SMS and can access their designated locker using a one-time PIN. These lockers can accommodate parcels up to 16kg and 35 x 44 x 61 cm in size, ensuring convenience and security.

Parcel Lockers can be installed across a number of locations within apartment buildings. The lobby or mail room are the most ideal spots for both developers and residents as they are central, have high foot traffic, and are easily accessible. For buildings without mail rooms or smaller lobbies, placing the lockers in basement-level parking areas may be an option. Alternatively, lockers could be installed outside the building, making them accessible not only to residents but also to the wider public.

For residents who have Parcel Lockers installed within their apartment complex, the main benefits include convenient 24/7 parcel access and eliminating the need to be home during delivery hours. Parcel Lockers also offer the most secure way of delivering and storing parcels, reducing the risk of theft. In addition to parcel collection, these lockers can also facilitate returns, with Australia Post handling both deliveries and returns.

For developers, integrating Parcel Lockers brings a tech-forward solution, in a world where new apartment buyers expect the latest in technology. With Australia Post covering installation and maintenance, Parcel Lockers bring a unique value proposition to a building with little cost.

Australia Post Head of Product & Head of Out of Home Rushika Kumar says what the company has in common with a new apartment developer is that they too want to focus on the end user, which is ultimately the resident/buyer.

“Our goals are aligned with those of residential developers—we both want to create spaces that are livable, future-ready, and resident-focused. Parcel Lockers are a simple yet powerful way to elevate the experience of apartment living. We want to enhance the everyday lives of Australians,” Rushika added.

“By integrating Parcel Lockers into new apartment buildings, we’re not just delivering parcels—we’re delivering convenience, security, and peace of mind right to people’s homes.”

Rushika says recent surveys with AusPost users point to a desire to use Parcel Lockers more frequently.

“One in four Gen Zs and Millennials say they’ll use Out of Home (OOH Collection) points, like parcel lockers more often in 2025, should they be well located and within close proximity,” Rushika says.

“One in three Gen Zs always have their parcels delivered to a collection point, while six in 10 millennials choose a collection point when they know they won’t be home. There’s a preference towards Parcel Lockers, and we are investing significantly in bringing them to every Australian. Whether you’re a busy millennial, a downsizing baby boomer, or someone who simply values flexibility, Parcel Lockers offer a secure and accessible solution that meets people where they are—literally at their doorstep.”