Photo by David McNew, Getty Images.
SAN FRANCISCO -- Staples pulled Amazon.com's Lockers from its retail stores because the package pick-up areas did not perform as well as expected.
Staples spokeswoman Carrie McElwee confirmed the move, but declined to provide details on how many Lockers the retailer had in its stores.
"We evaluate many new products and services in our stores and this was another example," she said.
Apartment-dwellers often have to have packages delivered to a lobby or doorstep, increasing the risk that their purchases are stolen. Amazon, the world's largest Internet retailer, began installing Lockers in physical retail stores to give these urban shoppers a more secure way to buy online.
Retailers, including Staples, RadioShack, 7-Eleven, Duane Reade, part of Walgreen, agreed to install the Lockers because they hoped that Amazon customers would come into their stores to pick up packages and possibly buy something else while they were there. This may not have happened as much as hoped.
"The lockers weren't getting used much and when they were being used, the stores were not seeing the conversion that they wanted to see," said Scott Tilghman, an analyst at B. Riley & Co.
Staples ended the test with Amazon after it "didn't meet the criteria we set up together," Demos Parneros, president of North American stores and online for Staples, said in an e-mail sent to Bloomberg News, which reported the news earlier Thursday.
RadioShack also removed Amazon Lockers because the test didn't fit with the company's strategy, which involves reducing clutter in its stores, spokeswoman Merianne Roth told Bloomberg.
Representatives at Amazon and RadioShack either declined to comment or did not respond to requests for comment Thursday.
By Alistair Barr, USA Today
Gannett / USA Today