UPS is harnessing the power of artificial intelligence to combat the issue of package theft by “porch pirates” while also assisting customers in receiving their intended purchases.
The organization employs a system created by UPS Capital known as DeliveryDefense. The system leverages AI and machine learning to produce a delivery risk evaluation. This evaluation is derived from a comprehensive dataset comprising two years’ worth of UPS delivery data, historical loss trends, and specific address attributes.
Additionally, it generates a rating that retailers can utilize to suggest the optimal delivery method. Also, guaranteeing the successful arrival of a package at its designated location.
DeliveryDefense taps into UPS’s extensive historical delivery data, encompassing billions of data points, to create a “Delivery Confidence Score.” This score ranges from 1 to 1,000 and serves as an indicator of the probability of a successful delivery.
When an address receives a low score, the merchant has the option to suggest alternative delivery methods to the consumer. These alternatives might include in-store pickup or delivery to a UPS Access Point, which can be conveniently found in various retail locations or UPS Stores.
Package theft has become an increasing concern for consumers, as indicated by a study conducted by Security.org. According to their findings, approximately 49 million Americans experienced theft of at least one package within 12 months. The typical value of the stolen items amounted to $50. In conclusion, based on incident frequencies and average losses, this translated to a staggering $2.4 billion worth of stolen goods in the past year.