What Is Proof of Delivery in Logistics and Why You Need It
by Jaidyn Farar
The internet is full of wild claims and stories, and we’re all familiar with the common response to particularly outlandish ones: “pics or it didn’t happen!” Unless someone can provide proof, nobody is going to take them seriously.
The same is true when it comes to shipping. Proof of delivery (POD) is just that: proof that a carrier has successfully delivered a package as promised. It helps businesses with record-keeping, holds carriers accountable, and leads to a better customer experience.
What is proof of delivery in logistics, how does it work, and why does it matter? This article will answer these questions so you can handle POD like a pro.
What is proof of delivery?
Proof of delivery (POD) is a document confirming that a shipment has been delivered to the right location, includes all the expected goods, and is undamaged. By signing a POD, the customer acknowledges that delivery was successful. If a shipment is incomplete or damaged, the POD records that information.
Proof of delivery is beneficial for both businesses and consumers. On the business side, it helps with record-keeping and potential insurance claims. For consumers, POD provides an opportunity to verify a shipment’s completeness and quality before accepting it.
POD is particularly valuable for time-sensitive or high-value deliveries, going hand in hand with real-time tracking to provide visibility into a package’s location and delivery status. It can be used in a variety of circumstances, including the following:
- B2B transactions. In business-to-business (B2B) transactions, POD shows that goods have been delivered as agreed upon. In addition to providing legal and operational certainty, it helps reconcile invoices by confirming that the goods were received in good condition and on time. This is essential for accurate accounting and financial management.
- B2C ecommerce. In business-to-customer (B2C) ecommerce, POD assures customers that their orders have been delivered to the correct address and received by them or another authorized person. This reduces disputes and builds trust.
This article will primarily focus on proof of delivery for ecommerce shipments to consumers.
How proof of delivery works
Now that we’ve covered the basics of proof of delivery, we’ll delve into the key components of the POD process.
Requesting POD
Generally, proof of delivery—especially with a required signature—isn’t the default. Instead, it’s a value-added service that costs extra. In order to offer POD, you’ll need to use shipping methods that come with this service or include it as an optional add-on.
For example, USPS proof of delivery can be purchased as a Signature Confirmation™ service, but it also comes with select mail classes, including Priority Mail Express® and Registered Mail®.
Confirming delivery
POD comes into play during last-mile delivery, the final stage of fulfillment before a package reaches its end destination.
Delivery drivers make their rounds, stopping at homes to deliver packages. When a package is delivered, the driver gets a signature from the recipient, scans a barcode, or records another form of acknowledgment.
With contactless delivery, drivers might simply snap a photo of the package. For instance, FedEx Express® provides photo POD for free when customers track their packages.
Proof of delivery documents vary by carrier and delivery type. They can include the following information:
- Date and time of delivery
- Recipient signature
- Recipient proof of identity
- Delivery address and/or GPS coordinates
- Photographic evidence of delivery
- Condition and quantity of goods
- Driver name
- Delivery vehicle information
- Special delivery instructions
Sharing the information
The proof of delivery data is then transmitted to the package sender (your business) and the recipient. This data is often digitized and accessible online or through specialized platforms, providing real-time visibility and transparency into delivery status.
Why is proof of delivery essential in logistics?
Proof of delivery is an important part of an optimized last-mile delivery strategy, with benefits for both businesses and consumers. The following are just a few reasons why it’s useful in direct-to-consumer deliveries.
- Verifies successful delivery. Proof of delivery shows that shipments have reached their intended destination and made it into the hands of the right person. It’s often used to verify that products such as alcohol and prescription drugs are delivered safely to the correct recipient.
- Builds customer trust and satisfaction. Signature POD allows customers to inspect packages before accepting them, providing greater control over the delivery experience. This boosts trust and satisfaction.
- Prevents package theft. When carriers require a signature before dropping off a package, the threat of porch piracy is eliminated. If you’re shipping high-value items, POD is a must-have.
- Provides evidence for use in disputes and claims. When filing shipping insurance claims, you may need to provide proof that a shipment arrived damaged or incomplete (or didn’t arrive at all). In these cases, POD offers concrete evidence that can be used to resolve issues quickly and fairly, protecting all parties' interests.
- Holds carriers accountable. POD in logistics holds carriers accountable by tracking their performance and ensuring they meet their service level agreements (SLAs). This gives your business more leverage when negotiating rates or discussing carrier performance.
Types of proof of delivery documents
Proof of delivery can come in three forms: physical (or paper-based), electronic, or photographic.
Photo POD
Photo POD is commonly used for ecommerce shipping.
Often, signature proof of delivery is an additional service that carriers provide for an additional fee, typically around $5.00 per package. That adds up quickly when you’re shipping hundreds or thousands of packages a day!
Fortunately, not every package requires a signature. For contactless deliveries where no signature is required, the driver simply takes a photograph of the delivered shipment. The photo is sent to the business and recipient, along with additional details about the delivery time and location.
Physical POD
With physical POD, all the necessary information is recorded on paper. Drivers fill out the form, the recipient signs, and the information is later manually added to the carrier’s and business’s systems.
This method isn’t ideal for a few reasons. First, it tends to be time-consuming, so it slows down drivers. Second, physical POD is error-prone—something as simple as sloppy handwriting could result in inaccurate data. The physical form is also at risk of getting lost or damaged.
Electronic POD
With electronic POD, drivers use a small handheld device, such as a tablet or phone, to record information and signatures. This saves time, reduces errors, and gives businesses instant access to delivery data. Electronic POD can also make use of barcodes and GPS tracking to share location information in real time and streamline the recording process.
Provide shipment visibility and security with multi-carrier shipping software
Proof of delivery provides customers with peace of mind, especially when they’ve ordered something valuable. If something goes wrong with a shipment, POD can help your business determine where the problem happened, make things right for your customers, and evaluate carrier performance.
Just as important as POD, package tracking also helps create a good delivery experience for customers. When a customer can see where their package is, they feel less anxious waiting for it. They also have a chance to change their plans if they see that their package is delayed or scheduled to arrive early.
Whether you need signature POD or contactless delivery, shipping insurance or tracking (or both), the easiest way to sort out shipment details is to automate the process with multi-carrier shipping software.
With EasyPost, you can automatically create shipping labels for your preferred carriers, find the most affordable methods, optimize for delivery time, add insurance, verify addresses, and more.