What Is Curbside Pickup Technology and How Does It Transform Retail?

Curbside pickup technology refers to the digital systems and processes that enable customers to buy products online and pick them up outside a store – often without leaving their car. In practice, it means a shopper places an order via a website or mobile app, chooses a nearby store for pickup, and then drives to a designated curbside area where store staff deliver the order to their vehicle. This fulfilment model became widespread during the pandemic as a contactless solution, and it has since evolved into a cornerstone of omnichannel retail tech strategies that blend online convenience with physical retail presence. Executives are adopting curbside pickup not just as a safety measure, but as a long-term strategy to improve the customer experience, reduce costs, and transform how retail operates.
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Defining Curbside Pickup Technology

Curbside pickup is essentially a form of “click and collect” or BOPIS (buy online, pick up in store) with one key difference: the handoff happens at the curb or parking lot, rather than inside the store. Customers place orders online and choose curbside pickup at checkout. The technology side involves integration between e-commerce platforms, order management systems, and mobile apps to coordinate the process. When the order is ready, the customer receives a notification to drive to the store’s curbside pickup zone. Upon arrival, they check in – often via an app button, SMS, or automated geolocation trigger – and a store associate brings the order out and verifies it (for example, matching an order number or scanning a code) before handing off the goods. In essence, curbside pickup technology links digital ordering with physical fulfilment in real time, using tools like GPS location services, customer messaging, and store associate apps to streamline the experience.

This technology encompasses more than just a parking spot – it requires a coordinated backend system. Retailers must have accurate inventory visibility to promise items for pickup, efficient in-store picking processes, and staff notification systems. Many retailers have added features like dedicated curbside parking spaces, signage with instructions or spot numbers, and even sensors or geofencing. For example, some systems use geofence alerts or sensors to automatically notify store staff when a customer’s car is approaching or has arrived, saving the customer from having to call or text and shaving wait time off each order. All of these tech components work together to make curbside pickup a fast and seamless process.
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Curbside Pickup as Part of Omnichannel Retail

In an omnichannel retail strategy, retailers aim to provide a unified shopping experience across online and offline channels. Curbside pickup fits this model perfectly as it bridges e-commerce and brick-and-mortar. It allows customers to transition from browsing and buying online to receiving the product at a physical location with minimal friction. A true omnichannel approach means customers can shop in whatever way is most convenient – whether that’s delivery, in-store shopping, or picking up outside the store – and get a consistent, smooth experience across all touchpoints.

Retailers have recognised that offering curbside pickup is now vital for meeting customer expectations. By 2020, about 44% of major U.S. retailers had introduced curbside pickup options as shopping behaviour shifted online. Today, nearly two-thirds of U.S. retailers offer some form of buy-online-pickup (either in-store or curbside), underlining how standard this capability has become in omnichannel retail tech. Curbside pickup technology leverages physical stores as miniature fulfilment centres – a strategy that not only improves customer convenience but also makes use of store inventory and staff to fulfil online orders. In omnichannel terms, it’s a win-win: customers get the online-to-offline service they want, and retailers increase online sales while drawing shoppers to their local stores.

Importantly, curbside pickup doesn’t run in isolation; it’s integrated with other systems like loyalty programs, CRM, and inventory management. This integration means retailers can maintain a unified customer profile and experience. For example, a shopper might research an item on their phone, purchase it online for curbside pickup, and later return or exchange it in the store – all of which should feel like one continuous journey. The result of mastering such omnichannel offerings is a boost in sales and loyalty: studies have shown customers spend more when they engage across multiple channels. Target’s CEO, for instance, noted that guests embrace the brand “because of our stores and our digital options, not one vs. the other,” highlighting that a blend of online and physical services (like curbside) drives higher overall spending.
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Key Benefits for Retailers and Consumers

Curbside pickup technology delivers significant advantages to both shoppers and retailers. Below we break down the key benefits:

For Customers (Shoppers):

• Ultra Convenience and Speed: Shoppers can retrieve online purchases at their convenience, without waiting days for shipping. They simply drive up and receive their order, often the same day they place it. This is especially valued by time-pressed customers who need items quickly or want to avoid wandering store aisles.
• Contactless, Hassle-Free Experience: Curbside pickup offers a contactless shopping experience, which gained prominence during COVID-19 but remains popular for its ease. Customers don’t need to leave their car or deal with crowds and checkout lines – a plus for those with limited mobility or tight schedules.
• No Shipping Fees or Porch Theft Worries: By picking up at the store, customers avoid delivery fees and don’t have to worry about packages being stolen or damaged en route. It’s cost-saving and adds peace of mind. They also have a chance to check the order on the spot – if something is wrong, they can immediately alert staff. For example, if an item is incorrect or produce isn’t fresh, the issue can be resolved right then, rather than dealing with return shipments.
• Flexible Scheduling: Many curbside systems let shoppers choose a pickup window or time slot that suits them. This flexibility means they can swing by after work or during errands. The process is typically quick – often a few minutes of wait at curbside – making it easy to fit into a busy day.
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For Retailers:

• Higher Customer Satisfaction & Loyalty: Providing a convenient pickup option improves the overall customer experience and satisfaction. Retailers can thus meet the modern shopper’s demand for flexibility. A smooth curbside service strengthens brand loyalty – customers are more likely to shop again if they know they can get items easily. In fact, offering this option can be very important to nearly a quarter of consumers; about 23.6% of U.S. shoppers say that having buy-online-pickup (either inside or curbside) is an extremely important feature in deciding where to shop.
• Increased Sales Opportunities: Curbside pickup can drive incremental sales. Some customers place additional orders when they know they can pick everything up together, and if they do step inside for any reason, they often buy extra items. (Traditional BOPIS has an especially strong upsell effect – one survey found 85% of U.S. BOPIS users made an additional purchase in-store when collecting an order.) Even without entering the store, a happy curbside customer may become a repeat customer or use other services like loyalty programs, ultimately spending more over time. Target discovered that shoppers who use its Drive Up curbside service spend about 30% more than they did before using curbside, indicating that convenience can translate into higher basket sizes and frequency.
• Lower Fulfilment Costs: Curbside pickup is cost-effective for retailers. By having customers come to the store, retailers save on last-mile delivery costs (fuel, drivers, shipping fees). Fulfilling an order via curbside typically costs less than home delivery, improving profit margins on online sales. Additionally, there’s no risk of delivery attempts failing (e.g. customer not home) – which avoids the expense and complexity of re-delivery. In essence, curbside offloads the “last mile” to the customer, while still providing convenience.
• Efficient Use of Store Inventory and Staff: Curbside pickup lets retailers leverage their stores as fulfilment hubs. Staff can pick orders directly from the shelves (or a backroom) and hand them off, which can be faster than packing and shipping from a warehouse. This reduces shipping and logistics strain and can lead to faster inventory turnover in-store. It also helps avoid delivery-related product damage – goods go straight from store to customer’s car, eliminating some handling risks (no bouncing around in a truck).
• Improved Omnichannel Insights: Every curbside transaction gives retailers data on customer behaviour – which items are frequently picked up, what times are popular for pickups, etc. These insights help in inventory planning and staffing. Also, because curbside orders are tied to customer accounts and apps, retailers can gather feedback quickly (some prompt customers to rate the pickup experience in the app) and address any service gaps, continually refining the process.
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Curbside vs. In-Store Pickup vs. Home Delivery

Curbside pickup sits alongside traditional in-store pickup and home delivery as fulfilment options, each with its own strengths. Here’s how curbside compares:

• Curbside Pickup vs In-Store Pickup (BOPIS): Both curbside and traditional BOPIS require the customer to travel to the store, but curbside is even more convenient because the customer doesn’t have to park and go inside. With in-store pickup, the shopper typically enters the store and goes to a service counter or locker to retrieve their order. This can lead to impulse buys (as noted, many shoppers end up grabbing extra items in-store) and personal interaction, which some customers don’t mind. Curbside, on the other hand, is all about speed and ease – it appeals to those who want a drive-through style experience. During the pandemic, many shoppers who tried curbside preferred not having to enter the store at all, and retailers saw curbside usage leap ahead. However, in-store pickup still has a role – some forecasts suggest that by 2024–2026 a slight majority of click-and-collect customers will opt to go inside the store, while nearly half will choose curbside. The key is that retailers need to offer both, letting customers decide which they prefer.
• Curbside Pickup vs Home Delivery: Curbside requires customers to drive to the store, whereas home delivery brings the item to the customer’s doorstep. The trade-offs here involve time and cost. Curbside can often be faster – a customer might order in the morning and pick up that afternoon, instead of waiting a day or more for delivery. It’s also usually free (or low cost), whereas delivery may incur fees or minimum order requirements. For retailers, curbside is cheaper to fulfil (no shipping or third-party delivery fees) and can be more reliable for certain items (no risk of packages getting lost or delayed in transit). On the flip side, home delivery is the ultimate convenience for customers who don’t want to travel at all. Notably, some consumers shifted from delivery to curbside because of those cost and speed advantages – one report found a 37% increase from 2021 to 2022 in the share of online shoppers opting to pick up orders (curbside or in-store) instead of choosing delivery. This trend indicates that many shoppers are willing to drive and pick up if it means saving money or getting items faster, which in turn helps retailers by reducing delivery expenses and potentially boosting store traffic.
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In summary, curbside pickup complements the other fulfilment methods. Traditional in-store pickup might entice customers inside (potentially leading to additional purchases), whereas curbside maximises convenience and safety. Home delivery offers convenience at a premium cost. A robust retail strategy often includes all three options, allowing the customer to choose based on their needs – for example, offering curbside for immediate needs or bulky orders that are hard to ship, and home delivery for those who value door-to-door service. The key for retailers is to manage these channels seamlessly under a unified system.