Savings on the last mile: Optimise warehouse space for the online boom

Online retail is booming. Although it is the last mile up to the customer’s front door which is most expensive – this is where intelligent warehouse solutions come into play.

| Reading time: 3min.

Have you ordered something online over the past three days? Then you will be in good company. An increasing number of customers now do their shopping from the comfort of their armchair. Due to the fact that many businesses were not able to open their doors to the public because of the pandemic, online retail experienced an unprecedented boost.

The demand for warehouses is on the up

This is not just music to the ears of the leading parcel delivery companys. Mail order company, Amazon, more than tripled its quarterly profits. With a profit in the first quarter of 2020 of 2.5 billion dollars, it soared to 8.1 billion dollars in the first quarter of 2021. As such, an increasing number of warehouses are required.

So what is the story in food logistics? Experiencing a growth of around 60 per cent, the food industry is driving the boom in online trade, recorded by the Online Monitor 2021 of the German Retail Federation. Indeed, these growth figures are almost three times as high as non-food sectors. One of the pioneers in the field of home food delivery has certainly reaped the benefits here: According to its own figures, in 2020 Rewe was able to roughly double its online sales.

 

Searching for the best warehouse solutions

The rapidly growing market, but also customer requirements pose increasingly complex challenges for companies in the logistics sector. One important point to consider: delivery on the last mile is more expensive than customers are prepared to pay for. A study conducted by Capgemini over the past year has illustrated this point. For logistics companies, who wish to benefit from the online boom, one question firstly needs to be asked: How can the supply chain be optimised in such a way that it can respond to customer demands in a faster and more efficient manner while also saving costs?

Three topics are central to the last mile: Speed, regionalisation, flexibility – and one solution provides the answer.

Speed – with TÜV-inspected statics

The online market is growing at a rapid rate. Companies will have a clear advantage, who are able to set up warehouse space in no time at all with low costs. Looking back on nearly 100 years of experience creating temporary buildings and more than 5000 completed projects for our customers in production, logistics and transportation, at Herchenbach we have developed a modular system that offers you the economic flexibility demanded by contemporary enterprises. Use our TÜV-inspected statics, opt for our full service package and swiftly set the wheels in motion for your warehouse project.

 

Regionalisation – with aluminium buildings

The era of large central warehouses is drawing to a close. In future, only a handful of logistics companies will work with a large central warehouse in the heart of Germany, from which all regions will be covered. A trend is growing among companies to rely on smaller distribution centres with optimum motorway links. Medium-sized centres are often connected, in places where commercial premises are not difficult to get hold off, in contrast to conurbations. Is the location the right one or does the supply stream change after a few years? Aluminium temporary buildings from Herchenbach can be assembled with a fast and secure ground spike anchoring. If the warehouse is no longer required, it can be dismantled and reassembled in a different location.

 

Flexibility – with rental option

Storage requirements are changing. Buildings are therefore sustainable and can be easily and safely adapted in line with changing requirements. New elements can be attached to a Herchenbach temporary building time and time again. Or choose our flexible rental options. Then you only pay for the warehouse space for as long as it is actually needed.

 

 

 

Conclusions

Do you want to optimise your company and save costs on the last mile? Then arrange a meeting with us and reap the benefits of our logistics expertise.

 

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