In 1950, New York was the only megalopolis on the planet. In 2020, there are 29, and 65% of the population will live in urban areas 2025. These upheavals are forcing logisticians to completely adapt their operations in order to meet the changing expectations of their customers. Urban logistics business refers to all the methods used to deliver goods in the best way in each city
How To Strategically Approach The End Customer To Improve Your Performance?
The sprawling warehouses on the outskirts of cities were once at the heart of the logistics strategy of all companies. Those days are over, the race for delivery times now passing through the adoption of a compact size! The aim is to shorten delivery times for all customers (and particularly the most loyal).
These warehouses only stock small-format objects (generally less than 45 cm in diameter) among the most requested by customers (food supplements, electronics, cultural products, toys, etc.). ” high productivity thanks to the use of “cobots” (collaborative robots). In Amazon’s connected warehouse located in Staten Island (New York), storage capacity has been increased by 40%, despite a 20% reduction in floor space! It is made up of thousands of small identical shelves. These warehouses extend further in height, to take into account the constraints related to urban housing and the cost per square meter.
On the other hand, traditional large-scale warehouses are not completely destined to disappear. Indeed, they are still essential for storing objects ordered less frequently (large household appliances, high-tech, etc.) and bulky.
The Last Mile Challenge; What’s the Solution?
The delivery of the last kilometer is growing around 10% per year, a pace similar to that of e-commerce According to a study carried out, 48% of dissatisfied customers refuse to order a product again on the same website. If they decided to continue, their expenses would be reduced 45% of the time. On the other hand, 75% of consumers say they are in favor of increasing the number of their purchases on a site whose delivery offers meet their expectations
The urban mobile warehouses used to address this issue via:
- Standardization of stored products
- Automation of internal processes thanks to robotics
- Limiting warehouse costs and unit storage costs
- An increase in the speed of order processing and delivery
Also, last-mile delivery responds to ecological issues For example, it is possible to deliver in the city with clean vehicles (electric utilities, hybrids, bicycles, etc.). Urban warehouses also limit traffic jams on the roads on the outskirts of cities and pollution in city centers.
Find them on the web at https://soonerlogistics.com/3pl-warehousing/ for more logistics information or service provision.