Published:
Author: Jeff Ström

Challenges for fast-growing e-retailers

Space and staffing costs are your most expensive costs as an e-retailer or a 3PL, and moving premises can quickly become both painful and costly.

90% of our clients have had to move at least once in the last few years. It is hard to compare the growth in e-commerce and 3PL with other industries, and it is not unusual to see a 300% growth from one year to another.

These growth journeys are fun, of course, but they do not come without worries.

Here are some of the most common worries:

  1. Moving premises becomes inevitable
    It’s not a coincidence that new logistics centres are popping up everywhere these days. In logistically clever locations, we see hub after hub along European roads and ports, all taking the delivery route into account. But what about the staff? How easy is it for the night shift, which is often made up of students without the access to a car, to get to work? The availability of flexible staff often decreases the further you are from the city centre.

  2. You need to expand
    Having to expand your premises in the middle of your growth journey can be quite difficult. Oftentimes, you’ll run into issues with landowners, local authorities or other stakeholders that are beyond your control.

  3. You outsource the logistics
    Many e-retailers find themselves in an untenable situation. Either you become an expert in your own logistics, recruiting and geeking out to explore your options, or you outsource it to a third party. This isn’t necessarily a bad thing, but a meeting with us at e-motions will give you a new perspective on how to maintain your logistics without having to become an expert. When we look at our clients’ product flows and discuss solutions, you can make bigger changes at a fairer price.

  4. Large-scale robotic warehouses
    This type of robotic warehouse is a fantastic solution when it comes to warehouse efficiency. An incredibly cool product, to say the least. However, it is not for all businesses, and certainly not at all stages. Managing the power of an automated warehouse requires effective management all around. We can help you with that.

“Our observation is that the most profitable e-retailers choose to invest in automation solutions that maximise their return on investment.”

Jeff Ström

Our hunch is that the most profitable e-retailers choose to invest in automation solutions that provide maximum benefit for the investment made. In that way, they avoid running into the issues described above. All our products are developed to provide a good ROI and optimal flows for e-retailers and 3PLs.

A good example of this is our Stacker / Destacker, which has been designed to improve the process in your existing premises, for instance, by utilising the height of your premises.

Contact

Would you like to know more about how automation can make your business more efficient? Book a demonstration with me, Jeff!

Key Account Manager

Jeff Ström

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