E-Commerce Logistics & Fulfillment: Renting Warehouse Space

 What is e-commerce logistics? Definition, challenges and trends in the supply chain

Along with e-procurement, electronic business and supply chain management, e-commerce logistics is an important part of e-logistics. In general, e-commerce refers to electronically processed business processes and all transactions that take place electronically. All parties involved communicate via networks or the Internet. There is no physical exchange or contact. An exemplary business process is the sale of goods via online shops.

eCommerce logistics is playing an increasing role due to the fact that the eCommerce industry has been growing in the double-digit range for several years. In 2015 alone, 1.3 billion packages for the eCommerce sector were on the roads in Germany. And the trend is rising. For customers, in addition to uncomplicated and shipping-cost-free returns processing, punctual delivery, shipment tracking and notification are priorities when goods are shipped. Companies that attract negative attention with long delivery times, charge too much postage or offer only limited delivery options now have a bad hand in the market.

The challenges for customer-oriented logistics associated with e-commerce are enormous. The acceleration of logistical processes and the guarantee of short delivery times seem to be crucial at the moment. Adherence to delivery dates is at the top of the agenda. The form of the courier express parcel service "Same Day Delivery" is still a dream of the future in many places because only very few customers are willing to pay extra for it. But sooner or later this too will become the standard.

eCommerce logistics experts in greater demand than ever before

Successful e-commerce is hardly feasible without perfectly functioning logistics. While on the one hand customer satisfaction is the focus, on the other hand delivery solutions must be economical. eCommerce logistics specialists have made it their business to provide their eCommerce customers (for example food or textile wholesalers) with individual solutions for their specific requirements. Automated packaging including the latest conveyor technologies as well as robots symbolise the revolution in eCommerce logistics and point the way towards Logistics 4.0.

Special warehouse systems for eCommerce customers require digital strategies at the highest level. From automated returns solutions for online goods orders to mobile shelving and picking systems characterised by robots, the offer of competent eCommerce logistics specialists for the demanding online business ranges. Modular solutions are also elementary in order to be prepared for seasonal operations and capacity expansion. After all, the constant growth of online trade is to be expected. An adaptable logistics service is indispensable here.

Man and machine in harmony for eCommerce logistics

High-quality control software is just as important for implementing customer requirements as interfaces and the connected warehouse management system. In logistics halls, distribution centres and storage areas for eCommerce logistics, people are employed alongside automation systems to perform all tasks that cannot be ensured by robots. Electronic and digital helpers significantly facilitate the work of order pickers, among others, which can speed up the entire eCommerce process, from the receipt of the order to the cost-saving return. The art is to perfectly combine human know-how with technology.

Some logistics companies not only take care of the day-to-day logistics business for their customers, but also support them in the implementation of online shops, product photography, returns management, billing channels and eCommerce consulting. With solutions tailored to eCommerce, businesses can raise their efficiency to a new level and, thanks to innovative technology, are able to increase customer satisfaction and secure their business future. Recommendable eCommerce logistics providers develop the necessary edge for an advantageous market position thanks to flexibility, scalability, experience and innovation.

Average rental prices for fulfillment warehouses

(Note: Rental prices are indicative and vary depending on the specific micro-location, highway access, and degree of automation of the logistics property.)

Locations and criteria for eCommerce logistics

In addition to logistics locations built specifically for eCommerce logistics, existing shipping or order-picking warehouses are increasingly being converted to make the areas fit for eCommerce processes. Ideally, the locations have optimal transport connections in order to master the time challenges of eCommerce. Depending on the industry, special criteria are decisive with regard to the eCommerce logistics provider selection.

Industry-specific and practical services that integrate optimal technologies and business processes are a must in order to maximise the productivity of eCommerce operations. For example, if the business is selling sensitive food products online to consumers, the service provider must meet high hygiene standards to be considered as a logistics partner. Instead, for a client in the fashion world, an eCommerce logistics provider must be able to react flexibly to spontaneous collection changes because the industry is extremely fast-moving.

Tabular comparison of the different storage options

Find suitable e-commerce warehouses and fulfillment service providers on LAGERflaeche.de

Avoid inefficient returns processes and unsuitable storage areas by choosing the exact right commercial property for your online assortment. As a specialized B2B platform, LAGERflaeche.de connects you directly with established real estate developers and certified contract logistics companies. Based on the offers available on a daily basis, you can analyze strategic warehouse locations specifically according to the success-critical GEO factor (such as proximity to CEP hubs), compare technical equipment features for e-commerce fulfillment and secure exactly the scalable warehouse solution that accelerates your supply chain and drives your business forward. For further details and deeper insights into space evaluation, you can also refer to the warehouse space file.

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FAQ: E-Commerce Logistics & Fulfillment: The Most Important Questions and Answers