The Future of Warehousing: Tech Trends

Warehouses now act as middlemen between wholesalers and retailers, delivering large quantities to multiple locations. Retail e-commerce requires smaller lots for multiple homes, and same-day delivery has become popular.

Fremont, CA: Global consumption patterns are rapidly changing, leading to new trends in the warehousing industry, including storage, picking, packaging, and shipping. The sector must adapt quickly to meet the growing demand for a robust supply chain. To stay relevant, players in the warehousing sector have to adopt some trends and technology upgrades.

Multi-user warehousing: Companies are shifting towards multi-user warehousing instead of single-client or built-to-suit models. This allows for flexibility in operational and labor costs, reducing company expenses and allowing tenants to sign shorter-term contracts, unlike single-tenant warehouses that typically require multiple-year leases.

Rise in the B2C channel: E-commerce platforms have increased the need for warehouses to adapt to multi-channel inventory management, managing both B2C and B2B inventory. Warehouses now act as middlemen between wholesalers and retailers, delivering large quantities to multiple locations. Retail e-commerce requires smaller lots for multiple homes, and same-day delivery has become popular. As a result, warehouses need suitable management systems to handle complex picking and shipping patterns.

Adopting verticalization in storage: Warehouses in large cities face high real estate costs and increased business demands, necessitating more space.