E-Commerce driving bigger demand for smaller warehouses

David
October 16, 2020

Day by day e-commerce is growing faster in every part of the world. E commerce is capturing
business faster than ever. People are getting addicted to e commerce and e commerce is
regularly evolving and getting faster.
In all this scenario, small warehouses are playing the most important role. E-Commerce is
driving bigger demand for small warehouses.
E-Commerce is running on such a vast level still it requires big demand for small warehouses.
One of the reasons behind this is customer satisfaction and business evolution.
The demand of small warehouses within cities are increasing because e-commerce firms are
targeting to ensure one-day deliveries of food and grocery items to customers. One of the
biggest e-commerce firm i.e. Amazon is now dealing in all kinds of things that could exist in the
market except vehicles. They are dealing in all kinds of sports stuff to home decoratives to
grocery to every possible thing required by you. Many of the items like grocery items have a one
day delivery option available. Amazon has haired dozens of small warehouses just over the
U.S.
Assumption: It is expected that over the next year, in cities warehouses will gain more traction.
It is expected that occupiers will scout for city warehouses between the space of 5000-10000 sq
feet in states like Mumbai, Bengaluru, Chennai and the NCR.
Reports also said that there are many offices within the cities which are older and many of them
are less occupied. E-Commerce firms can even ask for those offices to convert them into
warehouses.
Facts:
● Nearly $7 billion worth platforms have been created for warehousing since 2015.
● $2 billion of PE investments came in the warehousing, industrial and logistic sector.
B2C e-commerce firms are growing day by day and they are proving themselves in every
sector. People are happy as they don’t have to rush for any shopping and even buying
essentials. They can just order and the package will be available within hours.

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