Europe’s Retail Industry Transformation (Part 3)

How adoption of online shopping impacts and accelerates the increasing demand for urban logistics

 

The distribution of space between centralised fulfilment centres and last-mile facilities have undergone a significant change in recent years, with a growing proportion of space being allocated to last-mile facilities. This is due to the increasing demands of urban consumers for faster deliveries and on-demand services, and the competition among retailers to capture market share. The future trajectory of this trend remains uncertain, however, the supply of industrial land, particularly around major urban centres in Europe, has become increasingly limited, with developers preferring to convert ageing industrial properties to higher-value uses, such as residential properties. With the low vacancy rates and constrained development activity in these urban areas, demand for industrial land is expected to continue outpacing supply, leading to sustained rental growth.

 

To maximise their exposure to households with the highest online expenditure, retailers and last-mile operators aim to target locations where total online spending is highest. Several factors, including population density, household income, online penetration rates, and consumer habits influence the demand for last-mile logistics. Urban areas with higher income levels and a younger demographic tend to have higher online penetration rates as they are more tech-savvy and likely to prefer the convenience of shopping online, whereas older generations may still prefer traditional brick-and-mortar shopping experiences.

 

By targeting locations with high online retail penetration, retailers and last-mile operators can tap into the growing e-commerce market and capitalise on the increasing demand for online shopping. In addition, understanding demographic and retail spending patterns can provide valuable insights into consumer behaviour, allowing companies to tailor their services and offerings to meet the needs of the local market. This is why SHAOKE has become one of the leaders in last-mile logistics. Their flexible, scalable, and optimal one-stop logistics solution provides a strong last-mile delivery network. As the availability of industrial land continues to shrink, particularly in urban areas, SHAOKE is well-positioned to meet the growing demand for last-mile delivery services. With a well-established network and a portfolio of self-operated warehouses in key locations throughout Europe, the company is able to offer retailers secure and ample storage space for last-mile deliveries in high-traffic areas.

Last-mile delivery with a strong network

Covering 99.9% of Europe, SHAOKE’s network includes over 80 carefully curated European regional last-mile couriers, ensuring that products reach their final destination in a timely and efficient manner. Their goal is to provide guaranteed cost savings and a satisfactory experience for their customers, while also being an economical option.

Better warehousing solutions

SHAOKE operates self-owned warehouses at key locations throughout Europe, providing faster response times and more secure and economical services. From picking, packing, labelling, kitting, assembly, and more, SHAOKE covers every warehousing need with efficiency and expertise.

Comprehensive end-to-end supply chain solution

SHAOKE provides a comprehensive and holistic approach to supply chain management, offering end-to-end solutions that are carefully designed to meet the unique needs of each client. The team of experienced professionals has over 20 years of in-depth experience in the industry, ensuring that they deliver results that are both efficient and effective. With a proven track record of success, SHAOKE is recognized by top players across industries as a trusted provider of supply chain solutions.

Trucking solutions

SHAOKE is a top provider of trucking solutions, offering businesses efficient and effective delivery solutions. With their expertise in route planning, SHAOKE is able to identify and coordinate the best routes to ensure speedy, cost-effective, and reliable deliveries. The company’s inland transportation services include a comprehensive line haul and distribution network, making it easy to transport goods to their assigned destinations.

 

With comprehensive solutions for retailers facing declining warehouse space and last-mile delivery challenges in Europe, SHAOKE can provide retailers with safe and sufficient last-mile delivery spaces in prime locations. Additionally, SHAOKE offers route planning services, helping retailers to identify and coordinate the best routes for speed, cost, and reliability. With its holistic line haul and distribution network, the company can transport goods to assigned destinations with ease. With SHAOKE’s help, retailers can overcome the challenges posed by declining warehouse space and last-mile delivery and continue to grow their business in the region.

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Meet the team: Gani Berisha, Head of Operations at SHAOKE Netherlands