Expect disruption in warehousing from start-ups looking to meet demand © Getty Images
Expect disruption in warehousing from start-ups looking to meet demand © Getty Images

Five trends for supply chains

22 February 2019

With Brexit, stockpiling, supply chain problems and big name retailers closing stores, this year is going to be eventful. Stowga CEO Charlie Pool suggests five key trends shaping the supply chain in 2019.

  1. Brexit The uncertainty over trade agreements has sparked fear, and companies are stockpiling ahead of possible disruption. In warehousing, the average price to store a pallet of goods could rise to beyond £3 should a no-deal Brexit become a reality.

  2. Transparency Despite a demand for warehousing, pricing is all over the place and there has been a race to the bottom because nobody knows what their neighbours are doing. 

  3.  Payments 2018 saw a wave of high-profile retailers go into administration, leaving logistics providers exposed to risk. The industry will have to get tough on payment terms if it is to survive.

  4. Urban fulfilment As Amazon leads the way with ever-shorter delivery times, we will see more need for urban fulfilment centres. You can’t change where people live, so the solution is to move product closer to the customer. 

  5.  New players There is huge demand for warehouses and logistics services, and the big players have been slow to innovate. As more start-ups look to break into the industry, expect to see a wave of disruption in warehousing, freight forwarding and fulfilment.
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