On-Demand Warehousing

Do you remember the good ‘ol days of LBA? Yeah, you know, Life Before Amazon? Times were so much simpler back then.

Before Amazon was disrupting markets, when a shipping order was received from a client, the 3PL had a few days to process it in the warehouse. Then carrier transit time took another 4 – 5 days… maybe a week. The customer was happy if the order arrived within 10 days. But now with Amazon and their ubiquitous Prime service, customers (B2B and B2C) expect 2-day turnaround or less… on everything!

Successful 3PLs have embraced these new standards by implementing technologies and processes to increase their service levels. This trend has also spawned a host of new warehouse matchmaking businesses such as Flexe, Flowspace, Stord, FedEx Fulfillment and the recently launched UPS business Ware2Go. These businesses connect shippers and warehouses, helping merchants that need warehousing/fulfillment services find firms that have capacity.

What about you? Are you involved with any of these companies? Do they have a future? What are your thoughts? Please leave  us a comment below.