The rise of flexible warehousing – Part II (vs Traditional warehousing)

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In the first part of the everstox ‘The rise of flexible warehousing’ series we presented what flexible warehousing is and how it is superior to traditional warehousing solutions. Let’s now focus on how it solves some of the biggest logistics challenges retailers and brands face.

What can flexible warehousing do?

Flexible warehousing enables retailers and brands to store their products closer to their end consumers, meaning right where the demand is. Thus, delivery times are shortened and customer experience improved, while you simultaneously save on transport costs and emissions for individual shipments and returns. Furthermore, the technology and analytical aspects of flexible warehousing help to make warehousing networks and demand management more efficient, resulting in a value boost across distribution chains. 

Flexible warehousing serves a range of use cases, in particular e-commerce fulfillment, retail distribution and inventory overflow. 

e-commerce fulfillment

In the case of e-commerce fulfillment, flexible warehousing enables retailers and brands to scale their fulfillment networks into European markets and close to major metropolitan areas as needed, enhancing their direct-to-consumer strategy. Thus, retailers and brands can test new markets or channels, improve their delivery speed promise, and save on cross-border delivery costs.

Retail distribution

Flexible warehousing also helps brands who distribute their products to retail partners by providing flexible inventory handling close to intake centers to reduce last-mile transportation and storage costs.

Inventory overflow

In case of seasonal peaks or unexpected excess inventory, flexible warehousing allows retailers and brands to quickly adjust their capacity as needed, thus providing a turnkey solution for recurring capacity problems.

How can retailers and brands use flexible warehousing?

E-Commerce

Online businesses, whose first channel is direct-to-consumer, often fully rely on flexible warehousing to set up and expand their smart logistics operations. They choose flexible warehousing since the ability to deliver on customer experience and to expand their logistics solution as demand grows is vital to their success. 

How an e-commerce brand could grow with everstox:

  1. e-commerce brands usually start by setting up one or two network fulfillment partners within their domestic market or near other target demand regions
  2. As e-commerce brands mature, next on their agenda is adding more fulfillment centers across Europe to reduce delivery times and penetrate new markets, or to focus on expanding their reach through retail distribution
  3. Once an e-commerce brand has grown it’s business sufficiently, it can then leverage inventory overflow solutions to handle any supply chain disruptions or peak season demands

Enterprises

For enterprise businesses, flexible warehousing complements their existing distribution infrastructure by providing a solution for piloting and rolling out new markets, sales channels, products and promotions, or managing supply chain disruptions and peak seasons.

Here’s an example of the path enterprises can take to optimize their logistics operations:

  1. Enterprises can start with a pilot project to more flexibly handle a market expansion, a new product launch or other special supply chain events such as inventory overflow
  2. From there, enterprises can add on e-commerce fulfillment to increase their delivery promise and make two-day, one-day or even same-day delivery for fast-moving SKUs across European markets possible 
  3. Finally, enterprises can expand into pop-up or retail distribution, enabling them to position in-demand SKUs close to the markets where they are needed to optimize last-mile transportation costs

Why choose everstox?

everstox enables transparent, efficient and ecological logistics solutions by forming Europe’s first tech-driven flexible warehousing solution. 

We are passionate about optimizing the flow of goods through Europe, solving inefficiencies in warehousing and fulfillment operations and reducing transport emissions along the supply chain. Ultimately, we want to make first-class distribution accessible for independent retailers of any size to compete with established giants like Amazon. Simply the best delivery experience, for every customer.

The key advantages of everstox are our technology, network and expert team:

  • Control tower: Our proprietary cloud technology enables merchants to operate and optimize inventory flows and fulfillment processes through a single source of truth across multiple warehouses.
  • Interconnected network: Our open network of trusted 3PLs across Europe enables merchants to seamlessly scale logistics services and warehouse locations when needed.
  • Team player: Our team of industry experts partners up with you to build the perfect flexible warehousing set-up while being independent from individual fulfillment providers.
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