The future of retail

Kate Lester, founder and CEO of bespoke logistics solutions provider Diamond Logistics, offers a fearless opinion on the future of retail.

We can see light at the end of the tunnel. Shops are opening, but the reality is retail habits have changed forever. As a class A shopaholic, I will be first out of the blocks. But shopping habits have undoubtedly changed.

Some people will never go back to shopping the way they used to. The elderly, infirm or very time pressed. There is gold in these markets if you target them in a way that is attractive.

Commodities or specialist goods are perfect for online. Household product sites like www.webother.co.uk makes it very easy to order bulky and cost-effective goods direct to your home. Equally specialist goods – like www.SacredGin.co.uk – are easier to source online as there are very few stockists of this premium product.

It’s the stuff you want to try on, touch, feel or see – like furniture – that will drive retail moving forward.

For example, buying shoes online is very hit and miss, as is buying furniture. The look, feel and weight of shoes is a touch-based experience.

A lot of people like their Saturday food shopping – I can’t see this being eroded entirely – and substitution is annoying. But shopping at Waitrose for a few key products – and getting the bulk on Ocado – is a way of mixing modes of purchase and retaining the best bits for the consumer. And who wants to lug huge bags of shopping when you can get it delivered for £5? And, also, it’s those last-minute things – the capers and anchovies you decide you need for your dinner party – that your local delicatessen will always be strong at supplying.

There’s also a trend for convenience and local.  My grocery preference at the moment is Co-op or Sainsbury’s Local – with a weekend top-up at Waitrose and M&S – spreading the pounds dependant on need.

Big retailers

Retailers have to embrace multi-modal experiences – click & collect, home delivery and retail experiences.

Retail experiences will continue to be a thing, but it will be a big day out so they have to be fun and engaging. You won’t just pop to the shops; there will have to be further motivation. Ikea has this nailed, albeit their delivery items online aren’t great at present. (Ikea, if you need a hand, you know where we are!).

Ikea is a great day out. They not only showcase all their products in enviable showrooms so you can aspire to creating that space in your home, they offer a crèche and canteen – not to mention the inimitable meatballs – all of which make a great trip for the family.

Some key purchases will always be more aligned to a shop purchase. Car, furniture and carpet textiles for example, because the online experience is either slow (if you ask for samples and have to wait for them to be despatched for example). Whereas if you go to John Lewis Home, you can see, touch and feel your purchase on the same day.

There will be more showcasing in retail, whilst ordering will still be online. And customers will seek goods on multiple platforms – sale items on eBay and retailer sites with enhanced search facilities. It still staggers me that when you search for some standard items you can’t find them on Google search. Retailers have to really master their digital marketing to stay ahead.

Small retailers

Small retailers need to build their brand and a local following for a dedicated audience. They are going to have to drive loyalty to win custom.

Use multiple platforms and a united inventory system to enable customers to buy from you and use the power of these platforms’ search engines to drive sales. It’s more likely eBay and Etsy will pip them to the post, rather than their own SEO.

Utilise Google Shopping – it still gobsmacks me that it’s (mostly) cheap importers which have mastered this. Quality products are underrepresented.

Drive traffic through audience building on social – build that loyal base and push offers out which lead to a shop experience for upselling opportunities.

You still have to bat above your average in terms of delivery, shop experience or online (either own site or marketplace).

Experiential retail will drive customers, a day out not a pop to the shops. Other retail will become either a client loyalty-driver – small, boutique, specialist, local – or simply a showcase.

Keep up with consumer demand – driving faster and faster deliveries. Same-day fulfilment is just around the corner and this will be a great step forward on the multi-modal retail revolution.

DHL Express predicts considerable B2B e-commerce growth

DHL Express, the international express service provider, has released a new WhitepaperThe Ultimate B2B E-commerce Guide: Tradition is out. Digital is in“.

The study predicts strong growth for the B2B e‑commerce market in the coming years: by 2025, 80% of all B2B sales interactions between suppliers and professional buyers will take place in digital channels. The impact of the Covid-19 pandemic on the pace of digitalisation and the purchasing behaviour of technology-savvy millennials, who are now of an age to be the professional B2B decision-makers, are the main drivers of this global e-commerce growth.

What is predicted for the future of the B2B sector has already been visible in the significant B2C e-commerce rise over the last years, where DHL Express experienced high growth rates particularly during the holiday peak seasons (e.g. Easter, Christmas) and mega shopping days (e. g. Black Friday, Cyber Monday). In total the B2C e‑commerce volumes within the DHL Express network increased in 2020 by approximately 40%, compared to 2019.

This positive business development is also reflected in the FY2020 financial results of the company: With a total revenue of €19.1 billion (+11.9% year-on-year) and EBIT of €2.7 billion (+34.9%) the Express division of Deutsche Post DHL Group closed 2020 with the best result in its more than 50 years’ history. With its worldwide network and breadth of industries served, DHL Express was able to accommodate fast-changing trade flows.

Furthermore its presence in more than 220 countries and territories helped consumers and businesses to stay connected by enabling them to trade around the world – also during the Covid-19 pandemic.

“Even in times of worldwide shutdowns, globalisation has shown its resilience, fuelled by digitalisation and the power of global trade”, says John Pearson, CEO of DHL Express. “These trends have led to an ever-growing number of consumers to shift their shopping activities online. The pandemic has accelerated this development like never before, with a sharp rise in businesses selling their goods in the global marketplace. E-commerce and global logistics thus provided the key to unlock local shutdowns, keep economies running and mitigate the impact of Covid-19 for many of our customers.”

It was not only B2C e-commerce that was growing due to ongoing digitalisation and changed shopping behaviour of consumers. In 2019, before the pandemic, global sales on B2B e-commerce sites and marketplaces had already increased by 18.2% to reach USD 12.2 trillion, outpacing the market size of the B2C sector. Through Covid-19 and the resulting acceleration of digitalisation, this global B2B E‑commerce volume is estimated to reach USD 20.9 trillion by 2027.

“We have been facing the pandemic for over one year now,” says Michiel Greeven, Executive Vice President Global Sales at DHL Express. “A year that showed how nearly a decade of digital evolution happened in just a few months’ time, with online shopping and cross-border shipping as the new normal. And this is true not only for B2C retailers, but also in terms of B2B e-commerce as companies started recognising that online selling platforms are crucial for their business success, today and in the future. As a result, there will also be an additional need for global Express shipping and DHL Express is well positioned to support all B2B companies on their journey.”

The Whitepaper also uncovers factors driving the growth of the global B2B e‑commerce market: besides general trends such as globalisation and digitalisation, a new technology-oriented generation of millennials is starting to make its mark. Already, millennials account for 73% of all professional B2B purchasing decisions. As digital natives, their experiences in the B2C-sector translate to high expectations when making B2B transactions, pushing companies to invest in digital solutions, such as selling platforms, while offering great growth potential.

“If B2B businesses want to make the most out of the new cross-border and e-commerce opportunities they need to start adapting to the changing buying behaviours. Especially with the upcoming generation of millennial as B2B decision-makers, who are further driving the digitalisation of the sector. B2B customer experiences have to be more aligned with the digital B2C experiences. As international e-commerce specialists, we have the know-how and insights to support businesses to adapt to the ongoing changes and unleash their full potential” says Leendert van Delft, Vice President Global Sales Programs and Global E-commerce.

In 2020, DHL Express delivered 484 million shipments in total for its customers (B2C and B2B) around the globe, around 9% more per day than in 2019. To adapt to this significant growth of its network, DHL Express continues to invest annually more than €1 billion in new state-of-the-art facilities around the world to multiply its sorting capacity (+65% since 2013), hires new employees (+10,000 year-on-year) and adds new freighter aircraft to its fleet (+20 units year-on-year). In this context, DHL Express recently announced the purchase of eight more Boeing B777 wide-body freighters and a partnership with Smartlynx Malta to add two Airbus A321 to its fleet. With these measures, DHL Express ensures that its worldwide customers can benefit from the global
e-commerce boom.

Box-moving robot aims to enhance warehouse operations

Boston Dynamics, a leader in mobile robotics, has revealed Stretch, its new box-moving robot designed to support the growing demand for flexible automation solutions in the logistics industry. This debut marks the company’s official entrance into warehouse automation, a fast-growing market fuelled by increased demand in e-commerce.

Stretch is Boston Dynamics’ first commercial robot specifically designed for warehouse facilities and distribution centres, of which there are more than 150,000 globally, according to analysts. The multi-purpose mobile robot is designed to tackle a number of tasks where rapid box moving is required, first starting with vehicle unloading and later expanding into order building. Stretch’s technology builds upon Boston Dynamics’ decades of advancements in robotics to create a flexible, easily-integrated solution that can work in any warehouse to increase their flow of goods, improve employee safety in physically difficult tasks and lower expensive fixed automation costs.

The robot’s small, omni-directional mobile base allows Stretch to navigate loading docks, manoeuvre in tight spaces and adapt to changing facility layouts, eliminating the need for costly fixed automation infrastructure. It is equipped with a custom-designed lightweight arm and a smart-gripper with advanced sensing and controls that can handle a large variety of boxed and shrink-wrapped cases. Stretch also includes Boston Dynamics’ computer vision technology that enables it to identify boxes easily and without extensive training for each customer. Its vision system works in tandem with pick & place activity, enabling high pick rates.

Traditional warehouse automation approaches require either installation of fixed infrastructure or mobile robots that convey goods but struggle to meet productivity requirements to be an attractive investment for warehouse operators. Stretch offers logistics providers an easier path to automation by working within existing warehouse spaces and operations, without requiring costly reconfiguration or investments in new fixed infrastructure.

“Warehouses are struggling to meet rapidly increasing demand as the world relies more on just-in-time delivery of goods,” said Robert Playter, CEO of Boston Dynamics. “Mobile robots enable the flexible movement of materials and improve working conditions for employees. Stretch combines Boston Dynamics’ advancements in mobility, perception and manipulation to tackle the most challenging, injury-prone case-handling tasks, and we’re excited to see it put to work.”

Boston Dynamics is currently seeking customers to pilot test deployment of Stretch with truck unloading tasks ahead of its commercial deployment in 2022. Interested parties can apply to join the Stretch Early Adopter Program by visiting: https://www.bostondynamics.com/stretch.

Food products to Medicines: Trends of Sortation Technology

Customers are shopping more and more online, and not just since COVID-19. However, the pandemic has even strengthened this behaviour. With the increasing e-commerce, courier, express and parcel services need to supply the consumers in a reliable and faster way, all while being able to handle different types of goods. The capacity of their sortation and distribution systems often decides on their competitiveness.

Thomas Wiesmann from BEUMER Group, pictured above, knows which sortation trends owners are following, how they can react to them and where the journey will take them.

The way people shop has been changing since before COVID-19, but hardly anything has had such a rapid and sustainable impact on shopping behaviour as the corona virus. As many shops had to close during the past months, even more consumers are buying online. “This structure change is developing in accelerated time during the pandemic,” says Thomas Wiesmann, Director Sales Logistic Systems at BEUMER Group. This considerably increases the competitive pressure on courier, express and parcel services (CEP).

In order to hold their own against competitors, the future success of mail order companies and logistics service providers will depend even more on the performance of their distribution centres. The companies intend to save costs with their systems, to pursue a more environmentally conscious approach and above all follow market trends. Market trends? “Technology with regard to the distribution of different goods is becoming more and more complex,” knows Wiesmann. Not only are the numbers of goods to be dispatched increasing, but also the sizes are more and more different. The range has become more varied,” is how the BEUMER expert sums up his impressions gained during his many years of experience with customers. Parcel sizes are tending to decrease, although large parcels are still being sent.

At the beginning of the pandemic, not only the online retailers selling hygiene products, breathing masks, pasta and canned food registered considerable turnover gains. Food, drugstore goods and medicines generally showed strong growth. Thomas Wiesmann is sure that these products will continue to establish themselves at a higher level in online retailing. Apart from flexibility, the throughput in sortation technology is playing an increasingly important role. Online trading also implies that more and more customers want to see the goods they ordered in the morning on their doorstep the same day. “The sortation and distribution systems are designed to support distributors in these demanding tasks and can be adapted flexibly and quickly to the new conditions”.

Owners of logistic and distribution centres are looking for high-performance systems, as their existing technology is often not sufficient anymore. In addition, the number of sortation and distribution systems required is constantly increasing: service providers are increasingly building small, decentralised distribution centres close to their customers in order to be able to supply them even faster. This is becoming more important to ensure that they remain loyal to them.

More performance required
In order to meet the performance challenges, the trend goes towards more automation, enabling a more ergonomic operation of the sorter. Employees are being relieved and the companies can work more efficiently and thus increase the throughput. They are prepared for future capacity forecasts. Furthermore, automation improves the visibility and the traceability of the dispatched goods.

“In order to optimally support our customers and to give them the possibility of increasing their competitiveness, we offer for example our newly developed BG Sorter Compact CB,” says BEUMER expert Wiesmann. The system is suitable for a wide range of items: small, light shipments as well as parcels weighing up to twelve kilograms. Even goods that are fragile or have packaging that is difficult for conventional equipment to handle, such as smooth plastic film, can be easily handled thanks to gentle sortation.

“CEP companies and distribution centres often have to react within a short period of time to new tasks – as it is currently the case,” describes Wiesmann. Instead of buying a new system, they want to extend their existing sorters as needed. This requires sortation technology systems that can be easily and quickly integrated.

A further experience made by Thomas Wiesmann: In many halls, the available space is not sufficient for a new system. “Thus, compact sortation solutions are required, which can be flexibly adapted to the local conditions – even if space is restricted. “Our BG Sorter Compact CB meets these requirements. It is also possible to integrate induction units and destinations in a small footprint,” says Wiesmann. A further important aspect for successful work is the sortation accuracy. With the BEUMER systems, this is almost 100 per-cent: the items are actively discharged, not by weight. With this high precision, owners can reliably supply their customers and thus secure their competitiveness.

Better processes with the support of data analysis
Digitalisation is indispensable in increasing the performance of the systems sustainably. With the support of data analysis, it is possible to collect large amounts of data on the machines, to evaluate them in a targeted manner and thus detecting where there is potential for improvement. “The collected information permits us to continuously improve operation, which has a positive effect on product life-cycle costs,” promises Wiesmann. The owners can also recognise how the system management can be optimised.

The data analysis helps to increase the availability and performance of the sorters, keyword “machine learning.” The decisive factor is continuous access to real-time data from every system area. With the help of a digital twin, it is possible to monitor material flows or even the routing of the system in every detail. This is supported by the visualisation of results. The operator could use colour codes, for example, to make bottlenecks visible or use time filters to include collected data for the analysis.

Maintenance: only if required
With the support of data analysis, it is possible to identify actual operating hours and loads. The owners use it to reliably monitor their systems and see in time when an error is going to occur. This enables them to maintain their system at the perfect time. “Maintenance cycles can be adjusted to the actual load,” says Wiesmann. The more intensively a company knows the operating conditions of the system, the better they can benefit from this opportunity. This is because the machine will learn to learn, and instead of just recognising that something is wrong, it will also find out the cause, supported by the information obtained. This will enable the sorters to independently generate a perfectly fitting maintenance plan in the future. Service personnel will only replace a component when it is really necessary and not according to a fixed cycle

Data-controlled analysis is thus becoming more and more popular with operators. After all, sensors are already part of every system and able to generate and process huge amounts of data. Based on this acquisition of information, further services may be added in the long term. Wiesmann is thinking of video coding for machine learning. He also envisages cloud-based optical character recognition to convert scanned images with text into machine-readable text.

Currently the data analysis is especially based on existing operational data. In the future, however, it is intended to use more sensors and other systems able to collect much more data. The sorter will then be able to continuously make processes smarter and increase the level of automation, a clear competitive edge for any operator. “Our solutions permit us to set trends and to support our customers in future growth,” says Wiesmann. “We make it possible for them to respond quickly and reliably to changes in the market – and not only in Corona times”.

Shortage of Cardboard Packaging Caused by e-Commerce Boom

A shortage of cardboard packaging means a growing number of internet retailers are struggling to fulfil orders amidst the boom in online sales during the pandemic.

Jo Bradley, Business Development Manager for packaging solutions at Quadient (pictured above), warns that with some paper and sheet board producers rationing supply to even their biggest customers, buyers are having to pay a significant premium to secure the packaging materials they need.

“The price of corrugated cardboard (OCC) has risen from around £60 a tonne in December 2020 to about £75.50 a tonne in late January 2021,” Jo Bradley says.

“The problem,” she continues, “has been caused by the switch in consumer spending from the high street to online since the start of the Covid-19 crisis. Figures from the Office of National Statistics indicate that internet retail sales grew by 32 per cent during 2020.

With countless surveys indicating that any significant drop off in online sales is unlikely even after non-essential retailers have re-opened, demand for cardboard is set to remain high.

Jo Bradley says: “Quite simply the switch to online retailing has resulted in a substantial and sustained hike in the amount of cardboard that is needed throughout the retail supply chain so, in the short to medium term at least, packaging buyers will have to cope with the ‘double whammy’ of longer lead times and higher prices.”

Despite the rising costs and the increasing shortage of cardboard packaging, it is estimated that e-commerce sellers continue to waste in the region of 30 per cent of this increasingly precious commodity by shipping orders in vastly oversized cardboard boxes.

“It has never been more essential for retailers to reduce the amount of cardboard material that they use within their pack and despatch operation, and yet many continue to pack outbound orders in boxes that are way too big,” says Jo Bradley.

The CVP Impack and CVP Everest fit-to-size automated packaging systems from Quadient have been developed to reduce the waste associated with oversized packaging within fulfilment operations by creating perfect sized boxes for every consignment.

A single operator can construct up to 1100 bespoke packages per hour with the CVP Everest ­– typically amounting to a 30 per cent saving in cardboard across the year.

Jo Bradley adds: “The Quadient technology dramatically reduces cardboard use and, therefore, costs. With the upturn in demand for cardboard packaging forecast to be on-going and material prices set to continue their upward trajectory, the economic argument for investing in fit-to-size box making technology has never been more compelling. E-commerce retailers and their fulfilment services partners simply cannot afford not to make optimum use of their valuable cardboard resources and the best way to do this is to adopt technology that cuts down on waste.”

Why omnichannel is Proving Key to Retailers’ Survival in the Digital First Era

A series of challenges over the last year have brought with them a wealth of era-defining moments for retail. Within a brief and turbulent window of time, we have seen some of the biggest hallmarks of the changing retail landscape. Most notably, the already wavering high street was hit hard after accumulating lockdown measures, and Arcadia’s recent sell-offs to ASOS and Boohoo have proven major milestones in the ongoing shift towards a new breed of retail giant.

Of course, it hasn’t been smooth sailing for the online retailer either. The UK’s exit from the European Customs Union brought momentous logistical issues for businesses relying on shipping in and out of the EU. With customers on both sides of the channel suddenly faced with unexpected charges, many are returning products to avoid paying extra fees. The notoriously complex and expensive nature of reverse logistics has led many retailers to simply abandon the process altogether, with some retailers even threatening to burn returned products.

The message for retail throughout all these headlines is the same – do not put all your eggs in one basket. The time when brands could rely on a sole method of fulfilment is no longer viable within a constantly changing retail landscape. Retailers are beginning to realise that customer experience standards do not take a day off during a crisis. As such, it is becoming increasingly clear that future growth, especially during times of turbulence, will require brands to proactively invest in multifaceted omnichannel fulfilment models.

Reflecting on the recent peak season

The extra-ordinary circumstances of 2020 set the stage for one of the most challenging peak seasons yet. Namely, when coupled with the closure of non-essential stores, the increased online demand acted as a measuring stick for what approaches have been best suited to weathering the pandemic storm.

Recent research by PFS has shown that only 50% of retail businesses felt they were adequately prepared for the recent peak season, and more worryingly, 53% said they did not have enough internal resources to make the operational changes needed to be optimally prepared. This resulted in over one-in-six (17%) missing out on critical sales.

On the flip side, however, retailers that pre-emptively invested in omnichannel capabilities fared much better. Buy Online Pick-Up In-Store (BOPIS) initiatives, for example, proved to be a game-changer, with two-thirds of retailers (67%) who invested in this capability seeing an increased sales volume. Cementing this trend was curbside pickup, which led to the next strongest performance with 55% of retailers reporting increased sales.

Adapting to a digital-first era

Under the extraordinary circumstances of the most recent peak season, preparation proved invaluable in ensuring retailers were malleable to the rapidly changing consumer behaviours of 2020. These changes in consumer behaviours, however, are not limited to the pandemic.

PFS’s previous research found that, in addition to the 53% of consumers shopping more online since lockdown began, more than three quarters (77%) of consumers expect to continue purchasing online more once the lockdown is lifted.

For the brands that struggled to adapt during the peak season, this remains a daunting prospect moving forward. Alarmingly, despite the clear shift towards online purchases, 45% of retailers felt their technology stack was unprepared for the increase in peak online transactions. Following this, lack of visibility and supply issues remained a serious concern, with 53% of retailers admitting difficulty locating available inventory. All of this suggests an undeniable need for brands to invest and put emphasis on future delivery-times, stock replenishment and, ultimately, customer experience as they move forward into the forthcoming ‘digital-first’ era.

The urgent need to invest in hybrid future

Peak season was a wake-up call. Following what proved to be the eye of the storm for many brands keeping up with changing consumer behaviours, over a third (36%) of retailers are now planning to increase their investment in fulfilment capabilities as a result of peak season. Additionally, three-in-ten (30%) are looking to invest in curbside pick-up competences; 28% in ship from store capabilities; and almost a quarter (24%) in BOPIS.

The same research found that a startling 52% of retailers, however, are planning to outsource all or portions of their eCommerce operations, which is perhaps the biggest indicator of the current scope of demand on retail fulfilment capabilities.

While BOPIS and ship from store capabilities remain a key factor in adapting to consumer behaviours, particularly for retailers banking on the survival of the high-street, they don’t form the full picture by themselves. Consumers want to be able to access products online, in-store, and most importantly, now. Without a cohesive plan in place including inventory management and distributed order management (DOM) capabilities, brands will struggle to meet all of these unique demands at once, let alone meet the high standards of customer experience that come with them.

As the landscape becomes more difficult to anticipate, omnichannel investment and operational infrastructure will prove make or break for retailers in 2021. For both digital and brick and mortar retailers, a hybrid fulfilment approach to retailing will ensure not only survival, but growth. Not only will this enable retailers to inject value back into brick-and-mortar retail, but also keep up in a digital-first era.

By Christophe Pecoraro, Managing Director of PFS Europe

 

Ecommerce Boxes added to Packaging Range

Packaging company, Kite Packaging, have expanded their ecommerce offering by adding ecommerce boxes to their range. The employee-owned packaging company has a vast range of packaging perfectly suited to the ecommerce sector, available on their market leading b2b ecommerce website.

Their range of ecommerce boxes are available in 5 sizes and 100% recyclable and biodegradable, making them perfect for customers looking to improve their carbon footprint. Suitable for a wide range of items being sent out in transit, they are perfectly suited to fast paced operations due to their crash lock base design and integrated lid, making them extremely easy to erect and secure. They each have a peel-&-seal adhesive strip for a secure closure and open tear strip ensuring ease of opening for customers, making for a better experience. Aesthetically pleasing and commonly used for items such as homewares, beauty products, retail, accessories and much more. They are perfectly suited to be used in conjunction with Kites wide range of voidfill and tissue paper.

Panasonic Robots to Make Home Deliveries in Field Test

Panasonic Corporation has began a field test of a delivery service for residential areas by a compact, low-speed robot in Fujisawa Sustainable Smart Town in Fujisawa City, Kanagawa Prefecture.

The first phase of the test involving a self-driving robot on public roads has already started in November and will last until the end of the year. The second phase, in which the robot provides a home delivery service to residents in the area, will take place from February 2021. By offering a new form of delivery service using Panasonic robots that work closely with humans, the company aims to contribute to creating a vibrant community where people and mobility coexist.

While people’s lives have become more convenient with the growth of e-commerce and new home delivery services such as food delivery, there has been a serious shortage of home delivery staff to support such services. There is also an urgent need to address the “new normal” that includes non-face-to-face and non-contact interactions.

As a provider of mobility solutions that focus on people’s daily lives, Panasonic aims to invigorate people, communities, and the earth. Panasonic has also worked alongside residents, partner companies, and local governments over the past six years to operate Fujisawa Sustainable Smart Town, seeking to improve the quality of life in the town since its opening in 2014.

With this trial, Panasonic is accelerating its efforts to launch the new delivery service while working closely with the town’s residents. The company hopes to take advantage of the technology and knowhow it has acquired through the development of autonomous-driving robots and ride-sharing services offered on the company premises.

This initiative will be conducted based on Japan’s Action Plan of the Growth Strategy (July 2020), which outlines the country’s policy of conducting demonstration drives of remote monitoring/operation-type delivery robots on public roads so low-speed and compact autonomous-driving robots can be implemented in society. Panasonic participates in the public-private council to promote deliveries by autonomous-driving robots sponsored by the Ministry of Economy, Trade and Industry, and part of the company’s R&D and field test activities are being supported by NEDO(New Energy and Industrial Technology Development Organization)’s technology development project for promoting new delivery services using autonomous-driving robots

Panasonic Robots to Make Home Deliveries in Field Test

Panasonic Corporation has began a field test of a delivery service for residential areas by a compact, low-speed robot in Fujisawa Sustainable Smart Town in Fujisawa City, Kanagawa Prefecture.

The first phase of the test involving a self-driving robot on public roads has already started in November and will last until the end of the year. The second phase, in which the robot provides a home delivery service to residents in the area, will take place from February 2021. By offering a new form of delivery service using Panasonic robots that work closely with humans, the company aims to contribute to creating a vibrant community where people and mobility coexist.

While people’s lives have become more convenient with the growth of e-commerce and new home delivery services such as food delivery, there has been a serious shortage of home delivery staff to support such services. There is also an urgent need to address the “new normal” that includes non-face-to-face and non-contact interactions.

As a provider of mobility solutions that focus on people’s daily lives, Panasonic aims to invigorate people, communities, and the earth. Panasonic has also worked alongside residents, partner companies, and local governments over the past six years to operate Fujisawa Sustainable Smart Town, seeking to improve the quality of life in the town since its opening in 2014.

With this trial, Panasonic is accelerating its efforts to launch the new delivery service while working closely with the town’s residents. The company hopes to take advantage of the technology and knowhow it has acquired through the development of autonomous-driving robots and ride-sharing services offered on the company premises.

This initiative will be conducted based on Japan’s Action Plan of the Growth Strategy (July 2020), which outlines the country’s policy of conducting demonstration drives of remote monitoring/operation-type delivery robots on public roads so low-speed and compact autonomous-driving robots can be implemented in society. Panasonic participates in the public-private council to promote deliveries by autonomous-driving robots sponsored by the Ministry of Economy, Trade and Industry, and part of the company’s R&D and field test activities are being supported by NEDO(New Energy and Industrial Technology Development Organization)’s technology development project for promoting new delivery services using autonomous-driving robots

Logistics Tech Business sees Record-breaking Year

fulfilmentcrowd, a logistics provider to Bear Grylls’ ecommerce shop, is forecasting revenues of £12m this financial year, driven by the explosion of online retail over the last 12 months. This represents a 58 per cent rise on the £7.6m achieved in 2019 – marking the best year to date for the Chorley-based business.

Founded in 1984, fulfilmentcrowd provides tailored order fulfilment services and technology to more than 400 UK and international online retailers. With 102 staff across 11 UK and global centres, including the UK, Germany, the Netherlands and the US, the firm manages more than 120,000 sq. ft. of warehouse space, processing more than 50,000 items per week.

Over the last 12 months, the firm has opened three new sites in Marton Fold, UK, Bocholt, Germany and Sandston, Virginia, USA, strengthening its international network and increasing its worldwide delivery capabilities. This includes the launch of a chilled logistics centre in Marton Fold, making cold chain fulfilment a viable and cost-effective option for UK-based ecommerce start-ups and SMEs in the food, drink, health and beauty sectors – all industries where the shelf life and quality of perishable products is greatly enhanced when stored in a temperature-controlled environment.

The firm’s operations are underpinned by the latest technology, with fulfilmentcrowd investing £1.5m a year into the research and development of its proprietary cloud-based software platform. Powered by artificial intelligence, the platform provides clients with instant marketplace integration, automated order processing and live order tracking.

Over the next 12 months, fulfilmentcrowd plans to expand its international network further by breaking into new ecommerce territories, with sites in the Middle East and Australasia already in negotiation. Due to the impact of the UK-EU Trade and Cooperation Agreement and the subsequent restrictions on certain goods being exported from the UK into the EU, the organisation also expects a sharp increase in the number of new and existing UK based clients outsourcing storage and fulfilment via its European centres in Germany and the Netherlands.

Vanessa Ashworth, Chief Marketing Officer at fulfilmentcrowd said: “We have seen extraordinary levels of demand for our solution over the last 12 months, as businesses look to adapt their core models towards eCommerce offerings. Our technology platform has been crucial in enabling us to satisfy this demand, with continual investment made in research and development to ensure we provide the highest level of fulfilment to our customers.

“As businesses continue to digitise operations, we expect this growth to accelerate over the coming months, especially with our growing international network of warehouses and the launch of specialist services like chilled fulfilment.”

fulfilmentcrowd has also demonstrated its commitment to sustainability. In 2019, the firm launched the ‘Lorax Project’, a multi-faceted initiative to become the UK’s first fully sustainable fulfilment provider by 2022. It offers clients environmentally responsible shipping, biodegradable packaging and a zero-waste policy, saving 12 tonnes of plastic waste per year and 176 tonnes in CO2 emissions.

Subscribe

Get notified about New Episodes of our Podcast, New Magazine Issues and stay updated with our Weekly Newsletter.