Warehouses are becoming far more than just centers to house products and goods. Now that Amazon and other retailers are moving from a regional to a local model, they are able to comply with customer’s needs as efficiently as a brick and mortar store with product on hand. They are also filling those same retail wage gaps with regular pay and hours, unlike brick and mortar stores.

Key Takeaways:

  • Warehouses, historically viewed as cost centers where goods sat waiting to be shipped to a store, are evolving into profit centers that help retailers maximize revenue and differentiate from their competition
  • Warehouses located closer to customers also make it easier to attract workers to fill the abundant fulfillment job openings.
  • As people move to urban areas, these companies will need to find the way to get items to these customers while competing with increased rents and wages.

“The increasing concentration of people in cities is forcing e-commerce and traditional retailers alike to focus more on urban centers.”

http://blog.naiop.org/2017/12/warehouses-the-new-retail-profit-center-in-the-age-of-e-commerce/

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