New research from Blue Yonder, conducted by Researchscape International, has identified the most pressing e-commerce fulfillment priorities and investments of today’s retail executives amid the COVID-19 pandemic.
The second installment of Blue Yonder’s Future of Fulfillment Research Report reveals that within the next 12 months, 50% more retailers—as compared to those who are currently fully automated—plan to fully automate their fulfillment locations to be best positioned to address consumer needs. Additionally, usage of pop-up distribution centers (DCs), dark stores, and micro-fulfillment centers will double as retailers pivot to customer-driven commerce.
Conducted in October 2020, the report analyzed responses from 300 senior executives across retail and e-commerce with responsibility for logistics and fulfillment operations in the U.S. Part one was released in December 2020.
Retail executives are turning to automation to enhance their retail supply chains and give them more control over their online shopping experience. Further, retail executives recognize that pop-up DCs, micro-fulfillment centers, and dark stores can help them keep online inventory as close as possible to consumers, allowing them to fulfill orders rapidly and profitably.
“Retailers are expanding their fulfillment network and footprints in part to address last-mile delivery while meeting the surge in e-commerce orders in the short-term,” said Ed Wong, senior vice president, Global Retail Sector, Blue Yonder. “Equally important, they understand that accurately predicting demand is critical for sustaining revenue growth and advanced, omni-fulfillment capabilities and locations embedded with automation are the key to quick and efficient fulfillment. Having the right supply chain solution to gain that end-to-end visibility will be a key to retailers’ success.”