By Ben Conwell
Whether it be transportation, hospitality, or food delivery, on-demand services have become entrenched in our daily lives. Now, the idea is entering the industrial real estate sector via technology platforms that connect organizations in need of warehouses with those that have extra space.
Sounds straightforward, right? And the platforms are seeing success, too. But how fast and far can they grow?
In a recent contribution to Inbound Logistics, I explore the future of on-demand warehousing. It’s clear that the services face certain challenges, and some industry professionals have questioned whether this is just a trend without true growth potential. However, benefits such as monthly lease agreements are sure to draw attention from potential tenants that experience significant increases or decreases in seasonal demand.
The takeaway? Traditional leasing will live on, and on-demand warehousing services won’t dominate the industry any time soon. Still, they will become a reasonable alternative to the status quo in the next five-to-ten years, and the traditional industry will have to learn to adapt.
Read the full Inbound Logistics article HERE.
Ben Conwell is a Managing Director and Leader of Cushman & Wakefield’s eCommerce Advisory Group. He is an expert in newCommerce, a Cushman & Wakefield initiative that provides seamless, full-service solutions for today’s ever-evolving retail landscape.