The logistics industry is expected to grow more in the future and M&As will be a common occurrence. This is a prediction by Daniel Levan-Harris, Founder and CEO at Mango Logistics Group. We spoke to him about the future of warehousing, growth in the UK and more. You can watch the full video interview now.
How has the warehousing market developed in the UK during Covid?
It has very much developed mainly due to the boom in e-commerce. Saying that there was a shortage of warehouses before, now even more so now.
You were part of our Micro-fulfilment event on the 8th March. What is your opinion on micro-fulfilment?
It does two things. One is obviously the speed of delivery if that requirement is there. Secondly, it helps congestion in cities. Last mile in a city in a van is a lot worse than on a cargo bicycle.
What are your expectations post-Covid for growth, automation and labour shortages?
My belief is there will be about another 10 years of growth, a lot of consolidation and M&A particularly amongst startups. Labour shortage is an issue and I believe it will push wages up. I think we will see a lot more automation in the industry, more in big distribution centers but less in micro-warehousing.
What are the Brexit implications on the market?
There has been both a negative and positive impact on warehouses.
Some eCommerce that were based here and distributed from here have moved to mainland Europe and European companies that had warehouses outside the UK and distributed from outside have had to move into the UK to reach their clients faster. All in all, I can’t see the benefits of Brexit except for the additional paperwork.✷