2023 Supply Chains: Not Normal But Still Exciting

Logistics and Supply Chain News

Let us start by thanking you for being part of our network and following the stories and events we create. We wish you a great 2023!

Before we focus on celebrating, we wanted to share with you a few predictions we gathered for 2023. More will follow in our January edition!

Not Normal

2022 was a transformation year for the supply chain: in some ways good and in others bad. Next year promises muh of the same. Supply chains are expected to become more close-loop and embrace even more digitisation. ‘We are seeing a lot of development now in the area of reusable packaging, for instance, as well as close-loop supply chains,’ says Niko Polvinen, Business Development & Co-Founder at Logmore, in a video interview for The Logistics Poin coming next month.

This will be driven by the uncertainty and the inflation that still plays a huge part. Inflation and interest rates will dominate the business outlook and will couple with the fight to protect the planet and limit the environmental damage industrial development has caused. ‘This will not be a normal year,’ John Piatek, VP Consulting Services at GEP, explains.

Inventory Normalisation

But not all will be out of the norm. In 2023, we’ll see the amount of inventory units return to normalised levels, but the average price-per-unit will be significantly higher. Warehouse rent sits at all-time highs, so vacancy rates will remain low on that front. ‘We do expect to see continued investments in warehouse automation, which will likely make shipping go more smoothly in the years to come and inventory be filled faster,’ explains Michael Rofman, leader of the Transportation and Logistics Group at Mazars.

Micro-fulfilment centres, e-bikes and cargo bikes, as well as utilising high street stores for online order fulfilment are all strategies that will be pursued. ‘An exciting innovation will be stores on the high street acting as micro-fulfilment centres, this will allow brands to more flexibly utilise their real estate footprint to enable same deliveries (and returns!),’ says Lisa Conibear, Global Commercial Director, Zoomo.

There is, of course, more to come. We also hope to see you at one of our events next year. Join us in March, both online and in-peson, for a special look at the Warehousing & Fulfilment Market. This is our first in-person event ever and you can get a special ticket just today to meet Autostore UK & Ireland, and Parcelly.

We hope to see you there!

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