January is an important month for UK businesses, which have just made it through the Black Friday, Christmas shopping and Boxing Day sales boom. In the final two months of 2023, British consumers spent approximately £24 billion online, a 3.7 per cent increase on the previous year.

In the relative downtime following the festive period, business leaders will reflect on how they can improve operations in the new year. The British Retail Consortium has predicted that 2024 will be “another challenging year” for retailers due to consumers still impacted by the cost-of-living crisis, the impending hike in business rates and disruption to shipments from the Far East via the Red Sea. Indeed, the IGD’s Shopper Confidence Index in December was -8, three points lower than the longer-term average.

As a result of this uncertain future, businesses must ensure they can cost-effectively scale up and down while still delivering excellent customer service, improving accuracy and efficiency. Many may have struggled to meet sales targets or dealt with incorrectly fulfilled orders during seasonal peaks, resulting in dispatch delays and a disproportionate strain on customer service. Businesses most affected by these kinds of issues are small or medium-sized because they operate with tighter margins and fewer resources than larger enterprises. A few negative reviews from poor customer experiences will also have a more significant relative impact on their reputation, and they may not have the financial capacity to offer free returns or replacements. Businesses tend to see a rise in those tricky-to-process returns in January and the first two days of this year saw a 42 per cent increase in returns over 2023.

Dionne Redpath at Europa Warehouse, Corby, Northants. Source: Europa Worldwide Group

Dionne Redpath, COO and Head of Warehouse for Europa Worldwide Group, said: “A third of their business volume might happen in the last six weeks of the year, for example, from Black Friday through to Christmas, and the labour requirements needed to be able to deliver that peak of magnitude has the capacity to come quite challenging.”

A potential solution to the difficulties felt over busier periods for businesses of all sizes is to make use of automation. Using automated picking and sorting in warehouses can help streamline both order fulfilment and returns processes, reducing errors. Automated systems can also handle inventory management, helping to minimise dispatch delays and alleviate the strain on customer services. Such systems can feel out of reach for businesses with a smaller budget, but Europa Warehouse – the award-winning, specialist third-party logistics (3PL) division of Europa Worldwide Group – has a ‘shared-user’ automated solution, housed at its 715,000 square-foot warehouse in Corby. This single facility provides state-of-the-art, £11 million automation technology to multiple businesses, making access more affordable. This shared-user approach to automation is very uncommon within the UK market.

“We were feeling those difficulties [during peak season] ourselves and, therefore, our thoughts really turned to how do we create a more stable operating environment?” Ms Redpath told TechHQ.

“Our customers come to us wanting to know how they can achieve seamless fulfilment during that time without having costly capital investments or a chaotic fulfilment process. While there isn’t always one straight answer, we have found that by adopting shared-user automation, peak season doesn’t need to feel like peak at all.

“It’s no secret that automation is going to revolutionise the future for warehousing in coming years.  In fact, many of the larger players in e-commerce and retail have been incorporating robots, cobots and artificial intelligence technologies within their warehouses for some time, though many would have had to sign up to a long-term contract and committed significant investment in the technology.  However, there are plenty of businesses who may not wish to do either of those things for a host of reasons yet the benefits of being able to do so are just as important.”

Source: Europa Worldwide Group

At the shared-user warehouse in Corby, which was the product of a £60m investment – the Group’s largest to date, products for multiple companies are kept in ‘totes’ within the high-density, secure storage environment.  When an order is received, the automated system calculates the most efficient fulfilment process, triggering the launch of the order carton and the totes containing the products needed to fulfil the order, to arrive at the picker at precisely the right time.  The system has two means of fulfilling orders at picking stations, both offering the opportunity to fulfil multiple orders at the same time with a specific picking station providing the opportunity to fulfil 48 orders simultaneously.  Added to that, the process boasts and impressive 100 per cent accuracy in pick rates.

“When considering very small products, such as cosmetics or components, the system is sophisticated enough to allow totes to be segmented across as many as 12 product types,” Ms Redpath explains.  “The physical construction and configuration of the set-up means that it’s extremely secure which is absolutely fantastic for very high-value products.”

The shared-user facility swiftly adjusts to varying demands, ensuring optimal inventory levels and bolstering confidence. Europa Warehouse efficiently managed 17.2 million units via its automated platform in 2022, effortlessly scaling from 40,000 to 100,000 picks within 24 hours. The system’s modular nature enables tailored operations for diverse businesses, regardless of size or budget limitations.

Ms Redpath told TechHQ: “It allows the 3PL to take their expertise and apply it to that business, meaning that the customer can just carry on carrying on and growing their business. All we have to do is mobilise a small number of additional pickers or pick stations in order to be able to unlock that value.”

Source: Europa Worldwide Group

Europa’s low-cost pallet storage options complement the shared-user automation advantages. For e-commerce businesses who want to maximise value for money, the £1.49 + VAT, the £1.49 + VAT per pallet per week offering allows companies to allocate more capital to expand their business operations, whether through marketing strategies, product diversification or enhancing customer service experiences.

With the cost-of-living crisis, geopolitical turbulence and impending high business rates, Europa Warehouse seeks to level the playing field for retailers. To learn more about how your business can benefit from shared-user warehousing during peak season, call one of Europa’s dedicated warehouse advisers on 01536 909 300 or email automation@europa-worldwide.com.

The post How shared-user automated warehousing is tackling the pressures of peak season. appeared first on TechHQ.

With the continuous advancements in technology and the integration of artificial intelligence, automation is poised to revolutionise how customer orders are picked, packed and delivered. As businesses embrace this shift, they can expect improvements in productivity, customer satisfaction, and, ultimately, their competitive edge. By passing over manual tasks to digital systems and robots, automating warehouse fulfilment dramatically reduces manual intervention, ensuring consistent service quality and delivery speed, even at peak times.

That being said, these technologies are not new, and many have been established in larger e-commerce warehouses for years. However, many businesses have, so far, been excluded from taking advantage of them due to the sizeable capital investment required. This, coupled with a reluctance to sign up to lengthy contract terms, drives a preference for solutions that offer more flexibility and a quicker return on investment.

But what if a lower-cost and less time-intensive option was available that enabled more e-commerce companies to reap the benefits of automation?

Enter the ‘shared-user’ warehouse; a single facility that provides state-of-the-art automation technology to multiple businesses whilst reducing those initial financial hurdles. Europa Warehouse – the award-winning, specialist 3PL division of Europa Worldwide Group – spotted a gap in the market for affordable solutions to democratise the automation revolution for growing e-commerce companies.

In 2021, Europa Warehouse in Corby introduced an £11m state-of-the-art automation system, specifically designed for clients who operate a large SKU range within a volatile order profile to automate their processes. Industries from health and beauty to nutrition, high-end jewellery, wine, and even parts and component distributors, can all benefit from Europa’s shared-user automation platform.

Source: Europa Worldwide Group

So, how does shared-user work?

At the core of the process is the ‘tote’. The tote transports products through the automation process. As goods arrive at the warehouse, they are weighed, labelled, put in a tote and added to the tracking system. Conveyor belts and lifts then transport the totes filled with products to the ultra-secure, caged storage area, which can hold up to 36,000 of them. Totes are equipped to hold items including luxury goods that require extra security and heavier items like tools and parts.

As customer orders are received, Europa’s sophisticated system calculates the most efficient fulfilment process. The totes containing the requested products arrive automatically with the picker at the correct time, along with a suitable empty packing carton. The picker grabs the correct items from each tote and puts them in the carton to fulfil the order. This system enables a single picker to complete multiple orders simultaneously – up to 48, at certain pick stations – with robust quality processes that prevent errors and reduce costs. The shared-user aspect of the system can be quickly scaled up or down to meet fluctuating demand. This allows for very accurate financial modelling and drives a high level of predictability and confidence.

Last year alone, Europa picked 17.2 million units through its automated platform, regularly scaling from 40 to 100,000 individual picks in 24 hours with minimal additional resources. Achieving this manually would have required around 60 extra people and all the additional risks and vulnerabilities associated.

Europa’s cutting-edge Corby warehouse sets the industry standard with its features. This HMRC bonded facility is 18 metres high, well above the market norm, and is intelligently designed with three levels of mezzanines to maximise space utilisation.

This impressive infrastructure is complemented by an in-house engineering team that manages the facility’s automation system and ensures ultimate resiliency and continuity of supply. Europa staff are renowned for delivering top-tier customer service and operational excellence at a highly competitive price. The Corby warehouse offers secure pallet storage at just £1.49 + VAT per pallet per week for quantities exceeding 3,000 pallets.

Source: Europa Worldwide Group

Dionne Redpath, Europa’s Chief Operating Officer, told Tech HQ: “We have seen significant growth across all of our customers’ business operations since their inception. They have focused a lot of time, energy, expertise, investment and resources to get to that place. By entrusting their logistics operation to Europa, they’re free to focus on developing their brand offering and growing their customer portfolio, all the while knowing that their fulfilment is being undertaken to exacting quality standards in a predictable, stable cost and operational environment.

“A fully automated 3PL warehouse fulfilment service tailored to individual business needs, once only accessible to larger, global brands, is now available to most businesses through our shared-user option.”

In summary, Europa Warehouse’s shared-user solution enables businesses to embrace automation without significant upfront investment. Located in the UK’s logistics ‘golden triangle,’ the expert team supports customer competitiveness by providing comprehensive 3PL services and allowing them to expand their operational capacity. Amid intense competition and rising costs, Europa Warehouse aids e-commerce leaders to minimise costly returns through precise order fulfilment and reduced pallet storage fees.

To learn more about how your business can benefit from shared-user automated warehousing, call one of Europa’s dedicated warehouse advisers on 01536 909 300 or email automation@europa-worldwide.com.

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Every commerce venture has got to start somewhere, and that somewhere is often sitting on the floor packing boxes. It’s a scene that many small business owners are all too familiar with – the early days of manually managing inventory, meticulously packaging products, and frequent trips out to send shipments.

While these humble beginnings have their charm, the rapid growth of online retail and soaring customer expectations have ushered in a new era for growing e-commerce ventures – one where technology integration is no longer a luxury but a necessity. Research has shown that e-commerce is the sector that has most embraced automation, with 39 percent of businesses integrating a robotic solution.

Source: Europa Worldwide Group

Warehouse technology has made tremendous strides over the last few years. Gone are the days of manual picking and laborious data entry, thanks to automated retrieval and digital warehouse management systems. These advancements have revolutionized the way e-commerce businesses operate, allowing them to dramatically improve their efficiency and provide better customer experiences through faster and more accurate deliveries.

However, warehouse technology also created a divide. Like several others, Amazon had the awareness and means to harness cutting-edge technologies from their inception, setting them on a path to unprecedented growth. Its use of AI-powered systems, robotics, and advanced data analytics enabled it to handle massive order volumes. Out of this came the lightning-fast shipping times and immense product range, attracting and retaining a huge customer base.

As a result, Amazon and a few other tech-savvy giants gained a significant competitive edge, leading to a cycle of growth where they could reinvest their profits into even more advanced technologies. This further solidified their dominance over smaller businesses that struggled to get the capital for these technologies, preventing them from gaining similar success. As of June 2022, Amazon accounted for 37.8 percent of e-commerce sales in the US, the highest market share of all e-commerce companies.

Source: Europa Worldwide Group

However, the modular and scalable nature of a small handful of modern warehouse systems – like those offered by Europa Worldwide Group – has democratized access to third-party logistics (3PL) warehouses. Operations can be tailored to the specific needs and budget constraints of individual businesses, no matter how small, without the same level of upfront investment that was once required.

At these facilities, automated picking systems, conveyor belts, and robotic assistance can be implemented in stages, allowing businesses to gradually integrate these technologies as they grow. Warehouse Management Systems also offer flexible pricing models, reducing the need for hefty upfront investments in software and hardware.

Some 3PL warehouses also have a technology infrastructure that can be shared between multiple businesses, enabling them to spread the costs. These work together to significantly lower the cost barriers that once prevented small and medium-sized e-commerce businesses from benefitting from them.

The advantages of utilizing technologically advanced 3PL warehouses are manifold. Improved order accuracy, faster processing times, and enhanced inventory management all contribute to a better customer experience. Growing e-commerce businesses can now compete on an equal footing with larger counterparts in terms of efficient operations, leading to increased customer satisfaction and loyalty.

When it comes time for a business to start investigating 3PL fulfilment, there are many things to consider. Large logistics organizations tend to have all the latest technologies available, making them able to deal with any product. However, such efficiency comes with an equivalent price tag that may not be attainable by SMEs. Indeed, smaller-scale logistics providers offer excellent customer service but may lack the advanced technological infrastructure and scalability.

Europa Warehouse, a division of Europa Worldwide Group, falls between these two categories. It offers access to flexible automated logistics at affordable prices and the highest level of customer service.

Source: Europa Worldwide Group

“Every customer is different, every business is unique,” said Dionne Redpath, the company’s Chief Operating Officer. “We are open-minded to providing those extra touches that might require a little bit more investment. Customers might not get quite that treatment elsewhere, but they will absolutely, 100 percent, find it with us.”

Founded in 1966, the company is as experienced in the complexities of omnichannel distribution and wholesale logistics as it is in the unique requirements of smaller businesses. Its warehouses are designed to support start-ups as they grow and their operational requirements evolve into those of larger B2B and B2C e-commerce organizations.

Many smaller businesses believe that their range of goods is too complex to automate. However, with Europa Warehouse, that is not the case. The company’s largest warehouse in Corby is equipped with an £11m state-of-the-art automation system that scales for different business requirements. It has grown from four teams managing three production lines to 11 teams on six lines in just three years to meet growing client demands.

Europa Warehouse ensures affordable access to the benefits of automation by allowing for shared-user 3PL fulfilment, where multiple businesses can leverage advanced technology solutions in a single warehouse facility for streamlined and cost-effective order processing. This new approach enhances productivity and has also yielded an impressive 100 percent accuracy in pick rates. The automated facility can scale work from 50,000 unit picks in one day to 100,000 unit picks in the following, demonstrating its ability to adapt to fluctuating demands.

Source: Europa Worldwide Group

Redpath said: “We believe that our shared user automated operation gives B2B and D2C businesses excellent accuracy and efficiencies whilst delivering against their brand identity and values. We understand the love and care that they have put into their product and customer journey, and work with them to truly deliver an exceptional service.”

“Shared user automation at Europa Warehouse is not a one-size-fits-all thing. We wrap around it all the other magic that can just give the end user the experience that they deserve.”

The company also offers pallet storage priced at just £1.49 + VAT per pallet, per week for 3,000 plus pallets, empowering customers to allocate more of their resources to growing their business. This saving on storage expenses frees up capital that can be reinvested into other areas like marketing, product development and customer service.

Amid a fiercely competitive and constantly evolving market, Europa Warehouse is committed to boosting its customers’ competitive edge, no matter the company’s size. Contact the sales team today to find out how your company could benefit from automated 3PL solutions.

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