The Warehousing and Storage Industry Booms Amidst the E-commerce Surge: How Traffic Tech is Meeting the Demands of the Market
The COVID-19 pandemic has brought about unprecedented changes in the way we live and work, and one industry that has experienced significant growth as a result is the warehousing and storage industry. With people increasingly turning to online shopping for convenience and safety, the demand for warehousing space has skyrocketed in both Canada and the United States. According to a report by eMarketer, e-commerce sales in the US are projected to reach $843.15 billion in 2021, a 14.3% increase from the previous year. The same report states that e-commerce sales in Canada are expected to reach CAD 80.08 billion in 2021, a 17.3% increase from the previous year.
While e-commerce has been growing steadily in recent years, the pandemic has accelerated this trend and caused an exponential increase in online orders. To keep up with changing consumer habits, businesses have had to adapt quickly, and the warehousing and storage industry has been at the forefront of this change. A study by CBRE Group Inc. found that the demand for warehouse and distribution space in North America increased by 42.6% in 2020 compared to the previous year. E-commerce was the primary driver of this demand, accounting for 35.8% of new leasing activity in the warehouse and distribution sector in 2020.
As a result of the increased demand for warehousing space, the economic climate for this industry has been positive. Businesses that specialize in warehousing and storage, like Traffic Tech, have experienced a surge in demand for their services. To meet this demand, Traffic Tech has invested in its warehouse infrastructure by adding thousands of new pallet positions to support existing and new business.
Efficient warehousing and supply chain management have become even more critical in recent years as consumers demand faster delivery times. By having strategically located warehouses and a robust supply chain, businesses can ensure that they can deliver products to their customers quickly and efficiently.
The warehousing and storage industry plays a crucial role in the supply chain, and it will continue to be essential in meeting the growing demand for e-commerce. At Traffic Tech, we understand the importance of efficient warehousing and supply chain management, and we have the expertise and infrastructure to handle your warehousing and storage needs. Whether you need short-term or long-term storage solutions, our state-of-the-art warehouses and experienced team can help you meet the changing demands of the market.
With the industry expected to continue growing in the coming years, businesses that specialize in warehousing and storage will continue to play a crucial role in the supply chain. At Traffic Tech, we are committed to providing efficient and reliable warehousing and supply chain management services to meet the needs of our clients.