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Brexit and Christmas peak make surplus warehouse space more valuable than ever

Industry views | 20 August 2019

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The clash of October’s Brexit deadline and Christmas retail peak presents opportunities for businesses with spare warehouse space. We look at how collaborative platforms are unlocking value from surplus capacity.

Across the globe, market leaders are demonstrating how sharing resources can drive business growth. With the rapid development of digital technologies in logistics, collaboration has become a more attractive option than ever to overcome common issues; in this instance the increasing demand for warehousing space.

Traditionally the busiest time of the year for retail, Christmas peak dominates the autumn months. To fully capitalise on Black Friday, Cyber Monday and Christmas itself, it is vital to keep shelves stocked; both physical and online.

This peak is a standard event in the retail calendar. But with retailers and manufacturers also looking to stockpile goods to mitigate potential border disruptions, space is running out.

For those looking to find and purchase storage, the clash is bad news; for those with spare capacity, it’s a huge opportunity.

But the clock is ticking; which is why collaborative, on-demand warehousing marketplaces like oneVASTwarehouse.com have emerged. They quickly link sellers of space with buyers.

According to Gartner in its June 2019 report, Supply Chain Brief: How Shippers Can Benefit From the Fast-Growing On-Demand Warehouse Marketplace Sector (report available to subscribers):

"All companies that have or use warehouse services, whether manufacturers, retailers, brand owners or third-party logistics (3PL) providers, face several challenges when determining their warehousing strategies. Some view a continuous expansion of their distribution networks as the optimal approach, while others seek options that do not overcommit their businesses to additional capacity that may not be optimized. Also, some organizations operate in environments with extreme seasonal fluctuations in demand. In response, the burgeoning on-demand warehouse marketplace sector is seeing strong growth…the concept enables companies with excess warehouse capacity to commercialise those assets without having to divest them."

By working with the correct platform, warehouse owners and operators can generate a new stream of revenue from their dormant space.

Research from Savills indicates that the vacancy rate of UK warehouses over 100,000 sqft in size will be as low as 6.8% through the second quarter of the year, with this figure falling to 2.2% inside the M25.

Leasing space independently can be time-consuming and expensive, but doing so through a collaborative platform simplifies the process. For example, oneVASTwarehouse gives those marketing their space access to an inventory management dashboard, placing their space directly in front of buyers looking for space. There’s no middleman or broker, so no time is wasted.

Collaboration is the key to unlocking the space UK industry needs. If you have spare space, there’s never been a better time to collaborate and generate a new revenue stream.

Generate a new revenue stream from your unused warehouse space

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