90 minutes is the maximum acceptable delivery time for many customers in Prague when ordering online. For white goods or fashion, the delivery time tolerance is higher, but the buyers demands are increasing in this area too. Therefore, e-shop owners and carriers are forced to increase number of warehouses in order to meet the demand in the selected part of the city at a specified time.
The speed depends, besides order processing and picking from stock, on what we call ‘last mile delivery’. Sellers, or the logistics companies working for them, are forced to minimize the risk of delaying supply with a networks of smaller warehouses in strategic urban locations. On top of this, they must also minimise transportation costs and the burden on the environment. Local distribution warehouses are usually supplied from central warehouses, whose location is governed by other criteria.
Dušan Drábek, Head of the Industrial & Logistics team BNP Paribas Real Estate Czech Republic and Slovakia
40,000 sq m.