Warehousing and eCommerce Fulfilment Market in the UK 2021

The UK e-fulfilment market is a high-growth logistics 2021 research report

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The COVID-19 pandemic has triggered a massive shift among consumers to e-commerce. Online sales in the US were 44% higher in 2020 than in 2019, while in the UK, e-commerce sales in the first quarter of 2021 were 74% higher than in the same 2020 period, as reported by the leading consultancy BCG. In the United Kingdom, revenue in the e-commerce market is projected to reach £80,678 million in 2021 according to Statista. The UK e-commerce market’s largest segment is Fashion with a projected market volume of £27,060 million in 2021.

By 2025, the number of packages delivered around the world is expected to climb to 200 billion, up from fewer than 90 billion in 2018.

Demand in Warehousing

In the UK, 43% of H1 2020 take-up can be attributed to online retailers, with Amazon alone accounting for 36% of the total. Furthermore, 3PLs accounted for 15%, many undertaking contracts for the NHS.

Waredock and other on-demand warehousing providers have observed an increase in the number of coronavirus related short-term deals. According to Savills research in the UK, 11% of deals were short-term lease agreements as a result of Covid-19, including space to hold excess stock by retailers with a dominant high street presence. 

Investments in Warehousing Market

Germany has overtaken the UK as the most active market, exceeding €3bn during H1 2020 and marking a 12% increase against the same period in 2019. The UK (€2.8bn) and France (€2.1bn) completed the top three.

Biggest growth can be witnessed in Poland (+171% YoY) which recorded particularly strong increase, with transactions volumes totalling €1.1bn

Trending payment methods in the UK

Most popular payment method according to Statista in the UK for online shopping is credit card, followed by PayPal which was the second most used online payment method.

Waredock in the UK

Waredock is more than a warehouse listings page. Our vision at Waredock is a geographically dispersed distribution infrastructure that is enabled by data insights across the supply chain. We are working with 3PL companies, property owners, businesses small and large in a range of industries. We help businesses get greater coverage in more markets. Our network includes every warehouse type, with the certifications and designations to store any specialized product. And, we’ll provide picking, kitting, shipment consolidation, and more.

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