The rising need for sustainable deliveries
The all-mile supply chain made possible by local fulfillment centers could lower all-mile emissions between
17%-26%
by 2025
The Sustainable All-Mile, Accenture
With the proximity of micro-fulfillment centers, sustainable deliveries to end consumers has become a possibility. The result is a reduction in traffic in cities, which has enabled e-commerce brands to reach their customers in dense urban areas.
Attracting huge investments to meet rising same-day delivery demand
Micro Fulfillment Market is expected to have a cumulative opportunity worth
~$10B
by 2026 with an installed base of ~2000 MFCSif the technology and concept remains permanent.
Micro-fulfillment market Forecast to 2026, Research and Markets, Jan 2021
Micro-fulfillment centers will attract huge investments in the next ten years post this pandemic. They are an essential part of e-commerce strategies for businesses that want to meet the rising demand for same-day delivery.
Urban areas becoming more densely populated
in 2020
82.66%
of the total population in the United States lived in cities and urban areas.
Statista, Degree of urbanization in the United States from 1970 to 2020, June 2021.
by 2025
the population of the world is projected to be 68% urban, with urban dwellers numbering
6.7 BILLION
89%
of the U.S. population
68%
of the world population
is projected to live in urban areas.
United Nations (UN) Population Division (2018) World Urbanization Prospects: The 2018 Revision.
Urbanization is turning populated areas into densely populated ones. The higher the increase in population density, the greater the chances for emergence of micro-fulfillment centers.
2022: Cornerstone year for the future of micro-fulfillment centers
year 2020
is going to be the cornerstone for the Micro Fulfillment market touching a billion-dollar mark and setting the base for the future.
It is expected that there will be one micro fulfillment center for every 10th of the U.S. total
40000
Grocery Stores
by 2030
Micro-fulfillment market Forecast to 2026, Research and Markets, Jan 2021
The year 2022 will be crucial for the growth of micro-fulfillment centers across the US. The pandemic has set the stage for many e-commerce brands to invest in this fulfillment strategy.
A majority of the micro-fulfillment centers planned will be retail-based
by 2025
Most installations of micro-fulfillment centers (MFC) planned will be retail-based.
↑962
facilities are expected to be built in retail stores worldwide.
Statista, Micro-fulfillment centers (MFC) projects planned worldwide 2020-2025, Feb 2021
Retail-based MFCs are the most viable business option at the moment. More than running a standalone, distribution or service-based MFC, this type of MFC gives them an additional opportunity to strengthen their omnichannel capabilities.
