APS Fulfillment, Inc. Comments on JOC Report: Strong e-Commerce Sales Increase Warehousing/Fulfillment Space Demand

APS LOGOMiami, FL, April 27, 2016 – APS Fulfillment, Inc. (www.APSFulfillment.com), one of the nation’s leading cost-effective fulfillment and integrated direct mail marketing companies, is releasing its comments on a recent article in The Journal of Commerce, warning that strong e-commerce growth has resulted in record-low vacancy rates near the biggest U.S. population centers.

According to The Journal of Commerce, U.S. e-commerce generated sales of approximately $350.0 billion in 2015, a 14% increase over the $305.7 billion in 2014. While online sales account for around seven percent of total U.S. retail sales, this number is expected to increase by 15% in 2016. U.S. retail sales, by comparison, advanced just four percent in 2015 to $4.9 trillion. (Source: “E-commerce growth squeezing tight industrial real estate market,” The Journal of Commerce, April 3, 2016; http://www.joc.com/international-logistics/industrial-real-estate/e-commerce-growth-squeezing-tight-industrial-real-estate-market_20160403.html.)

“Strong e-commerce sales have resulted in warehousing and fulfillment centers near the biggest U.S. population centers reaching capacity,” says Charles Aultman, president of APS Fulfillment, Inc. “At the end of 2015, the vacancy rate was just 6.4%, the lowest in 15 years. Demand for centrally located warehousing and distribution space is expected to get even more competitive as demand outpaces supply.”

Aultman explains that because of rising costs, including materials, labor, and land, building warehouses has become more expensive; as a result, these rental rates generally exceed those of well-established fulfillment centers. Accordingly, online and traditional brick-and-mortar retailers need to plan ahead if they want to outsource their warehousing and fulfillment needs.

“Brands looking to outsource their warehousing and fulfillment services need to consider a space that is close to a major port and key transportation hubs,” advises Aultman. “It’s also imperative to outsource to a firm that uses state-of-the-art inventory technology and real-time-shipping solutions.”

According to Aultman, APS Fulfillment is 20 minutes from the Port Everglades, the top port in Florida. It is also just 30 minutes from the Port of Miami, the second-fastest growing U.S. export port. On top of that, APS Fulfillment is just minutes from Interstate 95 and 30 minutes from the Miami International Airport.

“Because of APS Fulfillment’s strategic location, businesses that outsource their warehousing and fulfillment services can have their products received, inventoried, and shipped in just two days,” Aultman concludes. “This means brands can get their products into their customers’ hands as quickly as possible. It also helps enhance brand loyalty and customer satisfaction.”

APS Fulfillment, Inc. is one of the United States’ leading cost-effective fulfillment and integrated direct mail marketing companies, offering affordable and real-time fulfillment services to small, medium, and large companies. Its state-of-the-art technology provides turnkey solutions for high-volume perfect-match mailings, personalized direct mail, snap-pak mailers, postcards, and triple-tabbed booklets.