Traditional in-store retail is moving online. As e-commerce companies shrink delivery windows, offering “same day” services, “last mile” industrial must arrive to facilitate this same-day delivery of goods. Read the full white paper here: http://bit.ly/2vlhGP2

1. E-COMMERCE
AND THE NEXT WAVE OF
INDUSTRIAL DEMAND

2. Traditional in-store retail
is moving online

3. 2000: 2% of retail purchases made online
$6 Billion

4. 2000: 2% of retail purchases made online
2017: 10% of retail purchases made online
$6 Billion
$101 Billion

5. This trend is a
STRUCTURAL
CHANGE

6. Since 2000, retail occupancy has dropped
from 92% to 80%, while Industrial product
has maintained an average occupancy over
90% while adding 150 million SF of space

7. E-Commerce and Occupancy
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
2017
92%
93%
$120,000
$100,000
$80,000
$60,000
$40,000
$20,000
$-
80%
95%
90%
85%
80%
75%
70%
SalesinMil.USD
%Occupancy
E-Commerce Sales Industrial Retail

8. This is because
online sales
depend on
industrial, rather
than retail space

9. E-commerce fulfillment requires
HIGH-FUNCTION
WAREHOUSE SPACE

10. E-commerce warehouses
have evolved to capitalize
on this shift

11. Features are
EFFICIENCY-
DRIVEN...

12. DEEP AND
WEAR-RESISTANT
concrete truck courts

13. 36 FOOT+
clear heights

14. HIGH THROUGHPUT
TRAFFIC LAYOUTS
including cross dock
configurations and
internal loop roads

15. What’s
NEXT?

16. E-commerce companies are
shrinking delivery windows,
offering “Same Day” services

17. “Last mile” industrial
which is designed to facilitate
this same-day delivery of
e-commerce goods

18. LAST MILE
gets its speed
from being:

19. Located near
populations centers

20. 7+ times more efficient
than retail equivalent

21. As e-commerce advances,
regional hubs like Atlanta play
an important role in the move to
“last mile” industrial

22. Population growth will increase
demand for e-commerce and
same-day deliveries, however...

23. Population growth also
creates traffic, making same-day
delivery more difficult

24. Drones offer a possible solution,
but commercial use is constrained
by FAA regulations

25. CONCLUSION

26. E-commerce will continue to
outperform the economy as a whole,
and same-day delivery services
project to outperform online sales.

27. This means demand for smaller-yet-
high-function “last-mile” facilities
will drive the industrial segment
through this cycle and into the next