Generational topography is changing the way companies predict consumption patterns, demand for goods and, therefore, demand for warehousing.
Ed and Dee hosted the Colliers SouthEast Industrial monthly conference call with speaker, Jim Reeb, from Institute St. Onge, a niche investment advisor on supply chain issues. Jim interpolates Harry Dent’s method of analyzing the changing demographic profiles of consumers http://www.hsdent.com/the-dent-method/ to predict warehouse demand, changes to building footprints and distribution patterns. Here are some of the warehousing predictions from St. Onge. Please note that we don’t wholly subscribe to Mr. Dent’s other views on the economy.
Delivery is a service, closely linked to product expectation and customer satisfaction.
Forecasts are no longer driven by current sales data but by demand planning
Demand planning dictates new customer models - complex, multi-dimensional, multi generational patterns.
Warehouses will become more diverse, handling SKU’s focused on locations near specific population centers
What’s an SKU? - http://en.wikipedia.org/wiki/Stock-keeping_unit
SKU’s will proliferate overall, but local demographics will dictate fewer selective categories
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