January 22, 2016

Goodman flexes e-commerce muscle with more than 1.5 million sqm of logistics space for the industry across Europe

Goodman flexes e-commerce muscle with more than 1.5 million sqm of logistics space for the industry across Europe

With the signing of its latest development project, a 130,000 sqm facility for Zalando in Germany, Goodman Group is on track to deliver more than 1.5 million sqm for the e-commerce sector across Europe. Since developing its first e-commerce logistics centre for Amazon in Leipzig, Germany, the industrial property group has firmly established itself as one of Europe’s most prolific and experienced owner, developer and manager of logistics space for the online retail industry.

Europe has seen a boom in e-commerce, with the European Union emerging as the world's single largest market for e-commerce. Since 2008, the industry has experienced between 12 percent and 18 percent growth across the EU. In 2014, 2.5 million Europeans were employed directly by the sector, producing €424 billion in revenue. The industry is expected to double its turnover in the next five years, in part due to the increase of omni-channel retail strategies by brick-and-mortar retailers. The growth of the sector will require several million sqm of additional logistics space.

Goodman is well placed to meet the needs of the e-commerce industry due to its extensive experience in developing property solutions for the sector and its flexible, customer-centric approach. One of the most important aspects has been the Group’s ability to deliver complex projects under tight deadlines. Goodman has achieved this by anticipating customer needs, drawing on its extensive technical experience and knowledge and having the capital to self-finance its developments, all of which dramatically speed up project timeframes from commencement to delivery.

“Logistics real estate has become a key strategic component of the e-commerce industry, having a major impact on customer service, margins and overall competitiveness,” said Philippe van der Beken, Goodman Managing Director for Continental Europe. “Many different building types are required by our e-commerce customers to cater for their diverse operational needs. Our success is based on our understanding of these needs and our track record of on-time delivery to enable the successful execution of our customers’ growth strategies.”

For nearly a decade, Goodman has been at the forefront of supporting many e-commerce companies with their expansion and development strategies. When Goodman delivered Amazon’s first logistics facility in Continental Europe in 2006, the now e-commerce giant was a new and relatively unknown player in Europe. Goodman has also supported the growth of European e-commerce companies such as Zalando (fashion) and Home24 (home furnishings), earning repeat business from all three leading online retail players.

In 2015, Goodman completed 140,000 sqm of e-commerce logistics space for Cdiscount in France, Home24 and eBay Enterprise in Germany and Alza.sk in Slovakia.

Since 2006, Goodman has provided solutions for a diverse range of e-commerce customers in the Czech Republic, France, Germany, Poland, Slovakia and the United Kingdom. Based on depth and breadth of its technical expertise in the field of e-commerce logistics space, Goodman has responded to the nuanced requirements of each customer to ensure the property solution provided meets their specific operational needs. This in-house knowledge is a strategic asset that directly benefits customers during the technical design of these often complex facilities.

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