The latest retail industry casualty regarding the permanent change in consumer shopping patterns is now Toys ‘R’ Us Inc. which recently filed for Chapter 11 bankruptcy protection, after struggling with a heavy debt load. While some can bundle this latest action under this growing trend, there are other forces at-play, namely increased supplier assertiveness.
Omni-Channel Commerce Supply Chain Impacts
Within the past few weeks and months, there have been rather large sums of logistics investments flowing into the Asia online retailing sector, with a special emphasis on improving logistics efficiency and unique customer fulfillment needs.
Supply Chain Matters has provided many examples of the implications of the Amazon Effect. Food and consumer goods manufacturers have become so cognizant to the threat of Amazon in their respective markets, that they have taken action to secure their control of customer and other mission critical information. The latest is retailer Target which is reportedly aggressively moving away from dependence on Amazon Web Services.
The grocery and food industry in the United States suffered another business shock yesterday. A series of announcements related to the previously announced Amazon acquisition of Whole Foods added more stark reality to what is to come.
The 28th Annual State of Logistics report reflects a U.S. logistics industry “buffeted by crosswinds as the pace of change accelerates” as the authors term: “Accelerating into Uncertainty.” Looking ahead, the report indicates that 2017 could be a pivotal year for the industry.