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Delivery Innovation in Apparel Study Identify the Emergence of Players as Amazon, Alibaba, and Walmart | GlobalData Plc

LONDON, UK, September 27, 2022 / — The Delivery Innovation in Apparel – Thematic Research study has been recently added to GlobalData Plc report store. The study identifies the latest advancements and innovations undertaken by major retailers in the apparel industry to meet the ever-evolving consumer demands and requirements. The innovations in apparel delivery processes have grown at an accelerated pace, particularly, post the pandemic. Delivery methods have undergone fundamental changes driven by technological advancements, increasing competition, and rising consumer expectations over the last decade.

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Key Highlights

• Retailers today have been forced to enhance their last-mile delivery capabilities with the rise of eCommerce.
• For consumers, a convenient delivery experience comes down to three core aspects: the cost of delivery, the speed of delivery, and the flexibility of both.
• Furthermore, consumer concerns over COVID-19 and the resulting shift to online have spurred retailers to invest in innovative delivery solutions to enhance their reach and cater to evolving demand with fulfillment options and short delivery times being of high importance to shoppers.
• With innovations such as Google’s driverless cars and drones, the future of delivery is set to involve innovation and looks very different from the current landscape. As retailers seek to satisfy customer preferences for timeliness and cost-effectiveness, automated guided vehicles, drones, and bikes could dominate the future of delivery options.
• The COVID-19 crisis has also intensified the need to adopt advanced technologies in supply chains, including automated warehouses, blockchain, computer vision, and RFID tags. COVID-19 expanded the use of some contemporary delivery methods, such as autonomous vehicles and drones, while also bringing changes to some of the most frequently used delivery methods.

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Key Delivery Innovation in Apparel Trends

The main trends shaping the delivery innovation in apparel themes over the next 12 to 24 months are shown below. We classify these trends into three categories: technology trends, industry trends, and consumer trends.

• Technology trends

o Autonomous delivery vehicles: In September 2021, Wilko, a UK-based high street chain, invested GPB3 million in autonomous delivery vehicle company StreetDrone to accelerate the deployment of its car-sized robotic delivery units. Similarly, Walmart partnered with Ford Motor Co. and Argo AI, a self-driving startup based in the US, to launch an autonomous vehicle delivery service in cities such as Miami, Austin, and Washington D.C.
o Drones
o Automated warehousing
o Blockchain
o Computer vision
o RFID solutions

• Industry Trends

o E-commerce: Prolonged lockdown periods and social distancing measures truly ushered in a new normal with the online channel at the forefront of growth. Retailers have enlisted delivery companies such as Deliveroo, Instacart, and Rappi to help with last-mile delivery and offer fast fulfilments to shoppers.
o Automation of supply chains
o COVID Impact on supply chains

• Consumer Trends

o Sustainability: Amazon has been at the forefront of promoting sustainability in its supply chain; for example, it has committed to becoming net-zero carbon by 2040 and pledged to power all its operations with 100% renewable energy by 2025.

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Delivery Innovation in Apparel Market Players

As competition in the retail industry intensifies, retailers are adopting new strategies to provide a convenient shopping experience to consumers. Many retailers are introducing innovative delivery solutions in a bid to differentiate themselves from the competition. Retailers across sectors are now shifting capital expenditure towards their supply chains.

Top players covered in the report:

Amazon: Amazon offers faster delivery options as a part of its Prime subscription model, leading to enhanced user satisfaction with its services. In addition, in 2019, Amazon acquired Canvas Technologies, an autonomous warehouse robotics startup, and, in 2020, it acquired Zoox, an autonomous driving start-up. Amazon has trialed autonomous driverless technology in several states in the US. In October 2021, Amazon announced the opening of a new first-of-its-kind robotics manufacturing facility in Massachusetts to take its in-house robotics development forward.

Alibaba: In September 2021, Alibaba launched ‘Dropshipping Solutions’, which provides small and medium-sized businesses in the US with access to a variety of manufacturers and suppliers. Alibaba is also investing in other logistics providers. For instance, it participated in the Series E funding for Ninja Van, a Singapore-based delivery start-up. It has also invested $300 million in autonomous driving

Walmart: Walmart has gone from being just a retailer to a retailer and delivery service provider by selling its supply chain and delivery capabilities to other businesses and smaller retailers, expanding its business portfolio. Walmart has also invested in driverless cars, drones, and logistics vehicles, which can now be scaled up and made available to smaller retailers. Walmart’s delivery system has now also turned it into a sellable B2B service.

For more information on other key players, click the report page

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