Localised grocery solution

A SHARP contrast to its traditional counterparts, being compact can be considered an evolutionary advantage for these modular facilities one which makes them financially and logistically viable on various counts.

• On a very basic level, they can be accommodated in densely populated cities and urban centres, placing them at an advantage in comparison to the sizeable, centralised distribution hubs (as large as 300,000 square feet) situated in city outskirts or on industrial estates.
• This in turn slashes the transportation costs and time taken for last-mile delivery, thanks to being strategically deployed closer to the customer.
• Another enticing advantage of setting up small is reflected in its start-up cost- a fraction of setting up a traditional fulfilment centre or just around half the cost of a new supermarket.
• The modular nature of MFCs allows them to have high storage density by utilising cubic volume of space and enables easier quality control and data management.
• Some other benefits include lower leasing & operating costs. As per an analysis by financial services company Jefferies, micro fulfilment could reduce order-related costs by as much as 75%.

The highly volatile and demand-driven nature of e-grocery allows little room for error, and counts on speed and accuracy of operations, neither compromising the other. The technology for an MFC is a mix of more fixed and flexible ways of automation. For fast-moving and fixed SKUs, the Addverb Quadron shuttle is suitable. For slow-moving and flexible SKUs, the Addverb Veloce AMR is deployed. Each of these is said to deliver with 100% accuracy and minimal human intervention.

Pieter Feenstra, CEO, Addverb EMEA