June 5, 2024

The E-commerce Revolution: Conquering the Last Mile

ProximityParks Appoints Azul Argüelles as Chief Financial Officer

In recent years, e-commerce has experienced exponential growth inMexico, radically changing the retail landscape in the country. Figures project that the market value will reach USD$4,117 billion in 2024, with an expected annual growth rate of 24.6%. This phenomenon is an indicator of the evolution of consumer behavior, and therefore the imminent need for adaptation by companies in the sector.

Factors Driving E-commerce in Mexico

The increase in internet penetration, expected to reach 80% by 2024, as well as the rise in smartphone usage, projected to reach 100 million users in the same year, have been key catalysts for changing consumer behavior. Nowadays, buyers seek convenience, competitive prices, and a wide variety of products— aspects that e-commerce offers that are un matched compared to physical stores.

In this scenario, companies face the challenge of not only adapting to consumers' new preferences but also ensuring nothing short of an exceptional shopping experience. Here is where last mile logistics comes into play, serving the final phase of the delivery process that has become the decisive factor for customer satisfaction.

The Last Mile: The Key to Customer Satisfaction

The last mile is not simply the final journey of the product from the warehouse to the hands of the consumer; it is the key to customer loyalty. Proximity to consumption centers has become essential to ensuring efficiency in the last mile, as it allows:

  • Reducing delivery times: by offering faster deliveries that meet the expectations of today's consumers.
  • Decreasing logistics costs: by optimizing routes and minimizing fuel consumption, this results in savings for the end consumer.
  • Improving the customer experience: by offering flexible and convenient delivery options such as in-store pickup, delivery to specific points, same-day or next-day deliveries, and quick returns.

Strategic Infrastructure for Conquering the Last Mile

Efficient delivery is key to the success of e-commerce, and strategic infrastructure becomes the engine driving the conquest of the last mile. ProximityParks is the pioneering company in the development of Class A industrial warehouses for last mile logistics and has positioned itself as a key ally for e-commerce and logistics companies seeking to achieve this goal through locations closest to their end consumers.

The strategic location of a ProximityParks, in high-density urban areas, offers unparalleled access to major consumption centers, reducing delivery times and costs and optimizing logistics. Additionally, its modular spaces are designed to adapt to the specific needs of each client, providing the flexibility needed to operate with agility and effectiveness.

ProximityParks goes beyond operational efficiency; sustainability is a fundamental pillar. Through the construction of modern and sustainable industrial warehouses (LEED-certified), ProximityParks actively contributes to building a more sustainable future. Over and above that, through infrastructure for clean energy generation and charging areas for electric vehicles, ProximityParks meets the current needs of logistics and e-commerce companies and addresses the growing environmental concerns of their consumers.

In conclusion, the growth of e-commerce has completely transformed and is shaping the retail landscape in Mexico, presenting both challenges and opportunities for companies in the sector. In this context, last mile logistics is critical for customer satisfaction and business competitiveness. Having logistic infrastructure strategically located in the heart of cities is the key to conquering the last mile, thus enabling faster, cost-effective, and environmentally friendly deliveries.

ProximityParks: Redefining the Real Estate Industry for Last MileLogistics.

ProximityParks is a vertically integrated real estate company, pioneering the introduction of last mile industrial parks since 2017, enabling logistics and e-commerce in the heart of cities. The company has redefined last mile real estate as a result of its focus on sustainability and data analysis, allowing it to use actionable Logistic Intelligence in investment decisions and property design to facilitate more efficient operations for each of its clients.