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Zebra Technologies Study: More Than Half of Parcels to be Delivered in Under Two Hours By 2028

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Bangkok--11 Sep--Spark Communications
Zebra introduces new mobile printer and high-performing RFID reader for the fulfillment industry

Zebra Technologies Corporation (NASDAQ: ZBRA), an innovator at the edge of the enterprise with solutions and partners that enable businesses to gain a performance edge, has announced the results of the Asia-Pacific edition of the Future of Fulfillment Vision Study, a body of research analyzing how manufacturers, transportation and logistics (T&L) firms, and retailers are preparing to meet the growing needs of the on-demand economy.

According to the Electronic Transactions Development Agency (ETDA), Thailand's ecommerce market is expected to be worth 5.6 trillion baht by 2020. This rapid growth is creating challenges for a large number of companies. Retailers in Thailand will need more fulfillment centers while logistic companies need to embrace and adopt new technologies so that they are equipped to meet the rising demands of ecommerce. The next decade will be an era of change and Zebra's latest fulfillment study highlights the expectations of executives and decision-makers over the next five years.

"Zebra has a rich legacy of guiding enterprises through digital transformation and arming them with the tools they need to succeed," said Aik Jin Tan, APAC Transport & Logistics Vertical Lead, Zebra Technologies. "Driven by the always-connected tech-savvy shopper, retailers, manufacturers and logistics companies are collaborating and swapping roles in uncharted ways to meet shoppers' omnichannel product fulfillment and delivery expectations. Zebra's Future of Fulfillment Vision Study found that 95 percent of survey respondents in Asia-Pacific agreed that e-commerce is driving the need for faster delivery. In response, companies are turning to digital technology and analytics to bring heightened automation, merchandise visibility and business intelligence to the supply chain to compete in the on-demand consumer economy."

In Zebra's Future of Fulfillment Vision Study, 67 percent of logistics companies expect to provide same-day delivery by 2023 and 55 percent anticipate delivery within a two-hour window by 2028. In addition, 96 percent of survey respondents expect to use crowdsourced delivery or a network of drivers that choose to complete a specific order by 2028.

Another key finding was how retailers are expected to evolve their operations. Seven in ten surveyed executives agree that more retailers will continue to turn stores into fulfillment centers that accommodate product returns. By 2023, 99 percent of retailers plan to implement buy online/pick up in store to allow a more seamless fulfillment process.

Reverse logistics, or returns, is also a high priority for many retailers and logistics providers. In APAC, 93 percent of respondents agreed that accepting and managing product returns remain a challenge. Reverse logistics remain underdeveloped and significant opportunities for improvement remain. Today, 58% of retail respondents add a surcharge for returns, and 71% have no plans to change this in the future.

However, 92 percent of the respondents cited capital investment and operating costs of implementing an omnichannel operation as a key challenge. Only 42 percent of supply chain respondents reported operating at an omnichannel level today. In contrast, an estimated 73 percent of consumers shop across multiple channels. In addition, 55 percent of organizations are still using inefficient, manual pen-and-paper based processes to enable omnichannel logistics. This is expected to change by 2021, as handheld mobile computers with barcode scanners will be used by 99 percent of respondents for omnichannel logistics. The upgrade from manual pen-and-paper spreadsheets to handheld computers with barcode scanners or tablets will improve omnichannel logistics by providing more real-time access to warehouse management systems.

Looking ahead, future-oriented decision makers revealed that next generation supply chains will reflect connected, business-intelligence and automated solutions that will add newfound speed, precision and cost effectiveness to transportation and labor. Surveyed executives expect the most disruptive technologies to be drones, driverless/autonomous vehicles, wearable and mobile technology, and robotics. The use of radio-frequency identification (RFID) inventory management system is expected to grow from 32 percent today to 95 percent in 2028. RFID-enabled software, hardware and tagging solutions, offer up-to-the-minute, item-level inventory lookup, heightening inventory accuracy and shopper satisfaction while reducing out of stocks, overstocks and replenishment errors.

Corresponding to the developments in the fulfillment space, Zebra has introduced a new mobile printer and RFID solution that will help drive better efficiencies both on and off-premise. The new ZQ300 Series mobile printers empower frontline workers in the field, in the warehouse or on the retail floor with on-demand printing capabilities. Meanwhile, the FX9600 fixed UHF RFID readers will enable enterprises to keep up with high volumes of cargo movements in the warehouse or dock doors.

"Thailand's e-commerce industry is booming, with 2018 showing both huge potential for growth and a fast pace of change," said Siwaj Rojanatemsak, Country Manager - Thailand, Zebra Technologies. "We're seeing enterprises evolving by creating a seamless online and offline experience, utilizing customer data and placing value on express services. Enterprises will gain a competitive advantage when they empower their frontline workers with technologies like mobile printers and computers, which offer real time visibility on the store front or out in the field."

Key takeaways

Zebra released the results of the Asia-Pacific edition of the Future of Fulfillment Vision Study.The study revealed that 67 percent of logistics companies expect to provide same-day delivery by 2023 and 55 percent anticipate delivery within a two-hour window by 2028.Surveyed executives agree that more retailers will continue to turn stores into fulfillment centers that accommodate product returns. They also agreed that accepting and managing product returns remain a challenge.Today, 55 percent of organizations are still using inefficient, manual pen-and-paper based processes to enable omnichannel logistics.The use of RFID-based inventory management system is expected to grow from 32 percent today to 95 percent in 2028. Future-oriented decision makers revealed that next generation supply chains will reflect connected, business-intelligence and automated solutions that will add newfound speed, precision and cost effectiveness to transportation and labor.Zebra has also launched the rugged ZQ300 Series mobile printer that offers both receipt and label capabilities along with enhanced wireless connectivity, battery and power management options. The ZQ300 Series printers are built to withstand any environment – from the front of retail store to the warehouse to out in the field. They are sealed from dust, dirt and liquid, meeting IP54 standards, and have been rigorously tested to withstand drops and tumbles.With high Radio Frequency (RF) sensitivity, the FX9600 fixed RFID readers can deliver high accuracy and long read ranges, even in high traffic environments or most challenging materials. Designed for the toughest environments, FX9600 can continue to work even in damp, dusty work areas, extreme heat, or even sub-zero temperatures.


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