CABT Logistics, an intracity logistics brand warehousing and transport company gears up to meet the demand of big billion days and the upcoming festive season by investing $8 million (Rs 6,31,200) to build about 120 micro-fulfilment centres across India. This investment in micro-warehouses comes in the wake of the e-commerce and q-commerce boom, especially in a post-Covid world.
Logistics plays a crucial part in operational optimisation, especially for D2C brands. The investment will ensure that CABT Logistics is equipped to help businesses scale up by furnishing orders in a timely and cost-effective fashion. The first phase of expansion will witness the setting up of 75-80 micro fulfilment centres in tier 1 cities. Setting up micro-warehouses in delivery strategic places will not only shorten the distance that the rider has to cover but also reduces last-mile problems by a significant margin. The D2C brands will be able to cater to the q-commerce market and offer same-day deliveries to their consumers thus catapulting business growth.
The second phase will include expansion in tier 2 and tier 3 cities. The pandemic ushered in the digital era and brought remote regions into its fold as well. Micro-warehouses in tier 2 and tier 3 cities will aid CABT Logistics’ clients in shaving off minutes and help speed up the delivery process.
Sustainability has always been of paramount importance and the substantial investment will not only help D2C brands scale up but will also help lessen the carbon footprint. Logistics as a sector uses substantial energy and resources. This investment to set up micro-warehouses in strategic places all over India will help reduce the usage of air-fuel consumption for the first mile. Thus, reducing emissions by a significant margin.
The current gap in logistics impacts SLA and leads to increased RTO and cancellation. The micro-fulfilment centres aim to help small, medium and big enterprises to store their inventory at CABT Logistics warehouses and avail superlative order fulfilment services be it inter-city or intra-city for a wholesome, fuss-free experience and solution.
“The key for us lies in automation. Approximately 70 percent of our processes in the next 8 months will be automated to increase our SLA from 50 to 90 percent accuracy in terms of delivery and the conversion rate,” said Shailesh Kumar, Founder, CABT Logistics.