In the fast-paced world of logistics and e-commerce, finding the right industrial space can be a daunting challenge, especially in the current tight market.
For Shiperoo, an emerging leader in Australia’s third-party logistics sector, they leaned on the expertise of TMX Transform, a global supply chain and property consultancy, to guide them through the process of finding a facility to meet their highly bespoke needs.
The unique nature of Shiperoo’s operations, which provides automated multi-channel fulfilment and end-to-end returns management solutions for retailers in the fashion, apparel, toys, cosmetics and beauty sectors, as well as online marketplaces, required specialised facilities.
Our site is unique in the sense that the automation we have isn’t seen anywhere else in the Southern Hemisphere.
Shiperoo’s custom-designed automation system, along with their unique blend of in-house software and execution-layer expertise, allows for high-density fulfilment facilities, effectively doubling their usable distribution space and boosting operational workflows. This innovative system combines intuitive robotics hardware and software to streamline all typical fulfilment operations with speed and efficiency, enabling same-day shipping readiness. Additionally, Shiperoo’s proprietary returns management software provides comprehensive end-to-end service for both physical and online retail sectors.
Therefore, the search for the right property became even more critical due to Shiperoo’s need for automation, reverse logistics, rapid fulfillment and high storage density.
TMX helped them secure two new industrial sites in Altona North in Melbourne that allowed a staggered ramp up from late 2023 through to mid-2024. This location meets Shiperoo’s need to be in an urban location to reach consumers quickly.
TMX Associate Director George Linn said TMX’s comprehensive market insights enabled them to identify the ideal property. It was also a matter of the right time and the right place: Mr Linn explained that while Shiperoo was searching for space, TMX was simultaneously assisting another client in offloading some of their property, which led to finding the perfect site for Shiperoo.
We’re fortunate to be directly engaging with the market daily, to be able to know intimately the availability and the opportunities that sit within the market.
“That allowed for us to step Shiperoo through the process to provide information on the entirety of the market, the availabilities, the cost, and the challenges that would be associated with commercial terms.”
Speed was crucial for Shiperoo, and Mr Linn noted that TMX’s streamlined process enabled them to secure a space swiftly without compromising on quality.
He also said that when TMX assists clients in finding industrial property, they establish a partnership that extends beyond a mere transactional agreement, making TMX accountable for the client’s outcomes.
The process was not without its challenges.
“We had very specific requirements for the type of property we wanted,” Mr Wijemanne said. “We needed something that fit our brand and was a place our team would be proud to work in.”
“The timeframe was probably the most challenging thing. We needed our first property quickly, and once we committed to it, we needed a second one soon after.”
TMX’s responsiveness and commitment were pivotal, with Mr Wijemanne calling the approach “refreshing”.
“They were forthcoming, understanding what we wanted in terms of negotiating on our behalf and making sure we were looked after,” Mr Wijemanne said. “It was a seamless process for us.
“Since moving in, it’s been a revolving door with all sorts coming through from the top end of town to the smaller brands that are expanding both locally and internationally that are looking for help.”
Shiperoo’s growth is not limited to Australia.
“Our forecasted growth includes international expansion,” Mr Wijemanne said. “We’re already in discussions with TMX about investigating properties in international regions.”
TMX’s support has been integral in Shiperoo’s journey, demonstrating the value of a tailored partnership approach to industrial space solutions.
This article was originally published in the Property Council of Australia on August 21, 2024.
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