Perhaps many of you feel relieved that 2020 came to a close. However, despite many surprises and obstacles, we have to admit that this year was a real milestone for Omnipack. We achieved record-breaking results, we launched two new warehouses, our cross-border expansion continues, and we are continually hiring new employees. We asked the company’s representatives to sum up the past 12 months in the logistics and eCommerce world. If you are interested in Omnipack’s subtleties and exciting industry insights, read on!
2020 at Omnipack
We started the new year with flying colors by taking third place in the “Best logistics solution” category during the e-Commerce Germany Awards 2020.
In May, we opened a new logistics center in Nadarzyn. It gave our clients an extra 6,500 sq m of modern warehousing space, fully adjusted to the needs of eCommerce companies.
During the summer holidays, we implemented the new WMS Logifact. It allows us to automate some of our processes, improves the management of products with an expiration date, enhances the process of returns, and helps us monitor the warehouses’ activity.
In October, we presented the brand-new version of the Omnipack brand. We changed our logo, brand colors, and the entire brand identity, including the website, which now operates in three languages–Polish, English, and German. That last language is especially crucial, because…
We’ve started conquering the German market! Also, in October, we opened the next logistics center in Gorzów Wielkopolski, right by the Polish-German border. This center allows us to offer the standard of customer service at the level of German operators. Moreover, we have a new department that is responsible for acquiring and servicing German clients.
Over this entire year, many new merchants joined us, including foreign companies. Some of the new brands in our portfolio are:
And finally, we closed the past year with fantastic news about obtaining 2,5 million EUR in financing for the cross-border expansion and our technology development.
“New warehouses, new systems, new servers, new markets, the new website, a lot of new people in our amazing team, new tools, a new financing round, and more. What we managed to achieve in COVID-19 conditions, with so many restrictions and uncertainties going on, is simply mind-blowing! For me, it’s also a huge satisfaction. What we went through last year and how we did it could inspire many companies” – says Rafał Szcześniewski, CLO at Omnipack.
What happened in the logistics and eCommerce sector?
As it turns out, everyone in the eCommerce sector was busy in 2020. There was a lot going on! We asked our CEO, Tomek Kasperski, to share his thoughts:
📆 The event of the year: Amazon defeated on home soil
During this year’s Black Friday and Cyber Monday, sellers using the Shopify platform managed to achieve 5.1 billion USD of sales (+76% y/y) vs. 4.8 billion USD (+60% y/y) achieved by the Amazon sellers. Even though both results are record-breaking, Shopify’s victory clearly shows that the significance of small and medium-sized eCommerce is continuously growing. Now, it’s not just the price that attracts customers, but also (or even predominantly) the brand’s uniqueness and specialness of the product itself.
🔝 The trend of the year: Struggle against the Chinese players
Both the European Union and the United States have undertaken actions that aim to fight against the rapid growth of the Chinese sellers. Shortly, the EU will impose a new VAT tax on every product imported from other countries, including China. The United States is removing the preferential postal tariffs (beneficial for China Mail) by doubling the fees overnight. And it’s just the beginning. We have to wait and see how Chinese players like Wish will respond.
🆕 The novelty of the year: New trends generate huge GMV
The DoorDash company that started operation 8 years ago has taken over the food delivery market. Currently, they are achieving 8 billion USD every quarter. Pinduoduo, the social commerce leader, gets 100 billion USD every quarter. It’s the end of the traditional search-and-click model. The time for innovative solutions has come.
You cannot look in the rear-view mirror all the time. Let’s focus on the future. See what predictions our representatives have for 2021:
Tomek Kasperski, CEO
The competition in eCommerce will be even more fierce, especially when the offline players realize that they have to have a strong position online. Current eSellers should be afraid as the offline players can quickly catch up, mainly regarding online marketing and eCommerce management. Of course, this provides that they offer great products and a reliable brand.
Rafał Szcześniewski, CLO
I think it will be an exciting year. On the one hand, we’ve already learned how to live with COVID, and the new vaccine gives hope that soon normality will be restored. On the other hand, some habits, including shopping habits, are going to stay. For sure, eCommerce is a clear winner here. Prolonged restrictions and the atmosphere of shopping in malls will surely be to the advantage of online stores. An online channel is no longer just a nice-to-have option. It’s now the main channel that requires investments. In addition, the new VAT tax (effective July 2021) imposed on products from outside the EU will strengthen the position of local sellers. The stakes are high, which means competition will grow, and logistics and the customer service level are going to be essential aspects of building your competitive advantage.
Marek Włodarczyk, Head of Sales DACH
eCommerce, eCommerce, eCommerce! Due to the pandemic that triggered the unprecedented eCommerce growth, I think that customers will continue to shop online, even when all the restrictions are removed. Online trade will utilize more advanced technologies, just to mention AI algorithms, big data, personalized recommendation engines, and image recognition. Additionally, when it comes to Poland, we are going to watch the inevitable duel between Amazon and our local Allegro with great interest.