THE RETAIL sector and the logistics companies that serve it, risk becoming involved ‘in a race to the bottom’ as it struggles to satisfy the demands of online consumers for low priced goods as well as cost free and virtually immediate order fulfilment.

That was the stark warning that emerged from a panel discussion that took place at the UK Warehousing Association’s (UKWA) recent annual conference during which representatives from retail giants considered the threats and challenges their organisations face in the digital age.

Peter Ward, CEO of UKWA, commented: ‘From the comments made, there seems to be a realisation that, for many retailers, the current online order fulfilment model is not sustainable and some recalibration of consumer expectations is essential.’