Ecommerce sales have climbed for years. The pandemic accelerated the shift, with online sales rising 43% in 2020 versus 2019, and growth has continued since, up 10.8% year over year in Q3 2022 per the U.S. Census Bureau. Your ecommerce business can grow with the industry, but only if you think carefully about how you store inventory. That is where the benefits of warehouse space come in.
Why Move From a Garage to a Small Warehouse
Your home has only so much space. Filling free rooms with inventory caps how much you can sell, and scattering goods around the house makes it easy to lose track of stock and reorder points. A small warehouse solves both. Not every business needs a large facility; a small warehouse matched to your inventory volume is usually enough when you first move out of the home, and you can scale into a larger unit as you grow.
The 6 Benefits
1. Ship From Locations Closer to Your Customers
To join programs like Amazon Seller Fulfilled Prime, you must prepare, package, and deliver within two days. Meeting that requires a facility that keeps inventory sorted and ready to ship, positioned closer to customers to shorten delivery. Even without Amazon, faster delivery keeps customers happy.
2. Keep Your Inventory Secure
Inventory is a major cost; startups may spend 25% to 35% of their operating budget on it. Protect that investment with a facility offering 24/7 security, video monitoring, and access control of your unit.
3. Reduce Costs
Warehouse operations streamline resource use. By leaning on inventory tracking and order processing, you allocate goods, labor, and space more efficiently, eliminate wasted space and handling, and control stock levels to avoid over- and under-stocking, all of which trims expenses.
4. Improve Inventory Organization
Homes, garages, and self-storage units offer no real room to organize. A dedicated warehouse with systematic storage keeps items accessible, reduces misplaced stock, and speeds order fulfillment.
5. Enable Efficient Warehouse Management
An organized warehouse lets you account for everything you hold, which is the foundation for a warehouse management system (WMS). Connect a WMS to your store for real-time tracking, demand forecasting, and reorder alerts so you are never caught short or overcommitted.
6. Scale in Flexible Spaces
Unlike a home, warehouse solutions come in a range of sizes. Move into a larger unit as you grow, or scale back when you need to. That adaptability is crucial for handling promotional surges and seasonal peaks without delays.
The Risk of Staying Home
| Risk | What it costs you |
|---|---|
| Growth ceiling | Sales capped by the space in your home |
| Lost inventory and money | Poor organization leads to misplaced stock and wasted reorders |
| Wasted time | Hunting for items and managing stockouts pulls you away from customers |
Your space is ready
Move your ecommerce inventory into a small warehouse
WareSpace units run from 200 to 2,000+ sq ft with loading docks, HVAC, racking, secure WiFi, 24/7 access, and video monitoring, all-inclusive starting at $1,000/mo on short-term leases. Scale up as you grow.
FAQ
When should an ecommerce business move out of the home?
When inventory starts capping your sales, organization breaks down, or you need faster shipping and security. A small warehouse matched to your volume is usually the right first step.
How much warehouse space does an ecommerce business need?
Most start in 200 to 2,000+ sq ft and scale into a larger unit as volume grows. See our overview of ecommerce warehousing.
Does warehouse space really cut costs?
Yes. Better organization, tighter stock control, and efficient storage and shipping reduce waste and wasted time, which offsets the cost of the space. More on this in improving ecommerce fulfillment with shared warehouse space.
Your Space Is Ready
Expand your ecommerce business by moving inventory into a small, secure, well-organized warehouse. Book a tour or find a WareSpace location to make your move toward growth.
