NIDO Group expects automation to reduce operational costs by around 25% for D2C brands – Industry News

Warehousing automation company NIDO Group has successfully automated multiple 3PL or third party logistics warehouses and is successfully managing order volumes of 9 lacs orders per day for over 40 Direct-to-Consumer (D2C) brands across the country, the company said in a statement.

The D2C market is experiencing explosive growth, with consumer spending expected to increase by more than 35-40% during the holidays, according to the intralogistics automation company.

“This strong increase in demand is placing enormous pressure logistics suppliers to deliver products quickly and efficiently. As a result, the adoption of warehouse automation technologies, including conveyors, sorters and fulfillment centers, becomes essential for effective operations. These systems streamline order processing, reduce manual actions and minimize errors, ultimately ensuring customers receive their products on time,” the statement said.

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Nirav Doshi, Founder and Managing Director of NIDO Group, said: “This festive season, we expect a 30% increase in the volume of orders processed using automated solutions compared to the previous year. Automation can lead to a 22-25% reduction in operational costs for D2C brands, allowing them to manage high order volumes without significant cost escalations.”

The company’s warehouse automation solutions are designed to meet the unique challenges by implementing advanced conveyor systems and sortation technologies, allowing the company to optimize its fulfillment processes and significantly reduce lead times, Doshi added.

“The benefits of warehouse automation extend beyond just cost and time savings. By increasing efficiency, NIDO Group enables its clients to increase turnover and improve customer satisfaction. Further this technology is critical to reaching consumers in tier 2 and tier 3 cities, which are emerging as key demand centers, and ensuring their demands are met quickly and effectively. Even the most remote locations can benefit from on-time deliveries during the festive rush thanks to automated systems,” the company said.

In addition to supporting D2C brands, the trend of fast commerce is also increasing, where speed and convenience come first. The integration of warehouse automation enables rapid order processing and fulfillment, ensuring customers receive their purchases in record time.