The importance of warehouses are:

(i) Better Inventory Management: Nearly 8 % of small businesses do not track their inventory, 24% do not have inventory at all. This regularly leads to delay in shipments, late order processing and bad customer experience. Warehouses offer a centralised place for the goods, making it simpler to track and manage.the inventory. By investing in warehouses, we can store, ship, and distribute goods much more efficiently. If products are out of stock, we will know it right away and offer consumers alternative choices rather than waiting for days or Weeks.

(ii) More Efficient Packing and Processing: Warehouses support businesses to store, move, package and process orders from consumers. Loading docks, Pallet racks, and packing materials are a few to mention. This way, we will have all in one place, which will save money and time. A warehouse facilitates businesses to pack and grade their products according to legal requirements and consumer needs. The logistical cost is lowered, while flexibility is increased. This kind of facility can be a perfect distribution location, get rid of the need to organise for pickup and hire staff to manage fulfilment.

(iii) Superior Customer Service: Most online customers expect to know the guaranteed or estimated delivery time. Majority of the online customers would pay more for speedier delivery. Essentially, delivery speed is one of the first aspects buyers take into consideration when selecting a shipping carrier.

Business owners want to keep their customers satisfied and engaged. If they fail to send their orders on time, their reputation will suffer. This can affect their revenue and brand image. Warehousing enables on time delivery and optimised distribution, leading to improved labour productivity and better customer satisfaction. It helps in reducing errors and damage in the process of order fulfilment. Plus, it prevents products from getting stolen or lost during handling.

(iv) Ensure Price Stabilisation: The demand for goods and services differs from year to year and month to month, depending on consumers' income, employment rates, government policies, climatic conditions, and other factors. A warehouse allows companies to store their products for a future date when the demand is high. This facilitates price stabilisation and lowers revenue losses.

(v) Improved Risk Management: Warehousing provides secured storage of perishable products. Depending on needs and type of business, companies can lease a warehouse equipped with freezers, refrigerators, and ideal temperature control.Food, plants, candles, artwork, and medications are few examples of products that require cold storage. A warehouse that provides this service will store goods at appropriate temperature, preventing changes in colour and texture and spoilage. In addition, it helps in extending the product’s shelf life and ensures customer satisfaction. Furthermore, the goods stored in warehouses are usually insured. These goods have more chances to receive compensation from insurance companies in case of fire, theft, or damage.