The market for industrial and logistics space in Poland has been developing dynamically for over a dozen years. CBRE and Panattoni Europe, with strong support from the research agency Analytiqa, decided to check how companies operating in the logistics sector assess the current market situation, what their development plans are, and their predictions regarding the development of the entire industry. “Poland Logistics Confidence Index 2017” is the first report of its kind that examines the level of market confidence based on the opinions of people managing the largest and most prosperous companies in this sector.
The analysis of the situation in the logistics market presented in the report was based on a research survey in which over 50 people in managerial positions participated: CEOs, managing directors, and executive staff. Employees from both companies providing logistics services and companies using these services shared their opinions and thoughts. This allowed the report’s creators to outline a comprehensive view of the prevailing market sentiment, as well as current issues affecting the development of the entire sector.
The conducted study confirmed positive prospects for the logistics market. The Logistics and Supply Chain Confidence Index in Poland 2017 was set at 60.7, with logistics companies reaching a value of 62.1, while the group of manufacturing and trading companies stood at 59.1. Poland performed very well compared to other European countries where a similar study was conducted, surpassing Ireland (60.4) and the United Kingdom (56.7). Investment attractiveness is rated very positively by respondents – as many as 64% of those surveyed believe that Poland has a competitive advantage as an investment destination compared to other European Union countries.
The study participants were asked not only to assess the current market situation in Poland but also to express their opinions on their predictions regarding the future of the sector. The research conducted by experts helped identify key factors that have a direct impact on the level of optimism and confidence at the organizational level. Respondents were asked to outline development plans for the next year, taking into account four categories: changes in turnover, profitability, projected capital expenditures, and employment forecasts.
The study revealed many positive forecasts regarding the development of the logistics industry in the near future. High optimism regarding expected changes in turnover (as many as 94% of respondents predict growth) is accompanied by positive opinions on profitability (70% of respondents expect profit growth). More than three-quarters of those surveyed also showed a willingness to make capital expenditures in the area of logistics and supply chain, and the vast majority (62%) assume an increase in employment. Despite numerous positive opinions, many companies expect that the coming year will also involve various types of challenges. Entrepreneurs expect the biggest problems in issues related to limited availability of human resources and obtaining suitable, additional locations. Entrepreneurs plan to increase the efficiency of their companies mainly by paying more attention to improving cooperation with customers and making investments in increasing employee productivity. There is no doubt that investments in technological improvements and innovation are also a way to face the challenges resulting from the development of the e-commerce sector.
– The results of the report not only show the good condition of the industry but, above all, what is most important from a developer’s perspective – customer expectations. Knowing these expectations means that Panattoni Europe has not limited itself for many years to just implementing logistics centers in main locations. We are creating and dynamically developing secondary markets, and by noticing the needs of clients operating in the e-commerce industry and their consumers at the same time, we are focusing on City Logistics included in the stage of the so-called last mile delivery. Therefore, looking long-term at the logistics industry and the warehouse space market segment in Poland, we are convinced of their constant development for the coming years – says Marek Dobrzycki, Managing Director of Panattoni Europe.
“Poland Logistics Confidence Index 2017” is the first edition of this publication. The value of the guide will increase even more as data is collected over the coming years, which will allow for a comparative analysis. In addition to numerical analysis, the report also contains many interesting comments from partners participating in the study. Opinions expressed by people who work in this sector every day and know all the key issues related to this industry can become a useful tool and a source of valuable information on what the development prospects are, which areas require improvement, and how to gain a competitive advantage over other entities operating on the market.
– CBRE, together with Panattoni Europe, created this report to look at the latest trends and forecasts for the industry, to learn about the expectations, but also the concerns of market participants. Poland maintains a fast pace of development and we can look to the future with optimism. Poland’s main competitive advantages are qualified employees, high flexibility of Polish business, cheap and fast construction process of warehouse facilities, as well as relatively low costs of operations within the supply chain. However, it is worth emphasizing that these are areas that create as many benefits as challenges – comments Joanna Mroczek, Director of Research and Marketing.