U.S. warehouses saw a return to a sense of normalcy in 2024. After years of overstocking and maximum capacities, warehouses had more vacancies across the country than in years past. After shippers stockpiled inventory through 2023, they had a much easier time finding warehousing space domestically as inventories stabilized and returned to more normal capacities. Demand for space was still high, though, leading to another successful year for warehouses in the U.S. The threat of Trump’s proposed tariffs also led to a final rush of imports at the end of the calendar year, providing one last spike in demand for space as companies rushed in inventory to avoid higher costs in 2025.

While not a new development, e-commerce had a major impact on the 3PL and warehousing industry in the past year. As more and more consumers and retailers lean into e-commerce, warehouses have to be nimble and constantly adapt to provide the best service to customers and partners.

The rise of reverse logistics shaped much of the industry in the past year. As the name implies, this is the process of moving goods from consumers back to the warehouses or manufacturers. With more than 30% of online orders being returned in the United States, it is imperative for successful warehouse operations to have the ability to seamlessly and efficiently receive these returns and update inventories accordingly.

“Enhancing the customer experience is a critical trend shaping returns in the 3PL space,” said Mark Harding, Director, Operations, Scarbrough Warehousing. “A seamless return process is increasingly viewed as an essential aspect of customer satisfaction, so 3PL providers are prioritizing transparency by offering easy-to-navigate return policies and real-time tracking for returned items.”

Now, more than ever, adopting technology and robust Warehouse Management Systems (WMS) sets the best operations apart from the rest.