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Differentiating Home Delivery: The Gen Z Factor
Published
5 mois agoon
By
 
 
 
 The pandemic-era ecommerce boom that once supercharged online sales is losing steam. In 2020, U.S. ecommerce sales skyrocketed to around 35%, compressing a decade’s worth of growth into a single year. Fast forward to 2025, and the pace has significantly slowed, with projected annual growth hovering around 6%—a stark contrast to the pandemic peak of 18–20%. Although U.S. retail spending grew by 1.7% in March as consumers anticipated new tariffs, momentum quickly fizzled. April saw a meager 0.1% increase, highlighting a broader slowdown in consumer confidence amid economic uncertainty and rising costs.
Complicating matters, e-commerce retailers—particularly those heavily reliant on imports from China—are feeling the pressure from higher costs of goods sold (COGS). New tariffs and the removal of the de minimis exemption are tightening margins, while geopolitical instability and persistent supply chain disruptions are creating additional fulfillment challenges. Despite these headwinds, there’s a glimmer of hope for retailers and their delivery partners: the next generation of consumers.
The Youth Advantage
Retailers have a strategic growth opportunity in younger consumers—namely, Gen Z and younger Millennials aged 18–35. These digital natives are steeped in the online shopping experience and are expected to account for nearly 20% of global spending by 2030. According Descartes’ 2025 study How Smarter Delivery Wins Younger Consumers as Online Buying Slows, this age group has driven the most growth in ecommerce over the past year. While 18% of all consumers reported cutting back on spending, 43% of under-35s actually increased their online purchases. Furthermore, 44% of this group now buys online at least every two weeks, up from 33% in 2024.
Great Expectations
This cohort doesn’t just buy more—they also expect more. Under-35 consumers bring high expectations to the online shopping and delivery experience. Key priorities include delivery cost (71%), security (77%), and robust tracking (72%). Like older shoppers, they want timely deliveries in good condition and with straightforward return processes. Another factor that sets them apart is a heightened focus on sustainable delivery. While only 9% of all respondents cite environmentally unfriendly deliveries as a major concern, 40% of under-35s want sustainable delivery options—compared to just 23% of those over 65.
Delivery Disconnect
Despite improvements in fulfillment, many e-commerce businesses still struggle to meet younger consumers’ standards. The Descartes study reveals persistent dissatisfaction among this demographic. Only 11% of under-35s are consistently satisfied with their delivery experience—half the satisfaction level of over-65s. Alarmingly, 79% of under-35s experienced at least one delivery issue in three months, compared to 66% of all consumers and just 53% of over-65s.
Common issues include late or failed deliveries, damaged goods, and packages left in unsecured locations—all of which last mile software solutions can help address. These issues not only undermine the customer experience, they also erode brand trust, spike customer acquisition costs, and jeopardize long-term profitability.
Consequences of Mediocre Delivery
The impact of poor delivery experiences is especially severe with younger shoppers, who are more likely to retaliate. While 21% of under-35s reported they stopped purchasing from a retailer after a poor delivery experience, 79% said they took some form of action. This includes warning friends and family (20%) or airing grievances on social media (15%). By comparison, only 7% and 6% of over-65s, respectively, engaged in these behaviors. In today’s digital-first world, such actions can significantly damage brand reputation and future revenue.
Tailoring Delivery for Loyalty and Growth
For retailers, the message is clear: improving the delivery experience is essential, and the under-35 demographic represents both a challenge and a lifeline. By leveraging leading last-mile home delivery technology, companies are better equipped to provide younger consumers with delivery flexibility, reliability, and personalization. Many under-35s are less concerned with speed and more focused on cost (28%), precise delivery windows (18%), or sustainability (14%). Retailers that can accommodate these preferences—offering low-cost, reliably timed, or eco-friendly deliveries—will stand out. By tailoring delivery services to meet the expectations of these consumers, ecommerce businesses can build stronger brand loyalty, reduce churn, and enhance customer lifetime value—ultimately turning a slowing market into an opportunity for competitive advantage.
By Johannes Panzer, Head of Global Ecommerce Marketing at Descartes
The post Differentiating Home Delivery: The Gen Z Factor appeared first on Logistics Viewpoints.
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Join us for Tomorrow’s Webinar: Building a Sustainable Supply Chain: Turning Commitments into Competitive Advantage
Published
12 heures agoon
3 novembre 2025By
 Sustainability has moved beyond corporate responsibility. Today, it’s a core element of supply chain performance and brand value. Organizations across every sector are rethinking how materials are sourced, products are moved, and data is managed to reduce emissions, improve efficiency, and strengthen resilience.
Join us for an in-depth Logistics Viewpoints webinar on Sustainability in the Supply Chain, where industry leaders will share how they are embedding environmental and social responsibility into the fabric of their operations. This session will explore practical steps for achieving measurable progress — not just pledges — in areas such as supplier engagement, energy management, and circular logistics.
Key topics include:
Proven frameworks for integrating sustainability into procurement and manufacturing
 Tools and metrics for tracking emissions and improving data visibility
 How transparency and collaboration can reduce risk and enhance competitiveness
 Lessons learned from companies leading the charge toward carbon-smart logistics
Our expert panel will focus on real-world case studies and actionable takeaways, giving attendees insights they can immediately apply to strengthen their sustainability programs.
Whether your organization is just beginning its journey or refining an established strategy, this webinar offers a roadmap to align sustainability goals with measurable business outcomes.
Register now to join us live and learn how forward-thinking companies are transforming sustainability from a compliance obligation into a competitive advantage.
The post Join us for Tomorrow’s Webinar: Building a Sustainable Supply Chain: Turning Commitments into Competitive Advantage appeared first on Logistics Viewpoints.
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Stellantis: $13 Billion, 5,000 Jobs, and a New U.S. Manufacturing Strategy, Reshaping the North American Supply Chain
Published
12 heures agoon
3 novembre 2025By
 AUBURN HILLS, MI. Stellantis announced plans to invest $13 billion over the next four years to expand its U.S. manufacturing footprint. The initiative will add more than 5,000 jobs across Illinois, Ohio, Michigan, and Indiana and increase U.S. vehicle production by about 50 percent.
The investment will fund five new vehicle programs, 19 product refreshes, and a new four-cylinder engine program. It is the company’s largest single U.S. investment and signals a long-term commitment to both internal combustion and electrified vehicle platforms.
“This investment in the U.S. will drive our growth, strengthen our manufacturing footprint, and bring more American jobs to the states we call home,” said Antonio Filosa, Stellantis CEO and North America COO. “As we begin our next 100 years, we are putting the customer at the center of our strategy, expanding our vehicle offerings, and giving them the freedom to choose the products they want and love.”
“Accelerating growth in the U.S. has been a top priority since my first day,” Filosa added. “Success in America is not just good for Stellantis in the U.S. It makes us stronger everywhere.”
State-by-State Overview
Illinois: Belvidere Plant Reopening
 Stellantis will invest $600 million to reopen the Belvidere Assembly Plant for production of two Jeep models, the Cherokee and Compass, beginning in 2027. The project is expected to create 3,300 jobs.
Ohio: New Midsize Truck Production
 About $400 million will fund production of an all-new midsize truck at the Toledo Assembly Complex, joining the Jeep Wrangler and Gladiator lines. The move will add about 900 positions when production begins in 2028. Additional upgrades are planned across Toledo operations to support ongoing Jeep production.
Michigan: Large SUV and Dodge Durango Successor
 At the Warren Truck Assembly Plant, Stellantis will invest $100 million to produce a new large SUV available in both range-extended EV and combustion formats. The launch, expected in 2028, will add 900 jobs. Another $130 million will prepare the Detroit Assembly Complex, Jefferson, for the next-generation Dodge Durango, slated for production in 2029.
Indiana: New Engine Program
 In Kokomo, Stellantis will invest more than $100 million to build the new GMET4 EVO four-cylinder engine. Production is set to begin in 2026 and will add about 100 jobs.
Supply Chain and Logistics Considerations
The Stellantis plan reflects a larger trend toward regionalized manufacturing and shorter supply chains. By expanding production in the Midwest, Stellantis is reducing exposure to overseas logistics risks and shipping delays that have challenged the industry in recent years.
Reopening Belvidere and expanding operations in Toledo and Kokomo will strengthen domestic supplier ecosystems for components such as engines, drivetrains, and electronics. Adding dual powertrain lines, both EV and ICE, will require parallel material streams and more sophisticated synchronization between inbound logistics, supplier planning, and workforce scheduling.
At the same time, expansion across multiple states increases the complexity of coordination and sourcing. Tier-1 suppliers will need to adjust production capacity, labor allocation, and transportation networks to align with Stellantis’ new programs. Global lead times for critical components such as semiconductors, battery modules, and sensors remain unpredictable, requiring early-stage visibility and contingency planning.
For the broader supply chain, the challenge lies in maintaining steady component availability while scaling new vehicle lines and managing cost pressures tied to both traditional and electrified platforms.
Outlook
Stellantis operates 34 U.S. facilities across 14 states and employs more than 48,000 people. This new investment deepens that footprint and aligns with an operational goal of building greater resilience and control within the domestic production network.
For supply chain leaders, Stellantis’ move highlights the continued shift toward regional production, flexible sourcing strategies, and closer collaboration between OEMs and their supplier networks. The focus now is not just on capacity but on stability, adaptability, and execution across interconnected plants and partner
The post Stellantis: $13 Billion, 5,000 Jobs, and a New U.S. Manufacturing Strategy, Reshaping the North American Supply Chain appeared first on Logistics Viewpoints.
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OpenAI and AWS Forge $38B Alliance, Microsoft Exclusivity Ends, New Multi-Cloud AI Compute Era Begins
Published
13 heures agoon
3 novembre 2025By
 OpenAI has entered into a multi-year, $38 billion agreement with Amazon Web Services, formally ending its exclusive reliance on Microsoft Azure for cloud infrastructure. The deal, announced today, represents a fundamental realignment in the cloud compute ecosystem supporting advanced AI workloads.
Under the agreement, OpenAI will immediately begin running large-scale training and inference operations on AWS, gaining access to hundreds of thousands of NVIDIA GPUs hosted on Amazon EC2 UltraServers, along with the ability to scale across tens of millions of CPUs over the next several years.
“Scaling frontier AI requires massive, reliable compute,” said Sam Altman, OpenAI’s CEO. “Our partnership with AWS strengthens the broad compute ecosystem that will power this next era.”
A Structural Shift Toward Multi-Cloud AI
This marks the first formal infrastructure partnership between OpenAI and AWS. Since 2019, Microsoft has provided the primary compute backbone for OpenAI, anchored by a $13 billion investment and multi-year Azure commitment. That exclusivity expired earlier this year, opening the door to a multi-provider model.
AWS now becomes OpenAI’s largest secondary partner, joining smaller agreements already in place with Google Cloud and Oracle, and positioning itself as a co-equal pillar in OpenAI’s global compute strategy.
“AWS brings both scale and maturity to AI infrastructure,” noted Matt Garman, AWS CEO. “This agreement demonstrates why AWS is uniquely positioned to support OpenAI’s demanding AI workloads.”
Infrastructure Scope and Deployment
The deployment will include clusters of NVIDIA GB200 and GB300 GPUs linked through UltraServer nodes engineered for low-latency, high-bandwidth interconnects. The architecture supports both model training and large-scale inference, applications such as ChatGPT, Codex, and next-generation multimodal systems.
AWS has already begun allocating capacity, with full deployment expected by late 2026. The framework also includes options for expansion into 2027 and beyond, giving OpenAI flexibility as model complexity and usage continue to grow.
Continued Microsoft Collaboration
Despite the AWS deal, OpenAI maintains its strategic and financial relationship with Microsoft, including a separate $250 billion incremental commitment to Azure. The move reflects a deliberate multi-cloud posture, a strategy increasingly favored by large-scale AI developers seeking to balance cost, access to specialized chips, and platform resiliency.
Implications for Supply Chain and Infrastructure Leaders
This announcement underscores several macro-trends relevant to logistics and industrial technology executives:
AI Infrastructure Is Becoming a Supply Chain of Its Own
 Cloud capacity, GPUs, and networking fabric are now constrained global commodities. Long-term compute contracts mirror procurement models traditionally seen in manufacturing or energy, locking in scarce resources ahead of demand.
 Multi-Cloud Neutrality Reduces Vendor Lock-In
 The shift toward multiple cloud providers parallels how diversified sourcing reduces single-supplier risk. Expect enterprise buyers to apply similar logic when procuring AI infrastructure and software services.
 Operational AI at Scale Requires Cross-Vendor Interoperability
 As companies like OpenAI distribute workloads across ecosystems, interoperability standards, ranging from APIs to data-plane orchestration, will become critical for continuity, performance, and governance.
 CapEx Discipline Returns to the Forefront
 With multi-year AI compute deals now exceeding $1.4 trillion in aggregate commitments across the sector, CFOs and CIOs are under pressure to evaluate utilization efficiency and long-term ROI of their AI infrastructure spend.
Broader Market Context
AWS’s win follows similar capacity expansions with Anthropic and Stability AI, but this partnership represents its highest-profile AI infrastructure engagement to date. It also signals that OpenAI intends to maintain independence in its technical roadmap, balancing strategic investors with diversified operational suppliers.
The timing is notable: OpenAI recently restructured its governance model to simplify corporate oversight, a move analysts interpret as preparation for a potential IPO that could value the company near $1 trillion.
AWS stock rose approximately 5 percent following the announcement, reflecting investor confidence in the long-term demand for AI-class compute.
Outlook
For the logistics and manufacturing sectors, the implications extend beyond software. The same GPU-based data centers that train language models are also powering digital twins, simulation models, and optimization engines increasingly embedded in supply chain planning.
As hyperscalers compete for AI workloads, enterprises should expect faster innovation in distributed computing, lower latency connectivity, and new pay-as-you-go models designed for AI-intensive industrial applications.
Summary
The $38 billion OpenAI–AWS partnership marks a decisive end to Microsoft’s exclusivity and a broader normalization of multi-cloud AI ecosystems.
 For technology and supply-chain leaders, it serves as a reminder: compute itself has become a strategic resource, one that must now be sourced, diversified, and managed with the same rigor once reserved for physical inventory.
The post OpenAI and AWS Forge $38B Alliance, Microsoft Exclusivity Ends, New Multi-Cloud AI Compute Era Begins appeared first on Logistics Viewpoints.
 
 Join us for Tomorrow’s Webinar: Building a Sustainable Supply Chain: Turning Commitments into Competitive Advantage
 Stellantis: $13 Billion, 5,000 Jobs, and a New U.S. Manufacturing Strategy, Reshaping the North American Supply Chain
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