At any given time, nearly 25% of all warehouse space in the U.S. sits empty or is underutilized. That adds up to billions of square feet of unused space. Prior to Chunker there was no way to generate revenue from that space, so businesses typically just keep paying the rent while they try to fill it using their normal channels. This has a negative effect on their business because profits are reduced and capital is wasted.
On the other hand, there are businesses in all markets that need extra space on a short-term basis due to fluctuating inventory, seasonality, forecasting issues, supply chain disruptions and many other reasons. Because their needs are short-term, they aren’t looking for a long-term solution, so their options are very limited.
Chunker has created an Airbnb style marketplace for warehouses that enable companies with currently underutilized warehouse space to be matched with companies that need short-term space, solving both of their problems easily and efficiently.
Chunker’s vision is to optimize the use of warehouse space across the globe with its unique warehouse sharing platform. The platform supports the entire deal lifecycle, including the actual legal documents, electronic signatures, and automated, electronic payments. This makes it as easy as possible to find a warehouse and procure it for short-term use.
Chunker’s mission is to create the largest warehousing company in the world without owning a single square foot.
Chunker values include a deep commitment to its customers on both sides of the transaction, hustle, boldness, integrity, ownership, and taking action. We live by these values daily as we serve our customers and the market.
Brad Wright, CEO, shares more about life at Chunker.
What are the prominent services, products or solutions that your company offers?
Chunker is transforming traditional warehousing by delivering a unique warehouse marketplace that connects organizations needing space on a short-term basis with those that have excess space. Owners, tenants and 3PLs can now monetize unused space while other businesses needing temporary space can search, locate and book space fast. Chunker includes all tools needed to get deals done including capturing digital signatures and distributing funds.
What are your views on current scenario of Supply Chain Solution industry?
The pandemic has upended nearly every aspect of life, from the personal to the professional. The global supply chain is no different. With so many vertical markets impacted by the effects of covid-19 with either overloaded warehouse space from high demand products to extreme slowdowns of nonessential goods. Both have heightened the need for short-term warehousing solutions, and we believe the following should be considered as we look forward.
- More shoppers are moving to e-commerce solutions causing an accelerated rise in use of warehouse space and the need for short-term space.
- More trucks have been on the highway transporting essential products to regions and communities around the country. Many have had nowhere to park their load.
- Optimizing the use of warehouse space has become more critical than ever. Incorporating short-term strategies can assist in this move.
- Having an agile approach will also be critical keeping the overall supply chain more flexible and better situated to respond to crisis.
- Higher use of technology and digital tools is the future of supply chain management.
How is the company utilizing technology to ensure that the supply chain is optimized and efficient?
Chunker simplifies supply chain management by utilizing its virtual warehousing marketplace that can be accessed anytime, anywhere, and from any internet enabled device. This makes the chore of locating and securing short-term space and securing inventory a realistic and painless task while solving these issues in real-time.
The COVID-19 pandemic has enforced a ‘new normal’. How, according to you, will the industry change and modify its workings to meet the new requirements.
It was recently stated by an Industrial Specialist with the SIOR Carolinas Chapter that, “Demand for short-term space is at an unprecedented high. Some companies seem to continue to delay making long-term decisions.” At Chunker, we believe this will be a key part of our “new normal”and that short-term deals will become common place among companies managing their supply chain so that they can become more efficient and more agile.
Source: SIOR Snapshot Sentiment Survey, Sept 2020
Where do you envision your organization to be in the long run and what are your future goals?
We envision Chunker to be the largest warehousing company in the world in the future and the default, go-to place to solve immediate, short-term warehouse needs. This will also mean almost instant cash generation for warehouse space providers in almost any market.
With over 20 million square feet of short-term listings available today on Chunker, and 20 million more in the pipeline, Chunker is quickly making that vision a reality.
Users are already using the Chunker name as a verb by making statements like, “We plan to Chunker our excess space in all locations”. As a result of Chunker, the future means better use of warehouse space, optimization of space, and fewer long-term deals where it doesn’t make sense, filling the gap for temporary needs that has existed for a long time.
Chunker’s primary goal is to continue to push the edge of technology to make it easier, faster, and more affordable to do short-term deals, which in turn will help all of its customers be leaner and more agile, and in the process become more profitable.
About the Leader
As a founding partner of Chunker, Brad had a clear vision early on of what the industrial real estate market was missing with regards to so much unused warehouse space. In addition, tenants were constantly forced to make long-term agreements even when it did not make sense for them. Brad immediately got to work with ambitions to solve the problem utilizing an online marketplace where short-term supply could connect with short-term demand. The concept wasn’t new but the idea of an online marketplace where parties could connect, and deals could get done was.
After 18 months of designing and coding, the Chunker warehousing marketplace was launched quickly becoming the Airbnb of warehousing. Today Brad is seen as a pioneer and industry thought leader on warehouse sharing and the reality of the short-term deal. As CEO of Chunker, Brad oversees the vision and operation of the business as well as leads the sales and marketing charge. He also continues to drive product direction and development.