1 Billion More Square Feet of Industrial Property Used for Online Sales

Prologis, the logistics facilities giant, estimates retailers of all sizes will require 1.2 million square feet of distribution space for each $1 billion in sales. That means e-commerce requires three times the space as traditional distribution, according to the developer.

The $602 billion that retail data firm Digital Commerce 360 logged in 2019 for e-commerce sales and an estimate of 20% online sales growth in 2020 alone and beyond adds up to a hefty $1.5 trillion in sales by 2025, by JLL’s calculations.

By then, estimates are that e-commerce sales, still in the mid-teens in terms of the overall piece of the retail sales pie, will jump to 30% of all sales by 2025, according to Craig Meyer, JLL’s president of industrial services and a 40-year industry veteran.