Site Selection and Accessibility

Site selection determines delivery times, shipping costs, and the efficiency of goods receipt. A seemingly cheap location can end up costing more in the long run than a logistically optimal site due to long travel distances, poor carrier connectivity, or a lack of available staff.

Why Accessibility Is the Decisive Factor

Accessibility encompasses more than proximity to the highway. In the fulfillment context, it means the overall ability to load and unload goods quickly and cost-effectively, and to deliver them to end customers. This includes connectivity to carrier depots, proximity to customer clusters, accessibility for truck deliveries, and commute times for warehouse staff.

The Four Dimensions of Accessibility

1. Customer accessibility: How many orders can be delivered within 24 or 48 hours using standard shipping?
2. Supplier accessibility: How quickly does goods arrive at the warehouse from wholesalers, manufacturers, or import ports?
3. Carrier accessibility: How close are sorting centers, pickup points, and express hubs?
4. Workforce accessibility: Are there sufficient skilled workers for picking and shipping in the region?

Those who only consider customer proximity often overlook that a location with optimal last-mile connectivity is worthless if suppliers cause daily traffic jams on the access road or carriers only pick up in the late afternoon. Accessibility is a system comprising all four dimensions.

Location Types Compared

Germany typically offers four location categories for e-commerce fulfillment. Each has specific advantages and disadvantages regarding accessibility and costs.

Customer Proximity vs. Supplier Reachability

The classic location question is: closer to the customer or closer to the supplier? The answer depends on the business model.

When Customer Proximity Dominates

For pure B2C e-commerce with high order volume and promises such as same-day and next-day, the last mile takes priority. Every hour saved in transport between warehouse and customer reduces shipping costs and increases next-business-day delivery rates. Retailers with predominantly urban customer bases benefit from locations in or near major cities.

When Supplier Proximity Dominates

If you import container goods via Hamburg, Bremerhaven, or Rotterdam, connectivity to ports and customs locations matters. A warehouse in southern Germany saves little on customer delivery but costs significantly more in transport and time with every container transfer. For import-driven models with infrequent but high-volume goods receipt, supplier proximity may be the better choice.

The Middle Ground: Central Location

Most growing online retailers choose a compromise: centrally located in Germany, with good highway connectivity and multiple carrier depots within a 30-kilometer radius. This keeps both delivery times and goods receipt costs within an acceptable range.

Check Carrier Connectivity

Without reliable carrier connectivity, every location advantage is lost. Before signing a lease, you should specifically inquire about and document the local logistics infrastructure.

Carrier Accessibility Checklist

• Distance to nearest DHL/DPD/GLS/Hermes sorting center noted
• Daily pickup times and cut-off times of all relevant carriers clarified
• Express pickups (same-day) at the location verified as possible
• Truck access (low-loader, semi-trailer) available
• Number of loading docks and waiting times at the location sufficient
• Return shipments to carrier possible without detours
• Peak season capacities (Black Friday, Christmas) coordinated with carriers

Check Transport Connectivity

During site visits, systematically check:

1. Highway access: Maximum 10–15 minutes to the nearest A or B road without driving through town centers
2. Peak traffic hours: Test driving time to carrier depot during morning rush hour
3. Public transport: Relevant for shift workers without their own vehicle
4. Parking: Sufficient space for employees and visiting trucks
5. Construction and long-term roadworks: Research regional traffic planning for the next 2–3 years

Make Delivery Times Measurable

Location decisions should be based on data, not gut feeling. Create a simple delivery time simulation for each location candidate.

How to Simulate Delivery Times

1. Export the postal codes of the last 1,000 orders (anonymized)
2. Determine the distance to the carrier depot and driving time for each location candidate
3. Add warehouse processing time (e.g., 4 hours until cut-off) and carrier transit time
4. Calculate the share of orders with next-day and two-day delivery per location
5. Compare the results with your customer expectations

A location in northern Germany can be suboptimal for a customer base in Bavaria – and vice versa. Those selling nationwide need either a central location or a multi-location concept with multiple shipping points.

Balancing Costs and Accessibility

Low rent is attractive, but high shipping costs and longer delivery times reduce margins and jeopardize customer retention. The total cost analysis must include location rent, shipping costs per parcel, personnel costs, and opportunity costs from delayed deliveries.

Typical Cost Drivers by Location

• High accessibility, high rent: Metropolitan areas – but lower shipping costs and better delivery times
• Low rent, poor accessibility: Peripheral locations – higher line-haul costs, longer transit times
• Central location, moderate rent: Logistics triangle – often the best ratio for nationwide B2C shipping

A break-even analysis helps find the point at which higher rent costs are offset by saved shipping costs and higher conversion. Calculate at least 12 months of order history and consider growth scenarios.

Practical Example: Three Locations Compared

A fashion retailer with 500 orders per day compared Cologne-Ehrenfeld, Kassel (logistics triangle), and East Westphalia. The simulation yielded:

Kassel won despite relocation costs: 0.35 euros saved in shipping costs per parcel resulted in over 60,000 euros in annual savings.

Decision Process in 6 Steps

Step-by-Step Guide

1. Create data foundation: Document order postal codes, supplier locations, current shipping volume, and seasonal peaks
2. Select 3–5 candidates: Different accessibility profiles (central, customer-near, cost-effective)
3. Check carrier and transport: Checklist on-site or via inquiry with landlords and carriers
4. Run simulation: Calculate next-day rate and shipping costs per candidate
5. Compare total costs: Rent, utilities, shipping, personnel, investments over 36 months
6. Visit and negotiate: Inspect building, loading docks, expansion potential; lease agreement with exit clauses

Checklist: Complete site selection

• Postal code analysis completed
• At least 3 locations compared
• Carrier pickup times confirmed in writing
• Delivery time simulation documented
• Total costs calculated over 36 months
• Truck access verified
• Labor market analyzed
• Returns logistics considered
• Peak capacity coordinated with carrier
• Moving and setup costs planned

Site Selection as a Competitive Lever

Faster delivery at lower costs strengthens ratings and supports premium shipping options. Those who plan accessibility strategically create the foundation for competitive advantage through logistics. Avoid typical mistakes: pure rent price comparisons, using a garage as a permanent solution without carrier pickup, missing seasonal planning, and verbal carrier commitments without written confirmation.

Frequently Asked Questions About Site Selection

Is my hometown sufficient? Only with a matching customer base and carrier connectivity – specifically check next-day rate and pickup times.

When to open a second warehouse? From approximately 1,000 parcels/day or when 40% or more of your customers are in a different region.

Relocate later? Possible, but expensive – plan thoroughly from the start and take at least a 3-year perspective.

Related Topics

• Warehouse Location and Infrastructure
• Customer Expectations and Delivery Times
• Last Mile
• Same-Day and Next-Day
• Break-Even Analysis

Last updated: July 6, 2026