< Previousthe East Midlands has been the dominant region for the past two and a half years, accounting for 7.4 million square foot in 2019. Overall, there was activity across a broad range of sectors during 2019, however non-food retail, third party logistics and the manufacturing sector dominated. “Now there is a clearer political outlook, we are seeing greater business confidence, a release in pent-up demand and more transactional activity,” said Robert Rae, Principle and Managing Director of Avison Young. “We expect this to continue, certainly for the first half of 2020. A number of companies will bring forward their property plans which we expect to be reflected in healthy take-up figures.” Despite this, there hasn’t been many new logistics and distribution builds announced in the East Midlands this year, with much of the activity in this market over the last couple of months focussed instead on existing facilities changing hands or taking on new occupiers. One of the biggest of 2020 so far, however, saw supermarket Aldi open its eleventh and largest distribution centre in the village of Sawley in Derbyshire. According to Giles Hurley, CEO of Aldi UK & Ireland, the £64 million, 600,000 square foot site “significantly increases our capacity and allows us to open even more stores across the East Midlands…” The site is part of the retailer’s planned £1 billion investment in 2019-20 in new stores, store upgrades and its distribution capabilities. This major investment will serve its growing footprint here in the East Midlands having last year announced plans to open three more stores in the region. The first, in Stapleford, Nottinghamshire opened in 2019, while the other two, in Edwalton and Bulwell, both also in Nottinghamshire, are scheduled to open later this year. With more certainty regarding parliament and, crucially, the UK’s trading future with the European Union, investors and occupiers can now more realistically consider longer-term planning. This is good news for landlords, operators and owners of logistics and distribution schemes and for our region which continues to be among the very best for logistics and distribution. 20 East Midlands Business Link www.eastmidlandsbusinesslink.co.uk COMMERCIAL PROPERTY © SHUTTERSTOCK.COM / PETINOV SERGEY MIHILOVICH © SHUTTERSTOCK.COM / ALEXANDR MEDVEDKOV 18-21.qxp_Layout 1 04/03/2020 09:42 Page 329th April 2020 A well targeted event aimed at the Construction, Property, Business, Investment, Finance, Professional Services and related B2B markets. It has everything you require for a great day of networking and business generation. Face2face route2market – the opportunity to meet more potential clients in one amazing cost effective day, than it would take months out on the road. As the exhibition closes (circa 2pm), we will roll directly into an informal network lunch, with paybar – tickets are just £25 plus vat and can be ordered and paid for directly online. For further Information contact tina@businessshowsgroup.co.uk Register now businessshowsgroup.co.uk 29th April 2020 The Bentley Hotel, Newark Rd, South Hykeham, Lincoln LN6 9NH Exhibition & Network - Property & Construction related industries - FREE TO ATTEND 18-21.qxp_Layout 1 04/03/2020 09:43 Page 4“Half the money I spend on advertising is wasted; the trouble is I don't know which half.” You’ve probably heard this HILARIOUS observation attributed to John Wanamaker, the chap behind the department stores that eventually became part of the iconic Macy’s. Good old John is described as a marketing ‘pioneer’ and back in the 1800s that is probably fair. However, that kind of thinking about marketing in today’s world is anything but OK, with all manner of clever digital monitoring, re-marketing and tracking options now available. Having said that, it is totally understandable, as for many people in business it can all seem a little overwhelming. The thing is though, it really doesn’t have to be THAT complicated, if you really ‘Wanamaker difference’ to your marketing ROI (see, I’m equally HILARIOUS John), start with the basics. You need to ask the simple question, ‘’how did you hear about us/me?’’ Now, stay with me, as although this sounds bleeding obvious, I bet many people don’t ask this. In fact, let’s go with John’s estimate and say half of you reading this don’t have this process down. I say ‘process’ because that is what it needs to be. It needs to be part of the day-to-day data gathering and decision making in the business. A lot of this can be done automatically if you are embracing a fully integrated digital marketing strategy but the good news is you can start with the basics by simply getting the team to ask this simple question each and EVERY time they deal with 22 East Midlands Business Link www.eastmidlandsbusinesslink.co.uk PUBLIC RELATIONS By Greg Simpson, founder of Press for Attention PR and Enterprise Nation Champion for Nottingham 22-23.qxp_Layout 1 03/03/2020 10:11 Page 1www.eastmidlandsbusinesslink.co.ukEast Midlands Business Link 23 PUBLIC RELATIONS an enquiry. I am acutely aware of this at the moment because I am in the process of making a major purchase for the business and whilst I am weighing up my options, I am also noting how many or indeed how few businesses actually ask this simple question. I don’t get out much. After three weeks of solid research I have settled on my provider and one of the reasons why I did was because they asked me this question IMMEDIATELY having followed up my initial email IMMEDIATELY. I was doubly impressed because they are showing me that they are on the ball with their business development, attention to detail and marketing in terms of speed but also in terms of accuracy. It turned out that I had seen their brand a few times, once on a calendar poster a few months back which was supporting the local pub football team and once or twice on the side of a bus more recently. Now, the two marketing investments there differ hugely in their value but the key thing here is that this chap wanted to know what was working. He didn’t assume it was the calendar, or word of mouth, or Google, or the bus, although he IS doing all of these things. He took 30 seconds to politely ask me what percentage of his marketing is working and now he can make an informed marketing decision again based on the facts, not the feeling. Pioneering it ain't but it works. 22-23.qxp_Layout 1 03/03/2020 10:11 Page 2FREIGHT, STORAGE & MOVEMENT CUTTING THE COSTS OF © SHUTTERSTOCK.COM / MILOS MULLER transport The transport and logistics industry is a go-to location for cutting costs, but how much further can the industry be stretched? 24 East Midlands Business Link www.eastmidlandsbusinesslink.co.uk CUTTING THE COSTS OF transport 24-26.qxp_Layout 1 03/03/2020 10:56 Page 1Transport remains one of the most costly and complicated parts of the supply chain for many in the East Midlands and is often seen as the go-to location for cutting costs, improving efficiency – or limiting environmental waste. Over the years, however, the industry has been squeezed so much, not only by companies looking to cut costs – but also ever-increasing costs of fuel and tax related to it. While more recent cuts in the cost of oil have had a beneficial effect on the industry, suppliers were quickly expected to pass those savings on to their customers. And yet the demand for logistics and transport is only increasing, in correspondence to the increased demand for products to be delivered ever- closer to our doors, and fresher than ever. One of the big questions faced by many manufacturers in this situation – one of needing to transport perishable goods more often to meet freshness quotas, is whether they should seek to increase their transport fleet – and all the costs associated with it. Or whether they should look to invest in more facilities closer to the destination, usually in the form of warehouse or storage space. While the latter certainly sounds like the most efficient long-term option, it is by far the more costly one – which is a direct result of the supply and demand for high quality warehouse space at this time. Simply put, there is not enough Grade A warehouse space to go around, and when companies are dealing with large quantities of goods such as perishable food or pharmaceuticals, products that need to be kept at a regulated temperature, there really is a necessity for the warehouse space to be of the highest quality. As the available space decreases, chances are the cost of rental will increase. And this only gets worse when we consider that consumer demand for fresher and more immediate goods is not likely to slow in coming years. In fact, with it being predicted that by 2050 the population of the world will top nine billion, with over 65% of that living in urban areas… well, the logistical nightmare is expected to get worse. The other option, then, is to consider expanding transport fleets to accommodate for the increased demands, with more goods on the road at any given time to keep product in the retail stores fresh. While this will certainly avoid the issue of limited warehouse space, the long-term costs of such an arrangement may become untenable for many manufacturers. Expanding a fleet not only increases fuel and vehicle related costs – but also recruitment costs for drivers, wages and associated HR and administration costs. There is also the issue of environmental impact and carbon waste created by a fleet. Many companies are seeking to combat the issue through a combined approach, both of improving the efficiency of their existing transport fleets – while also better utilising existing warehouse space. Intermodal transport is a popular method utilised predominantly in the US – but also in Europe as well. East Midlands Business 25 FREIGHT, STORAGE & MOVEMENT 26 Á www.eastmidlandsbusinesslink.co.uk 24-26.qxp_Layout 1 03/03/2020 10:56 Page 2The guiding principle is to mix multiple forms of freight transport to achieve a net reduction in costs, be it energy or capital. The typical example would be to use rail to shift huge quantities of goods to a given warehouse closer to the final destination – before then having lorries ferry the goods the last distance into urban areas. While this can obviously save many thousands of road miles there is the issue of rail availability, especially in the UK. The reason why it is so prevalent in America is thanks to their abundance of flat land that is suitable for rail. UK rail systems are often not as well developed – and while that hasn’t stopped companies such as Tesco utilising rail for intermodal logistics, it does mean companies are somewhat limited in location. Being forced to settle warehouses where the rail links are strongest. Savings on warehouse space can be found in improving efficiency to increase the amount of product that can be stored in any given amount of space. Advanced racking solutions, combined with more robust supply chain systems enable companies to increase throughput while also cutting costs associated with lost time or product losses. As always, the trick is in finding out exactly how much is possible given space limitations – and adapting what can be used for a company’s products, be they palletised goods – or more individually stacked produce. Even beyond efficient storage however is the concept of efficient temperature control. With the vast majority of products needing to be kept at specific temperatures there are obviously savings that can be made in doing so. After all it is more expensive to reduce the temperature of a storage facility, than it is to maintain it. Any losses in temperature due to breaches, poor worker attention to detail – or just old age, will result in costs that can soon spiral out of control. Little has changed in terms of the challenges the industry faces, but as it always has – the technology continues to adapt. Failure to keep in touch with these changes and take advantage of opportunities that present themselves may mean disaster for many. FREIGHT, STORAGE & MOVEMENT © SHUTTERSTOCK.COM / INDUSTRYVIEWS 26 East Midlands Business Link www.eastmidlandsbusinesslink.co.uk Carters offer seventy-plus years of cold store expertise Offering UK wide national coverage, the company’s dedicated installation and project management teams will support any client requirement. Its solutions range from small convenience operations through to distribution centre scale cold rooms and chambers. Working closely with its other group businesses, Carters can support the delivery of the plant, cold room, and associated electrical, mechanical and refrigeration services on site. Its teams also install ripening rooms, Clinical and test environments, mortuaries as well as providing fire cladding and compartmentation to new and existing properties. Carter Coldstore Systems provides its customers with a total solution for back of house cold storage. It is widely recognised as one of the UK’s leading companies in this field and offers a complete service including manufacturing, design & development, project management, installation and after sales service, as well as bespoke designs for customers with specialised requirements. Companies can trust in Carters as they’re accredited with the British Refrigeration Association, Safe Contractor Approved, ISO 9001, ISO 14001, and Altius accredited, and ROSPA Gold Award winners. Find out more contact Carters’ Coldstore division by emailing Sales@cti-ltd.co.uk or by calling 0121 250 1000. 24-26.qxp_Layout 1 03/03/2020 10:56 Page 3MATERIALS AND COMPONENTS www.eastmidlandsbusinesslink.co.ukEast Midlands Business Link 27 © SHUTTERSTOCK.COM / STOCKCREATIONS As a key contributor to waste and CO2 emissions, the building materials and components sector is seeking new eco options. A critical issue impacting the building materials and components industry is sustainability, with a major need to improve environmentally friendliness to mitigate climate change. The joint government and industry strategy Construction 2025 has set out targets for halving construction related emissions whilst reducing project delivery times and construction costs. UK construction uses over 400m tonnes of material annually and is thus the nation’s biggest consumer of natural resources, but it also wastes approximately 100 million tonnes of this. Further, construction is accountable for sixty per cent of total UK waste generated. In addition the energy needed to construct and run buildings accounts for almost forty per cent of global carbon emissions, with eleven per cent associated with building materials and construction. If we single out cement, this one material is the source of eight per cent of global CO2 emissions. The development and use of sustainable materials and components with lower embodied carbon is skyrocketing in importance with architects and builders seeking a greener future where buildings are improved past simply adding solar panels and biomass boilers. The ancient building material cob, which is a mixture of straw and soil, is having a resurgence, and can be produced without 28 u Sussing out options 27-29.qxp_Layout 1 03/03/2020 10:17 Page 1the CO2 intensive processes employed for materials like steel, concrete and cement. Cob has been utilised for homes for hundreds of years in England, however with somewhat weak structural and thermal characteristics it has been overlooked recently, failing to meet regulations. However, the University of Plymouth has created new cob mixes, re-engineering the material to meet today’s regulations, with the University’s cob better trapping heat. As cob doesn't need to be heat treated and can be made from soil sourced at a building site, the possibility of building more sustainability is unlocked, with reduced construction waste and carbon emissions in comparison to using conventional masonry materials. The cob material is to be piloted by selected architects. Many are also looking at the potential of constructing buildings from mycelium, a dried fungus made into bricks that are biodegradable, low density and thus lightweight, hold strong insulation properties and are fire resistant. Sourced from agricultural waste, the process of creating mycelium materials involves biological growth, which is less expensive than high energy consuming manufacturing. Mycelium materials have already been analysed for uses such as building insulation. Naturally fire-retardant straw bale also has its place as a renewable resource for a variety of uses from replacing concrete, plaster and wood to fibreglass and insulation. Indeed house builders are increasing their use of the material, stacking bales and plastering them with clay or lime, to make buildings water resistant. Cork is another material up for consideration in eco-friendly construction. Made from the tree bark of cork oak, it does not rot or absorb water and is fire resistant as well as durable and lightweight, reducing transport pollution. With noise absorption properties, the renewable and recyclable source can be, and is, used well as flooring and insulation. The use of cork however is widening with solid bricks of expanded cork used to construct homes. Moreover, unlike tree felling for timber, cork oak is stripped by hand every decade, meaning the tree is left unharmed, and waste cork from various industries can be utilised. However, cork is often shipped from the Mediterranean, which may depreciate its green credibility for importers. Bricks made with cigarette butts are also on the cards. Australian researchers have found that in adding cigarette butts to bricks one can reduce the amount of time and energy required to bake them in traditional methods. Infusing just one percent of cigarette waste in fired- MATERIALS AND COMPONENTS 28 East Midlands Business Link www.eastmidlandsbusinesslink.co.uk © SHUTTERSTOCK.COM / RAWPIXEL.COM 27-29.qxp_Layout 1 03/03/2020 10:17 Page 2clay bricks saves approximately nine percent of energy required to fire them and doesn't affect brick quality. Strong insulators, using the cigarette butts also makes use of a significant waste source - 1.2 million tonnes of cigarette butts are thrown away each year. Further innovations include transparent wood, timbercrete, hempcrete and more - the development of sustainable building materials and components is truly expansive. Alongside new alternatives, recycled materials are coming into focus, including use of recycled concrete, with recycled bricks and reclaimed wood commonplace already. A group of infrastructure organisations (the Major Infrastructure - Resource Optimisation Group) in the UK has called for the creation of a national resource exchange mechanism (REM) to enable the trade of surplus components and building materials, and encourage reuse of materials in construction, reducing waste, costs, environmental impact and creating a circular industry. The group’s white paper highlights that the mass spread of digitalisation in construction will make the formation of a REM easier. Real time data tracking will help in the trade of materials between projects and give REM users frequent information of what materials are available. Offsite and eco-friendly modular construction is another way in which the industry’s carbon footprint issues are being addressed, with conscious specification and use of sustainably produced and local materials. With advances in lightweight but insulative materials, and the current high demand for housing, modular construction has increased in popularity, whether it be employed for a house or office. Presenting increased construction speeds, offsite construction also offers a highly controlled method of planning and constructing buildings. Error is minimised, stringent quality control made easier with factory manufactured units and eco-friendly process planning and designing is enabled. Offsite construction in a factory also facilitates waste reduction as the sections of each building are created with precision, using only what is required, removing the chance of over ordering and other waste factors. Sustainability can still certainly be affected by the transport of modular components if building sites are a far distance, thus it is important that they are sourced and made as locally as reasonable. As modular building grows, there will be purpose for more modular building factories, allowing them to be produced closer to developments to diminish transport emissions. Aside from the environmental challenge to the building materials and components sector, new bans and legislation are causing controversy. For example, warnings have been given over the damage to the structural timber sector Government’s plans to tighten the ban on combustible material on external walls of buildings will do. The ban will affect materials such as cross laminated timber which has a lower carbon footprint than materials like concrete, masonry and steel. It would reduce the height of the ban from 18m to 11m, which could affect many more residential developments. The sector will continue to face challenges throughout 2020. Aside from legislation and environmental consciousness, it will also be waiting for confirmation and reassurance that construction companies will be able to access the EU building materials market without costly tariffs. East Midlands Business Link 29 www.eastmidlandsbusinesslink.co.uk MATERIALS AND COMPONENTS 27-29.qxp_Layout 1 03/03/2020 10:17 Page 3Next >