Warehouse automation speeds up retail deliveries

The automation of warehouse and logistics processes is setting new standards for speed, efficiency, and delivery reliability in the retail sector. Companies like JD Logistics, Kaufland, and Thalia are already demonstrating how robotics and AI can drive maximum performance across the supply chain.

JD Logistics, the logistics arm of JD.com, has entered the South Korean market with two fully automated logistics centers in Icheon and Incheon. From these locations, the company offers third-party logistics services and integrated supply chain solutions, with delivery times as short as 12 hours in the greater Seoul area.

The Icheon center uses AI-powered inventory optimization, automated sorting and packaging systems, and a special batch inventory system for food products. The Incheon center handles goods for local beauty brands and global consumer goods manufacturers. Through its JD Worldwide cross-border platform, JD Logistics also connects South Korean products directly with Chinese consumers.

Kaufland operates one of the most advanced logistics centers in Germany’s grocery retail sector in Geisenfeld, a town in Bavaria, southern Germany. After several years of expansion, the high-bay warehouse has been operating largely fully automated since September 2024. At a height of 30 meters, shuttles move goods in and out, while robotic arms pick over 200,000 shipping units daily. Autonomous transport vehicles deliver pallets to the outbound shipping area.

According to Kaufland, the system enables higher capacity without using additional space and significantly improves delivery reliability. In the food segment alone, about 185,000 shipping units are picked automatically each day. An additional system handles up to 50,000 units of fruits and vegetables. Employees are relieved from physically demanding tasks and are increasingly taking on tech-focused roles. Notably, 90% of the skilled staff required for operations come from internal training programs.

Rhenus Group and Thalia are also pushing for full automation. In Hörselgau, a village in central Thuringia, Germany, they’ve opened a state-of-the-art omnichannel hub featuring one of the world’s most powerful AutoStore systems. On 8,000 square meters of space, 240,000 containers are managed by 530 robots. The system delivers extremely short processing times, high storage density, and reliable order fulfillment – even during peak seasonal periods.

In addition to books, the hub also handles Thalia’s growing non-book assortment, such as toys. Automated packaging and close collaboration between robots and skilled workers aim to secure Thalia’s omnichannel growth over the long term and create a strong competitive edge.

Whether it’s Kaufland, Thalia, or JD Logistics – highly automated logistics centers shorten delivery times, improve fulfillment quality, and give retailers the flexibility they need to compete long term. As competition intensifies, price pressures grow, labor shortages persist, and customer expectations for speed and availability rise, warehouse automation is becoming a key strategic success factor for the retail industry.