What breathes soul into the universe, gives wings to the mind, fuels the imagination, and adds charm and gaiety to life? It’s not logistics (although I could make a strong argument for that!). In fact, this is how the Greek philosopher Plato described music. Societies across the globe and throughout history have universally recognised the cultural value of music.
The gramophone was invented in 1887, the tape cassette in 1962, and the Compact Disc or CD in 1982, providing generations with access to recorded music. Since 2004, however, streaming and digital downloads have become the standard for billions of listeners. By 2015, less than a quarter of music in the United States was purchased on physical media, and in 2021, Kings of Leon became the first band to release an album as a ‘non-fungible token’ using blockchain technology. Consequently, record labels may seem less viable, and the role of warehouses in this sector might appear to be declining, but my latest warehouse visit proved otherwise.
Over the past decade, sales of physical music have increased more than four-fold in the UK. Today’s fans often buy vinyl as ‘merch’ even if they don’t own a record player! In the first half of this year alone, Taylor Swift’s number one album “The Tortured Poets Department” sold over 250,000 physical copies in the UK. The music industry’s trade press indicates that the return of HMV to its original flagship store on Oxford Street last November is another sign of the growing demand for physical formats.
Retailers such as HMV, Amazon, and more than 450 indie record shops rely on the fast and accurate distribution services provided by Utopia Distribution Services Limited (UDS), a subsidiary of the Swiss firm Utopia Music AG. UDS has acquired other distributors, including Proper Music in January 2022, and with backing from Sony and Universal—two of the three biggest global record labels—they outsourced warehousing to UKWA member company DP World last year. Now, they have opened a dedicated DC (Distribution Centre) in a brand new 270,000 sq ft Tritax warehouse near Bicester. Remarkably, three-quarters of all physical entertainment products for the UK are distributed through this site, with about 80,000 units despatched daily, and capacity for 250,000 in peak.
This operation is made possible by a dedicated workforce, a fleet of over 80 autonomous mobile robots (AMRs) from Locus Robotics, and an innovative storage solution from Storeganizer. The 105,000 flexible pickfaces hang from sliding rails, three-deep in the racking, allowing for dense storage, efficient handling of small items, and speedy picking—perfect for this product range. As back-catalogues expand and nothing is ever de-listed, UDS, in collaboration with DP World, has ambitious plans to take on even more work at this site.
The digital age has transformed the way we consume music, but despite the evolution of technology, there is still a significant place for physical music in our lives, requiring supply-chains supported by sophisticated logistics and warehousing operations. This was an educational and entertaining visit!
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