dhl Supply Chain, part of the Deutsche Post dhl Group, has been selected by boohoo group plc to manage its first US distribution centre. dhl Supply Chain will provide best-in-class warehousing solutions to boohoo, which has annual sales of more than US$2.4 billion, to support the company’s expected growth in the US market.
As boohoo grows in popularity across the US, dhl Supply Chain will lead the operation of a new 1.1 million square foot distribution center in Elizabethtown, PA, southeast of Harrisburg. The location, expected to open in early 2023, will allow the company to offer next-day delivery to the fashion brand’s key customer area, the New York City metro area.
“While boohoo has been serving the US through its existing network in the UK since 2006, the company’s growing order volumes and customer demand in recent years have made the US-based distribution center a direct-to-consumer fulfillment center. Necessity ,” said Kraig Foreman, President, E-Commerce, Supply Chain, dhl. “Their new facility will reduce shipping costs, improve service, increase flexibility and speed, and get the latest trends into the hands of customers faster. We are proud to partner with boohoo as they are investing in the US market and building for future growth Prepare.”
dhl Supply Chain will employ 1,000 people in the state-of-the-art warehouse in the first year and expects to employ nearly 2,500 people in the next three years. The site will feature a variety of amenities including a kitchen/canteen where food is prepared fresh daily, as well as an on-site gym and events area. The site will also include a recruiting and training center for faster recruitment and training of new employees.
boohoo praises dhl Supply Chain’s ‘excellent track record’
Leveraging its proven ability to apply emerging technologies to increase efficiency and productivity for customers, dhl plans to roll out highly automated solutions such as the Automated Storage and Retrieval System (ASRS) and high-speed pouch distribution at boohoo sites within the next three years through its Accelerated Digitalization initiative. pick. In addition to providing pick and pack sorting, these systems work together to store and replenish inventory. This will be one of the first sites within dhl Supply Chain’s operations to incorporate the technology and is one of the most cutting-edge warehousing solutions on the market.
“We have a loyal and growing customer base in the US and we want to provide them with a faster and smoother service than we currently offer in the UK. Investing in our distribution network in the US demonstrates our confidence in growing in this important market business.We chose dhl Supply Chain as our logistics partner because of their industry-leading expertise in managing highly complex e-commerce operations and their proven track record with successful startups in this space ,” said supply chain director David James. “Our inventory management is an extremely important element of our overall business and our commitment to an exceptional customer experience. We trust dhl Supply Chain to handle the operations of our new US site, leveraging their commitment to advanced digitalization to ensure We meet our customers’ expectations.”