Amazon Adds 15 Fulfillment Centers

Just when you think Amazon.com can’t get any bigger, it does.

The ecommerce giant has announced plans for 15 new fulfillment centers this year. The facilities will be located in Washington state, Indiana, South Carolina and Tennessee.

This is on top of the 13 distribution centers Amazon opened last year, says company spokesperson Michele Glisson. And with Amazon’s strong growth, she says, “you can expect us to add a few more additional fulfillment centers in time for our holiday peak, but the 15 announced to date represent the majority of 2011 openings.”

Amazon is also expanding an existing fulfillment center in Phoenix. Increasing its distribution network helps get closer to all of its customers to improve the delivery time and customer experience, says
Lee Helman, managing director for investment bank Financo.

Ernie Schell, director of consultancy Marketing Systems Analysis, notes that Amazon uses its fulfillment centers not only for its own vast spectrum of products, but also for its third-party fulfillment service Fulfillment by Amazon. “I’m sure we haven’t seen the full extent of its footprint yet,” he says.

Indeed, says Glisson, “we do expect to add incremental capacity in 2011 to support the high growth rates in our retail business, including [Fulfillment by Amazon] and to support the customer experience.”

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Amazon Adds 15 Fulfillment Centers

Just when you think Amazon.com can’t get any bigger, it does.

The ecommerce giant has announced plans for 15 new fulfillment centers this year. The facilities will be located in Washington state, Indiana, South Carolina and Tennessee.

This is on top of the 13 distribution centers Amazon opened last year, says company spokesperson Michele Glisson. And with Amazon’s strong growth, she says, “you can expect us to add a few more additional fulfillment centers in time for our holiday peak, but the 15 announced to date represent the majority of 2011 openings.”

Amazon is also expanding an existing fulfillment center in Phoenix. Increasing its distribution network helps get closer to all of its customers to improve the delivery time and customer experience, says
Lee Helman, managing director for investment bank Financo.

Ernie Schell, director of consultancy Marketing Systems Analysis, notes that Amazon uses its fulfillment centers not only for its own vast spectrum of products, but also for its third-party fulfillment service Fulfillment by Amazon. “I’m sure we haven’t seen the full extent of its footprint yet,” he says.

Indeed, says Glisson, “we do expect to add incremental capacity in 2011 to support the high growth rates in our retail business, including [Fulfillment by Amazon] and to support the customer experience.”

Partner Content

The Gift of Wow: Preparing your store for the holiday season - Netsuite
Being prepared for the holiday rush used to mean stocking shelves and making sure your associates were ready for the long hours. But the digital revolution has changed everything, most importantly, customer expectations. Retailers with a physical store presence should be asking themselves—what am I doing to wow the customer?
3 Critical Components to Achieving the Perfect Order - NetSuite
Explore the 3 critical components to delivering the perfect order.
Streamlining Unified Commerce Complexity - NetSuite
Explore how consolidating multiple systems through a cloud-based commerce platform provides a seamless experience for both you, and your customer.
Strategies for Maximizing Mobile Point-of-Sale Technology - NetSuite
Learn the top five innovative ways to utilize your mobile POS technology to drive customer engagement, increase sales and elevate your brand.