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Kohl’s picks a time and a place for another fulfillment hub

March 29, 2011 04:29 PM
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On the fourth quarter earnings call in February Kohl’s Corp. CEO Kevin Mansell told Wall Street analysts that Kohl’s this year would add a third distribution center to support its burgeoning e-commerce business.

Now Kohl’s, No. 43 in the Internet Retailer Top 500 Guide, has announced a location and launch date. Kohl’s will open a new distribution center this July in Edgewood, MD, to fulfill East Coast e-commerce orders for Kohls.com.

The site will occupy 602,000 square feet for starters and expand to 1 million square feet by 2012, the retailer says. Initially the distribution center will employ 200 full and part-time workers, a number that will eventually exceed 1,200 workers, Kohl’s says.

Kohl’s now has a network of 12 distribution centers, including existing facilities near San Bernardino, CA, and Monroe, OH, which support e-commerce. But a third center is needed to support Kohls.com, which grew web sales by 49.2% to $733.4 million in 2010 from $491.5 million in 2009, the company says

By 2012, Kohl’s also expects to exceed $1 billion in annual web sales, the retailer says. “This new facility will ensure that Kohl's is able to accommodate the tremendous growth of our Kohls.com business," says Kohl’s executive vice president of store planning and logistics Ken Bonning.

 

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