Zalando to open Nordic fulfillment centre in Sweden

27 May '17

3 min read

Courtesy: Zalando

Zalando, Europe’s leading online fashion platform, has completed its location search to open its first Nordic fulfillment centre in Sweden later in 2017. Together with the developer NREP Logicenters, Zalando will build a fulfillment centre in Brunna in the county of Stockholm. The first parcels are set to leave the fulfillment centre later this year.

To meet the demand of the Nordic customers and to further penetrate the market, investing in convenience is crucial for the company. The Stockholm fulfillment centre will ensure that Zalando’s strong and growing customer base experiences a more convenient consumer journey and receives orders faster in all Nordic markets.

“Zalando has a bold but feasible vision for the Nordic markets. We want to enhance our customer proposition and increase our revenues to one billion EUR in the upcoming years. In order to do so, we need to further invest in our platform strategy and expand our logistics network locally so we can get closer to our Nordic customers. I am happy to announce that operations in our first fulfillment centre near Stockholm will start within the next months,” said Rubin Ritter, co-CEO at Zalando.

First tests and operations will start in 2017 itself, while full operations will be up and running in 2018. The warehouse in the Stockholm area will decrease lead times significantly, securing possible next day deliveries in all Nordic capitals (Stockholm, Copenhagen, Helsinki, Oslo) and the potential for same day delivery in Stockholm. When the fulfillment centre is ramped up to full speed, Zalando will be able to cut lead times in half across the Nordic region (to one-two days for Sweden and Denmark, and one-three days for Norway and Finland).

“The Nordic e-commerce market is mature and developing fast. Ensuring consumer satisfaction, shortening lead times and providing a fashionable assortment are essential elements moving forward. This is why we are investing in establishing a new 30,000 square metres fulfillment centre near Stockholm and extending our selection of more than 100 Nordic brands, with the latest additions being Holzweiler, Hunkydory and House of Dagmar,” said Kenneth Melchior, cluster head Nordics at Zalando.

“Having this setup in place, we are also thinking of future test pilots for innovative services such as return on demand,” Melchior said.

“We are very pleased that Zalando has chosen NREP Logicenters as their partner for their expansion in the Nordics. As a leading provider of modern logistics properties, we will be able to support Zalando’s future growth and are looking forward to a successful partnership, said Rickard S Dahlberg, partner and co-founder at NREP.

The fulfillment centre in Brunna was chosen mainly due to its strategic location and advanced infrastructure, which is ideal for catering to all Danish, Finnish, Norwegian and Swedish customers. It will be operated by an experienced logistics provider and create a few hundred jobs. Zalando started to internationalise its logistics network in December 2015 by opening the first fulfillment centre outside Germany in the North of Italy.

This was followed by a fulfillment centre near Stettin in Poland, which was inaugurated in November last year. In the beginning of 2017 another warehouse was opened close to Paris in France which will now be followed by the most recent addition in Sweden. (SV)

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