The Home Depot builds physical omnichannel infrastructure
The Home Depot is building physical infrastructure to support online operations. The home improvement giant is officially opening the third of three facilities designed to support its online business, IT transformation and overall interconnected retail strategy.
The new 1.6 million-sq.-ft. facility is located in Troy Township, Ohio and is expected to eventually employ 500 workers. Home Depot is opening the center as online sales continue to grow and currently account for 5% of total revenues.
The new 1.6 million-sq.-ft. facility is located in Troy Township, Ohio and is expected to eventually employ 500 workers. Home Depot is opening the center as online sales continue to grow and currently account for 5% of total revenues.
The company opened two other direct fulfillment centers in 2014; one in Locust Grove, Georgia in the metro Atlanta area, and another in Perris, California. These new facilities enable the company to deliver 90% of Home Depot online orders of regionally stocked parcel items in two business days or less, using ground delivery service.
Home Depot also announced that in October it will officially open its new Marietta Technology Center, a 200,000-sq.-ft. office complex in Marietta, Georgia for approximately 1,000 IT associates, with the expectation of eventually adding an additional 500 IT jobs at this location. Since 2007, the company has enhanced its IT capabilities in conjunction with its supply chain and merchandising transformations.
And in November, the company will open a third online customer care operation in Tempe, Arizona., employing 800 workers. This will be the third online customer service operation dedicated to the online business. In 2012, the company opened two other online customer service centers; one in Kennesaw, Georgia, an Atlanta suburb, and another in Ogden, Utah, just outside Salt Lake City.
"These investments are advancing our interconnected retail strategy, which allows our customers to engage with Home Depot however they choose," said Craig Menear, chairman, CEO and president of The Home Depot. "We're also pleased to contribute to the economic growth of these communities."
Home Depot is not the only major retail chain beefing up fulfillment support for omnichannel retail. Wal-Mart is spending $200 million to build a new distribution center in Polk County, Florida that will be dedicated to fulfilling e-commerce orders. The center will consist of two centers totaling more than 2 million-sq.-ft.
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