CEO Sharon Price John says Build-A-Bear’s old e-commerce system is a big reason for disappointing online sales in December.
Seeking more room and a more automated fulfillment operation, the retailer will move web operations to its Alabama distribution center. The move will cut 350 staff from its New Jersey facility.
Citing the need for more room and the desire for greater automation of its fulfillment operations, The Children’s Place Retail Stores Inc., No. 181 in the Internet Retailer Top 500 Guide, will relocate its e-commerce operations from its New Jersey distribution center to its Fort Payne, AL, distribution center in June. The move will eliminate 350 positions at the multi-channel retailer’s Secaucus, NJ, center.
Mark Rose, senior vice president and chief supply chain officer for the children’s wear manufacturer and multi-channel retailer, notes that the company’s e-commerce sales rose 60% in 2008 and and 35% in 2007. The retailer reported web sales of $54.8 million in 2007.
“We have outgrown the available space in our headquarters building,” Rose says. “By moving the e-commerce business to our Southeast distribution center, we expect to be able to fully automate our fulfillment operations and have ample room to expand in the future as the online business continues to grow.”