September 16, 2010, 5:31 PM

Macy’s prepares for more online growth

The retailer will expand a Tennessee fulfillment center as online sales grow 31%.

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Macy’s Inc., responding to a 31% increase in web sales in the first half of 2010, says it will expand its online order fulfillment center near Portland, TN, to handle its growing online business.

Macy’s Inc., which operates the and e-commerce sites, had more than $1.2 billion in web sales last year. Macy’s is No. 20 on Internet Retailer’s Top 500 Guide.

The 600,000-square-foot Tennessee facility, which opened in 2007, will add 374,000 square feet. Macy’s expects the new space to be operational by fall 2011.



Macy’s says the new space will result in an additional 250 part-time and full-time workers. The facility employs 570.

“Our online sales at Macy’s and Bloomingdale’s have grown rapidly in recent years—by a total of 19.6% in 2009, followed by another 31% in the first half of 2010,” says Tom Cole, Macy’s chief administrative officer. “It is important that our systems and support facilities also continue to develop so we can drive growth in the online business and serve customers effectively and efficiently.”

The company operates two other fulfillment centers for online orders in Arizona and Connecticut.

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