Kansas City: The next major distribution power house?
As retailers grow and expand, logistics become a bigger concern. Operating at a single location and serving a specific audience is an effective way for eCommerce merchants to get their feet wet. However, there comes a time where they will need to cover more ground to reach a broader audience, and they need to do so without sacrificing delivery and fulfillment speed.
Working with distribution centers and third-party vendors is crucial to maintaining streamlined fulfillment operations. Fortunately, for American merchants, a number of new distribution centers are opening each year.
According to a recent article from the Kansas City Star, Kansas City is expected to become the next major distribution hub.
Kansas City is an ideal spot logistically because of it's central location in the country, which enables retailers to process and ship orders to virtually anywhere in the continental U.S. Goods from Kansas City can reach anywhere within two days. The number of bulk warehouses – defined as buildings larger than 200,000-square-feet – has shot up 47.5 percent over the past few years. Over the next decade, that number is expected to continue to grow.
"We haven't had this kind of product for a significant amount of time," Joseph S. Accurso, a principal at Kessinger/Hunter & Co, told the news source. "We kept hearing Kansas City was the next ring after Chicago, Dallas, Indianapolis, Los Angeles and Memphis."
More options will benefit retailers, who can translate the greater number of distribution hubs into better service for their customers. It's critical that merchants consider their fulfillment process as they continue to grow and expand to maximize their eCommerce operations.