Macy’s to Build New Fulfillment Center

In eCommerce, What's New, Industry News by Accessories Staff

Charleston, WV–Macy’s will build a major new fulfillment near Martinsburg in Berkeley County, West Virginia, to support continued growth of its online business.

Construction on the 1.3 million-square-foot facility is expected to begin in spring 2011, with operations beginning in April 2012 and order shipments starting in summer 2012.

West Virginia Provides Incentives

The fulfilment center is expected to employ approximately 1,200 full- and part-time staff year-round with an estimated annual payroll of about $30 million a year.

During the holiday shopping season, around 700 temporary associates are expected to be employed each year, to manage a higher level of online orders from customers.

Macy’s said in the first 10 months of this fiscal year its online sales were up 29% compared with last year.

“Our Internet sales continue to grow rapidly as part of the omnichannel strategy at Macy’s and Bloomingdale’s–allowing customers to shop seamlessly in stores, online and via mobile devices in a manner that meets their needs and preferences,” said Terry J Lundgren, chairman, president and chief executive officer.

To help attract Macy’s select the site from some 150 locations, the state of West Virginia provided $7.3 million in infrastructure development and job training for would-be workers, according to the state development office.

Among the incentives were a $5 million load to Berkeley County Development Authority to help prepare the site, a $1.8 million for job training from the Governor’s Guarantee Workforce Program, and a $500,000 for the Community and Technical College System to assist Macy’s with its start-up training.

Mark Julian, the director of business development for the state, said there were addition reason for Macy’s decision for the Martinsburg site.

“They see the positive aspects for doing business here and we are pleased to welcome them,” Julian said. “The state of West Virginia provides business assistance to attract qualified new companies and retain jobs in existing businesses in the state. The Macy’s fulfillment center project moves West Virginia forward in job creations.”

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