LPP opens new Distribution Centres in Stryków and Moscow.
Today, LPP has officially launched a new Distribution Centre in Stryków, which will accelerate substantially the process of handling online orders. The facility will be operated by Arvato. Simultaneously, LPP has inaugurated the operation of a similar centre near Moscow. Both investments are part of the strategy encompassing the further dynamic development of LPP’s e-commerce sector in the years to come. The company plans to launch other facilities of this type as it envisages to increase its online sales by 100% both in 2017 and 2018, when online stores are to be available altogether on 16 markets.
The new Distribution Centre dedicated to LPP is located in the SEGRO Logistics Park in Stryków near Łódź. It has the area of 30 thousand m2, which may be doubled up to the total of 60 thousand m2 in the next three years. The launching of the Centre will make it possible to create 500 new workplaces during the first year of its operation. The warehouse will handle both domestic and foreign deliveries (to Germany, the Czech Republic, Slovakia, Romania, Hungary, the Baltic states and the British market).
The new Distribution Centre will be responsible for providing e-commerce services for our brands: Reserved, Mohito, House and Sinsay, which gives the volume of over ten million items being sent per year. Owing to the Centre’s advantageous location in Central Poland, at the crossing of main motorways, the time for handling online orders will be reduced substantially, declares Jacek Kujawa, Vice-President of LPP, responsible for, among others, logistics and e-commerce operations in the company.
Logistic services in the Centre will be provided by Arvato SCM Solutions in Poland, which will carry out, among others, the following operations: warehousing, order picking and packaging, messenger services, handling of returns and claims as well as specialized services (repackaging, labelling, foil replacement, quality tests) involving products such as clothing, footwear, bags and accessories. Cooperation with an experienced international partner will guarantee LPP access to valuable expert knowledge on e-commerce logistics.
– We are happy to launch, in just a couple of months, a new location dedicated to providing e-commerce services to our client LPP, the largest clothing company in Poland. It is our goal to ensure that the company may keep the highest customer care quality standards in respect of online sales, especially given the company’s plans of further dynamic development. We are sure that our cooperation will be bring satisfaction to both parties and that, owing to our engagement, the handling of online orders will be efficient and will meet high customer expectations, comments Lidia Ratajczak-Kluck, Director of Arvato SCM Solutions in Poland, Member of the Management Board of Arvato Polska.
Simultaneously, this week, LPP has launched a new Distribution Centre in Russia. The facility of the area of 7 thousand square metres will be responsible for handling online orders made in Eastern Europe. The plans of LPP for the next years include the construction of two to four new Centres in foreign locations. The first one is to be a warehouse in England, to be responsible for distributing products in Great Britain. The other one is to be built in South Europe, and locations analysed are, among others, Hungary and Romania, however, a final investment decision has not been made yet.
In the years to come, we want to develop dynamically the online sales sector. The opening of two new Distribution Centres in Poland and Russia is yet another stage in implementing our strategy. Our long-term goal is to create a chain of warehouses enabling customer deliveries within 24 hours, emphasises Jacek Kujawa.
The company plans to launch other facilities of this type as it expects to increase its online sales by 100% both in 2017 and 2018, when online stores are to be available altogether on 16 markets.
The development of online sales is a key position in our business strategy. The Internet gives almost unlimited possibilities and we have no doubt that our increasing involvement in the dynamically developing e-commerce sector will bring us many benefits. This year, revenues from online sales from January to October totalled almost a quarter billion zlotys and they more than doubled year by year. It is our goal to deliver clothes to customers as soon as possible and, therefore, we have decided to develop dynamically a network of Distribution Centres in the years to come, – adds Jacek Kujawa.
Currently, LPP has 46 stores of different brands in 10 countries. In 2018, the company wants to start online sales in 4 new countries: Bulgaria, Croatia, Serbia and Slovenia.
_________________________________________________________________________________________
LPP SA is one of the most dynamically developing clothing companies in Central and Eastern Europe. The company has been consistently pursuing its business both at home and abroad for 26 years, successfully operating on the demanding apparel market. LPP SA manages 5 fashion brands: Reserved, Cropp, House, Mohito and Sinsay. The company has developed a network of nearly 1700 retail stores and on-line stores of all its brands and created 25,000 jobs in offices and sales structures in Poland, Europe, Asia and Africa. LPP SA is listed on the Warsaw Stock Exchange within the WIG20 index and is a part of the prestigious MSCI Poland index.