Jan 16, 2025
Article Response
1yWe decided to close our smaller delivery warehouses as a result of ending our internal delivery services. We now are utilizing our four large North American fulfillment centers as distribution hubs and working with 3rd party logistics partners for final mile deliveries.
This decision was made after this thorough analysis and consideration of current market conditions. The price of external 3rd party final mile carriers has decreased significantly while the service level now matches what we could provide. This combination meant that our internal delivery services were no longer competitive and we had to say goodbye to some amazing employees. This was a tough decision, but the right decision for managing costs which otherwise would have impacted our customers.
-Tim Melland, VP, Logistics