Fashion and sportswear retailer Adidas has today announced plans to open its largest ever distribution centre (DC) in 2013, a move that will create more than 200 supply chain jobs.
The €100 million (£89 million) warehouse is expected to open in Niedersachsenpark in Germany’s industrial north-west region and will house the operations for all three channels of the Adidas and Reebok brands, Wholesale, Own Retail and E-commerce.
Products stored at the DC will be delivered across western Europe, and Adidas predicts that annual throughput will exceed 100 million pieces by 2015 in support of the business’s major expansion plans for the next few years.
Today’s statement also revealed that the company will use standardised distribution processes, and fully automated and integrated IT solutions in order to ensure it provides an efficient service across the continent, although it not clear exactly how large the DC will be.
Herbert Hainer, Adidas Group CEO, commented: “Until 2015, we want to grow our business to €17 billion.
“The new distribution centre will enable us to bring our products faster and more efficiently to our customers and consumers.
“This major investment in a state-of-the-art facility in Niedersachsenpark also clearly shows our commitment to our home market.”
Adidas Group reported strong 2010 full-year results in March, with its retail arm driving growth at the business.
Currency-neutral retail sales increased 18 per cent year-on-year, thanks to a nine and 12 per cent annual increase in Adidas and Reebok sales respectively.
Group gross margin improved 2.4 percentage points to 47.8 per cent, while net income more than doubled to €567 million.