Macy’s, the iconic American retailer, has announced plans to invest $584 million in building a state-of-the-art fulfillment center in China Grove, North Carolina. The 1.4 million-square-foot facility is set to open in 2024 and will employ nearly 2,800 people when fully operational. This major investment marks a significant milestone for Macy’s as it continues its transition to becoming a multi-brand omnichannel leader.
The China Grove Fulfillment Center will be equipped with advanced automation technology to increase capacity and productivity, aimed at boosting digital sales. The goods-to-person and pocket sorter system will modernize Macy’s supply chain by moving merchandise with greater speed and accuracy.
Once fully operational, the center will account for nearly 30% of Macy’s digital supply chain capacity, serving customers nationwide. This new facility is part of Macy‘s wider push to grow its e-commerce operational capacity. In addition to the China Grove location, the company has announced plans to move from its Houston distribution center to a new, 1-million-square-foot facility in Tomball, Texas, in mid-2023. Macy’s has also incorporated automated technology into its distribution centers in Portland, Tennessee, and Martinsburg, West Virginia. As part of its omnichannel transition,
Macy’s will overhaul its website and train some employees to become personal stylists, offering customers more one-on-one attention and an easier online experience. The North Carolina Department of Commerce led the state’s efforts to support Macy’s location in North Carolina, with the project expected to create a potential annual payroll impact of more than $93 million per year for the region.
Macy’s decision to build the fulfillment center in China Grove highlights the strategic advantages of North Carolina for businesses looking to expand their operations and reach customers faster. The state boasts a prime location that places iconic brands within a day’s drive of more than 170 million customers, alleviating supply chain issues and helping them maintain a continuity of operations.
