Dive Brief:
- Walmart plans to open a 1.2-million-square-foot fulfillment center in Kings Mountain, North Carolina, according to a Tuesday press release from the state’s Department of Commerce.
- The $300 million investment is set to open in 2027 and will ship large items including patio furniture and lawnmowers, according to the release. Delivery can be as soon as next-day.
- Walmart serves North Carolina customers through more than 214 stores and Sam’s Clubs in addition to seven supply chain facilities, per the release. The new fulfillment center is expected to create more than 300 jobs.
Dive Insight:
Walmart has been evolving its fulfillment footprint and capabilities in the U.S. as part of a larger supply chain strategy. Walmart reported in March that it operates 29 dedicated e-commerce fulfillment facilities, per its latest 10-K filing.
As of August, about 44% of marketplace volumes flowed through a Walmart fulfillment center, while marketplace sales were up by 20% due to sellers using the retailer’s fulfillment services, according to a Q2 earnings call.
In 2022, the retail giant announced plans to build four “next generation” fulfillment centers to boost speed and operational efficiency, and unveiled plans for a fifth center in 2023. At the time of the initial announcement, Walmart claimed that the facilities would provide 75% of the U.S. population with next- or two-day shipping.
The first of these facilities opened in Illinois in 2022, with the second in Indiana. In 2023, Walmart built the third such facility in Texas, and in 2024, opened its fourth facility in Pennsylvania. Walmart’s final “next generation” facility — a 900,000-square-foot facility in California — is slated to open in 2026.
Walmart also began to allow third-party sellers to use its supply chain to fulfill orders from any e-commerce site through its Multichannel Solutions program late last year.