Ocado to open first mini customer fulfilment centre
Ocado has chosen Bristol for the location of its first mini customer fulfilment centre in the UK.
Although the facility will be the online grocer’s sixth fulfilment centre, the size will enable it to start operating much sooner than the retailer’s larger centres with a go live date of the end of 2020 or early 2021.
The mini CFC will have the capacity for over 30,000 orders per week compared to the 85,000 orders per week that Ocado expects to handle at its fifth CFC that is currently under construction at Purfleet.
Despite its smaller size, Ocado expects the Bristol site to achieve productivity close to that of its standard facilities. Customers in the city and the surrounding area will have access to a wider range of options for delivery, including same day. In addition, Ocado will save on the cost of spoke sites.
Tim Steiner, chief executive of Ocado Group, said: “The Ocado Smart Platform is constantly evolving as we innovate to adapt to changing customer needs. We can now deliver the best customer experience across a whole range of customer missions, through CFCs, mini CFCs, and micro fulfilment centres.”
The Bristol facility will be housed in a 150,000 square foot warehouse in Avonmouth that will create around 815 jobs in the local area.
Ocado said mini-sized CFCs will enable it to extend its fulfilment network in areas not suitable for larger CFCs as it looks to build its capability in reaching more households.
Steiner added: “Ocado’s technology is dynamic and constantly improving, delivered through tried and tested solutions with proven and attractive economics. Our mission is to deliver the future of online shopping today, and we believe we are succeeding.”
