Online fashion firm Asos has revealed plans to close its US warehouse in Georgia as part of an ongoing turnaround. The group said it will “mothball” its distribution centre in Atlanta and sell the site, instead handling US orders from its warehouse in Barnsley, South Yorkshire, as well as a smaller, “more flexible” local site in the US.
The move will impact seven staff directly employed by Asos in the US and “several hundred” employed by logistics partners. It will look to offer affected US employees alternative roles where possible, while third-party logistics firms will “make efforts” to redeploy workers to nearby sites, according to the group.
Asos said: “Having successfully transformed the US into a profitable market over 2023-24, Asos sees further opportunity to re-invest in the areas that matter most to its customers by optimising its global distribution model.”. The group added the changes will “offer Asos’s US customers an enhanced product offering, including a broader assortment and faster speed to market of the best and most exciting product, while offering competitive delivery speeds and lowering the total fulfilment cost per order”.
Asos stressed it will continue to “grow and build” its presence in the US, having opened a local office last year. “Asos remains excited about the opportunity in the US market and believes that its new operating model will better serve its US customer base, while generating a better return on investment,” it said.