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Zalora opens new fulfilment centre in Malaysia

Zalora new photo Malaysia center 2 - Retail in Asia

Online fashion store Zalora has teamed up with supply chain specialist YCH Group to open a new design fufillment centre in Malaysia.

Dubbed the ‘Regional e-Fulfillment Hub’, the Selangor-based unit covers 470,000 square feet and is split across five levels. The first of its kind for Zalora, the hub will serve as “a key driver for Zalora’s growth as a regional online fashion player,” according to a press release.

Operationally, the centre will play a crucial role in fulfilling thousands of orders per day and facilitating the movement of fashion goods across eight markets: Singapore, Malaysia, Brunei, Hong Kong, Macau, Taiwan, Indonesia and Philippines.

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The new Zalora warehouse features in-house logistics and operations systems such as Mobile Picking, a customised solution that transmits picking information of customer orders through mobile devices, allowing greater scalability and on-time fulfilment.

To speed up delivery times, Zalora recently obtained AEO status (Authorised Economic Operator) in Malaysia. The AEO status gives the new regional hub a form of “express lane” at customs, making cross-border movements more efficient. Zalora is the only fashion e-commerce company to have the status.

“Zalora has experienced solid growth since it was established in 2012,” said Parker Gundersen, Zalora Group CEO. “Offering the best range of products, coupled with a seamless online shopping experience, we are proud to deliver the first and largest Regional e-Fulfillment Hub.

Zalora and YCH worked closely together on infrastructure design, storage, order fulfilment solutions and procurement. There’s also the flexibility of future expansion, according to the group, with the warehouse built to double its operations area in as fast as six months.

“We’re thankful for the support of YCH and other logistics partners in the region, without them we wouldn’t have been able to build the infrastructure we, and our customers, need,” added Gundersen.

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