Boohoo expands US operation with DHL partnership

Online fashion retailer Boohoo has partnered with DHL Supply Chain on its first-ever US distribution centre.

The company said the move is part of plans to develop a faster and smoother service for its growing US customer base.

DHL is to hire 1,000 employees at the warehouse in the first year and expects to grow its workforce to 2,500 people over the next three years.

“Investing in our distribution network in the US illustrates the confidence we have to grow our business in this important market,” said David James, supply chain director, Boohoo. “Our inventory management is an extremely important element of our overall business and our commitment to a superior customer experience.”

James added: “We trust DHL Supply Chain to handle our operations at our new U.S. site, leveraging their commitment to advanced digitalisation to ensure we meet our customers’ expectations.”

In September, Boohoo announced a 10 per cent drop in sales, warning that revenue would likely continue to decline for the rest of 2022.

The fast fashion brand said sales had fallen to £882 million during the six months to 31 August, driven largely by inflation and higher costs.

In the UK market, sales were down by four per cent. Boohoo said that customer demand had been impacted by the cost-of-living crisis.

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