Two business units from within logistics giant UPS and famous retail brand GAP are combining their expertise to offer “unmatched automation and supply chain capabilities” to apparel and footwear merchants.
The companies say their new offering will enable mall and medium-sized businesses (SMBs) to benefit from capabilities “previously only available to billion-dollar brands”.
Ware2Go, a UPS company, is collaborating with Gap’s GPS Platform Services division that combines Gap’s global supply chain network, customer insights, technical, and digital capabilities with Ware2Go’s cutting-edge supply chain technology.
The collaboration allows even the smallest businesses access to enterprise-level supply chain capabilities through a nimble, asset-lite co-warehousing solution.
Ware2Go and GPS Platform Services will now offer SMBs access to world class fulfillment centers, where advanced technology, automation and robotics can deliver a scalable network that provides as fast as one-day click-to-door fulfillment.
With the combined footprint of over 35 warehouses and distribution centers, as well as advanced machine learning and data science capabilities, Ware2Go and GPS Platform Services can enable apparel and footwear companies to focus their energy on the areas that matter most to their business, such as marketing and product development, instead of logistics and fulfillment, and international companies seeking to launch in the US now have a path to the largest market in the world.
Kevin Kuntz, head of global logistics fulfillment at Gap, says: “This collaboration between Ware2Go and GPS Platform Services is the next chapter in the longstanding relationship between Gap Inc. and UPS.
“We have a deep shared history and decades-long partnership anchored in customer focus and commitment to innovation. Together we will help SMBs grow their brands with our combined logistics infrastructure and cutting-edge automation.”
New research from Ware2Go shows SMBs want to move away from owned warehouses, toward co-warehousing partnerships:
- 74 percent of SMBs believe the future of fulfillment is shared, co-warehousing models that allow SMBs to easily scale.
- 89 percent of SMBs report they currently own and operate at least one warehouse, with nearly half (47 percent) having explored more flexible warehouse strategies over the last two years. They cite cost savings, reduced time spent on operations, and access to better technology as their top benefits.
- 65 percent of SMBs are actively planning over the next 1-2 years to make either short- or long-term investments to expand leased warehousing space.
- 90 percent of respondents stated they would be open to the idea of sharing a warehouse with another retail brand and outsourcing fulfillment to that retailer as a partner.
Steve Denton, CEO of Ware2Go, says: “The future of fulfillment looks like SMBs owning zero warehouses.
“Our merchants want to remain focused on growing their business and product portfolios, and not worry about the ins-and-outs of their inventory placement or building up a labor workforce to support peak season.
“This collaboration makes it easier than ever before for SMBs to outsource their fulfillment while still accessing incredible customer support and deep transparency into their inventory placements and delivery times.”
