Amazon to build first robotic Australian fulfilment centre in Sydney – Strategy – Hardware- Tempemail – Blog – 10 minute

Amazon will build its first robotic Australian fulfilment centre in Sydney’s west in a bid to accelerate order processing times and improve the e-tailer’s competitiveness.
The company announced plans for the massive 200,000 square metre facility on Tuesday, which will also be its largest in Australia with “around the same land size as Taronga Zoo”.
The centre, to be located near the Western Sydney Aerotropolis, is expected to create 1500 permanent jobs when completed in late 2021, as well as a further 700 jobs during construction.
It will be the company’s second centre in Western Sydney, allowing it to increase its “capacity to fulfil customers orders”. 
Amazon said the fulfilment centre will be “equipped with the most advanced Amazon Robotics technology”, allowing it to operate 24/7 and store “50 percent more items per square metre”.
The robots will be used to accelerate order processing times by “moving shelves to employees” to reduce how long it takes staff to pick “up to 11 million items” for customer orders.
Amazon Australia operations director Craig Fuller said the centre will more than double the company’s operational footprint in Australia, while improving efficiency for staff and customers.
Premier Gladys Berejiklian said the “construction and operation of this centre will deliver far-reaching benefits for the people and businesses of NSW”.
“With the ability to operate 24/7, the almost 200,000 square metre facility is expected to be the largest ‘fulfilment centre’ built in Australia,” she said.
“It will also be its most advanced, incorporating the company’s latest robotics systems, the first time these will have been deployed in the Southern Hemisphere.”
Amazon currently operates more than 50 robotic fulfillment centres around the world.

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Amazon to set up ‘massive’ Queensland fulfilment centre – Strategy- Tempemail – Blog – 10 minute

E-tailer Amazon Australia is building a multi-million dollar fulfilment centre in Brisbane that is set to begin operating by Christmas.
The company announced the operational expansion today, with the new facility to be located Goodman’s Port Industry Park in the Brisbane suburb of Lytton.
“The new fulfilment centre will be around the same size as two Rugby League fields, housing more than half a million items from Amazon.com.au,” the company said.
Amazon said the new fulfilment centre would allow faster delivery of orders to Queensland customers.
It “will also benefit Queensland based small & medium sized businesses who utilise Fulfilment By Amazon to seamlessly service customers across the country,” Amazon said.
“Local sellers will soon be able to send their products to the Brisbane fulfilment centre where Amazon will then pick, pack and ship orders to customers, provide customer service support and manage returns on behalf of the seller.”
Queensland premier Annastacia Palaszczuk said that construction on the “massive multi-million dollar hub … will start immediately, creating more than 170 jobs and an additional 200 jobs once it’s up and running.”
Amazon said it worked with Goodman Australia to secure the location, “which is close to the Port of Brisbane, Brisbane airport and transport links”.
The fulfilment centre in Brisbane will join existing facilities in Sydney, Melbourne and Perth.
It opened its first fulfilment centre in Dandenong South, Melbourne in December 2017, followed by Moorebank, Sydney in August 2018 and then Perth’s Airport Precinct in November 2019.

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Huboo raises £1M to take the pain out of e-commerce fulfilment – gpgmail


Huboo, a U.K. startup that operates a multi-channel fulfilment service for e-commerce businesses of varying sizes, has raised £1 million in seed funding. Backing the majority of the round is London venture capital firm Episode 1, alongside a number of unnamed private individual investors.

Launched in November 2017 by Martin Bysh and Paul Dodd after the pair had ran a number e-commerce experiments, Huboo aims to solve the fulfilment pain-point that most online stores face. The service promises to store your stock, and then “pick, pack and deliver it” automatically as customer orders are placed.

The idea is that by outsourcing fulfilment, online shops can focus on the parts of the business where most value is added, such as customer service and choosing what products to develop and/or sell, by outsourcing fulfilment with confidence.

However, according to Huboo’s founders, except for larger e-commerce stores, the market is woefully underserved, with most fulfilment providers too expensive and uninterested in servicing smaller businesses. The only other option, they claim, is Amazon’s “Fulfillment by Amazon” (FBA), which they say is viable only for goods sold on Amazon because of discounts the e-commerce giant offers.

“Packing boxes and queuing in the post office were a horrible side effect of our [e-commerce] experimentation, and we needed to offload this if we weren’t to waste hours each day or abandon the whole e-commerce research project,” says Bysh.

“Luckily this is a solved problem, or so we thought… but we called around some fulfilment companies and discovered that they had no interest in our business, our items were too cheap and our volumes too low. And they weren’t very tech savvy, often basing their business on 3rd party warehouse management software, and limited marketplace integrations”.

The pair decided to change tact. Instead of attempting to find the next pure e-commerce opportunity, as their e-commerce experiments had intended, they began trying to figure out a way to “shatter the traditional economics of fulfilment”. The potential prize is a “huge chunk” of what Bysh frames as a “multi-billion, largely uncontested” market.

“We did some research on the market opportunity and determined that in the U.K. alone the opportunity was around £1 billion of more or less uncontested fulfilment business,” he says.

The key was to build systems that are flexible enough for Huboo to work with sellers, regardless of what they sell, how many they sell, and whether or not the goods are sold new or “re-commerced”. “We have clients that ship a couple of items a day and other that ship thousands. Items range in price for a few pounds to hundreds,” explains Bysh.

Products fulfilled by Huboo already span items such as vitamins, CBD oils, headphones, bingo tickets, electronic bagpipes, antiques, coffee, electronics, clothes (new and used), and beauty products. Clients include startups, subscription businesses, and individuals selling niche or boutique products.

Bysh says that serving this part of the fulfilment market is made possible via a combination of bespoke technology and algorithms, leading to “massive process optimisation” and reducing client management costs through SaaS sign-ups, on-boarding, and support.

But it’s not just about tech-driven optimised processes. Part of Huboo’s proposition is achieved through something as simple as a modular approach the company has designed to organise its warehouses. This sees every client given a designated space within a hub a and hub manager who understands their business.

From a revenue model perspective, Huboo is attempting to align its own interests with that of sellers. The startup provides two months of free storage to all clients for every new inventory shipment, so if sellers manage and maintain turnover they won’t need to pay for storage again.

“When a seller sells, we fulfil, which means they pay us primarily when they are earning. That’s where 80% of the revenue comes from,” explains Bysh.

Meanwhile, Huboo generates additional revenues from a small administrative subscription and optional services, such as packaging. The latter will grow when “Hubstore” is launched later this year, offering upgrades and customisations in a single click. This will include related services, such as tech to help expand to additional sales channels and increase sales.


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