Fabric, a retail technology company, today announced the launch of its new Dallas micro-fulfillment center (MFC), expanding its growing North American network for on-demand retail. While Fabric develops its own robotic technology for its MFCs, it is more than an automation provider in that it also operates the MFCs on behalf of client companies.
Through its network of MFCs, automated robotic fulfillment and inventory intelligence, Fabric explained that it enables retailers to scale their fulfillment capacity and profitably and sustainably provide on-demand deliveries. The 39,000 square foot Dallas location is the latest in Fabric’s growing network of MFCs in the United States, which is expected to double by the end of the year, covering delivery to nearly 90% of consumers across the country in two days or less.
As a densely populated, fast-growing center of commerce in the United States, Dallas was strategically chosen by Fabric based on customer needs, population evaluations and ten-year shift studies, and detailed demographic analyses, the company explained. In addition, a recent Brookings Institution report called Dallas a “rising star” among tech cities. Over the past two years of the pandemic, in fact, Dallas grew tech-sector jobs faster than the national average.
“We’re in the middle of a historic shift in consumer expectations when it comes to fast and free shipping,” said Colin Coggins, Fabric’s chief commercial officer. “By placing our MFCs in strategic locations such as Dallas, we can use our software-led robotics and AI technology stack to help retailers meet today’s expectations for super-fast delivery and provide a future-proof strategy to meet tomorrow’s expectations without increasing overhead.”
A Fabric survey released today found that while fast, free shipping is the top motivator for completing an online order, retailers face enormous challenges in meeting this expectation. Shipping prices have skyrocketed, and fast deliveries are logistically complicated to execute. Fabric brings fulfillment operations closer to where consumers live through its MFC network, the company contends, giving retailers the ability to meet and exceed consumer expectations.
The first company to launch in Fabric’s Dallas MFC is Chill Brands Group, a lifestyle brand that develops, produces and distributes best-in-class hemp-derived CBD products as an alternative to recreational tobacco. All orders made via Chill.com will be fulfilled within the Fabric MFC. Fabric will then leverage geographical and logistical data to identify the needs and locations of Chill customers, providing for future integration into additional MFCs throughout the United States. This model will provide Chill Brands with enhanced business intelligence to optimize delivery times sustainably.
“We’ve got big plans to expand our e-commerce abilities, and we’re looking for an ideal partner to help us ramp up capacity without a huge investment in real estate,” said Callum Sommerton, Chill Brands’ chief executive officer. “Fabric’s MFC is a perfect fit for us and allows us to continue to deliver an exceptional customer experience from click to delivery.”