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11/29/2021

Newegg opens two new distribution centers

Dan Berthiaume
Senior Editor, Technology
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Newegg is expanding its distribution infrastructure.

Newegg Commerce Inc. is expanding its U.S. warehouse and distribution facilities to more than 2.1 million-sq.-ft. of space.

The tech-focused e-tailer is opening new two new distribution centers located in Atlanta, Ga., and Ontario, Calif. At more than 200,000 and 240,000-sq.-ft. respectively, the facilities are being positioned as distribution points to help Newegg better serve customers throughout the country.

Newegg now operates eight distribution facilities located throughout the U.S., including in key domestic hubs such as Los Angeles, Indianapolis, the New York metropolitan area, and now, Atlanta.

At more than 200,000-sq.-ft., the new Atlanta facility is a distribution point to help Newegg serve customers throughout the Southeast region. Until the opening of the new center, Newegg had relied primarily on its Midwest and Northeast facilities to serve customers across the entire Eastern half of the U.S. By establishing a presence in Atlanta, the company hopes to reach customers across the lower half of the Eastern Seaboard more quickly and efficiently.

Newegg’s Ontario distribution center – which has been up and running since mid-September – allows for improved transload capabilities, which produces greater efficiency and increased order throughput. Located near the intersection of Interstate 10 and Interstate 15 in Southern California, the distribution facility with 64 trailer stalls is positioned for streamlined inbound load-in and external distribution. Additionally, this new facility is designed to provide better flexibility and improve the company’s ability to fulfill same-day delivery orders for Southern California customers.

Newegg most recently added a 275,000-sq.-ft. facility in Eastvale, Calif. in February 2021. The company is expanding its distribution infrastructure as it has been increasing the range and scope of its e-commerce business. For example, Newegg launched its Black Friday promotion in mid-October, and continues to offer deep discounts on hundreds of items, with new deals revealed each week. Newegg is also offering an updated holiday returns policy. Customers can shop for products displaying the “30-Day Hassle-Free Returns” badge.

The retailer is also piloting a livestream platform it calls Newegg Live. The platform enables customers to interact with hosts while having access to exclusive, real-time deals available only on mobile during the livestream. Newegg expects to livestream Newegg Live events weekly, before scaling up for increased promotions later in the fourth quarter of 2021.

Other new offerings Newegg has introduced in 2021 include a build-to-order computer service and an automotive storefront.

“These new distribution facilities further our commitment to quick and efficient delivery to customers throughout the U.S.,” said Don Gwizdak, Newegg VP of operations. “Establishing a presence in Atlanta enables us to reach customers across the lower half of the Eastern Seaboard much more quickly and efficiently than before, while our new Ontario facility gives us the scalability to meet the demands of our growing customer base on the West Coast.”

Headquartered in City of Industry, Calif., Newegg was founded in 2001 and serves a global customer base throughout North America, Europe, Asia Pacific, Latin America and the Middle East. The company offers direct sales and an online marketplace platform for PC and IT hardware, consumer electronics, automotive, gaming products and finished goods.