How Puma is Boosting E-commerce With AutoStore Technology
With global e-commerce sales projected to surpass US$8tn by 2027, retail giants are racing to revolutionise their fulfilment capabilities.
In this light, Puma has embarked on an ambitious expansion of its automated fulfilment infrastructure in partnership with AutoStore the equipment manufacturer and Bastian Solutions the Toyota Automated Logistics company.
This strategic collaboration, centred around a new state-of-the-art distribution facility in Phoenix, Arizona, marks a milestone in Puma's ongoing digital transformation journey.
The initiative builds upon the company's successful implementation of AutoStore's cubic storage and retrieval systems at its Indiana and California facilities since 2015.
Puma's latest investment aims to double its daily order processing capacity to 200,000, addressing the growing demands of modern consumers who expect lightning-fast delivery.
The project exemplifies how traditional retail brands are leveraging automation to maintain competitive advantage in an increasingly digital marketplace.
Puma expands automated fulfilment capacity
Puma’s new facility aims to increase its daily order fulfilment from 100,000 to 200,000, enhancing speed, efficiency and accuracy across its retail supply chain.
Bob Philion, President of Puma North America, says: "At Puma, our mantra is forever faster and that includes getting our products in the hands of our customers. AutoStore enables us to be the fastest we've ever been.
“With the rise of ecommerce, we’re seeing a higher volume of orders moving through our facilities, in addition to more frequent surges in demand. Our continued partnership with AutoStore and Bastian Solutions allows us to maintain this rapid pace while ensuring every order is fulfilled accurately and efficiently.”
The implementation of the AutoStore system has been driven by the rise in e-commerce orders, which increased by 18% in the first half of 2024.
This growth has led to a higher volume of orders moving through Puma's facilities, as well as more frequent surges in demand.
Benefits of automated fulfilment
Since implementing AutoStore's system in 2015, Puma has reported significant improvements in its operations.
The company has moved over 50 million items and achieved 99% order fulfilment accuracy.
During peak times, Puma has been able to ship up to 150,000 units per day and two million units per month.
The automated system has also allowed Puma to increase its warehouse inventory capacity tenfold, storing 4.2 million units in 100,000 square feet.
Additionally, order fulfilment times have been reduced from days to hours for priority shipments and energy costs have been lowered by up to 85%.
Mats Hovland Vikse, CEO of AutoStore, emphasises the system's suitability for high-throughput operations: "Our partnership with Puma exemplifies how our solution is perfectly suited for high-throughput operations, even during peak demand.
“At AutoStore, speed is central to our value proposition. That's why our system not only delivers high speed but also ensures accurate operations with minimal energy consumption."
Furthermore, AutoStore's automated storage and retrieval solution utilises a cube-based modular storage system with state-of-the-art robots and software to improve operational efficiency.
This technology has become increasingly popular among retailers seeking to optimise their fulfilment processes.
Aaron Jones, CEO & President of Bastian Solutions, highlights the company's role in integrating AutoStore systems: "At Bastian Solutions, we take pride in our long-standing partnership with AutoStore, having integrated over 100 of their systems across various industries".
As e-commerce continues to expand globally, retailers are likely to continue investing in automated solutions to meet consumer demands for faster and more accurate order processing.
Governor Katie Hobbs of Arizona welcomed Puma's new facility, stating: "We are grateful thatPuma, one of the world's most recognizable brands, has chosen Arizona, furthering our reputation as a premier logistics hub supporting global companies".
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