London-based ASOS plc, an online fashion retailer focused on “20-somethings,” is set to invest $40 million to establish a new fulfillment center in Union City just south of the Atlanta airport.
The British brand plans to hire 1,600 people over five years for the warehouse, which should be able to handle 10 million units of clothing when it starts operating in August 2018.
Company leaders said the investment is the natural next step for their outreach in the U.S., a market that grew by 39 percent in the first six months of fiscal 2017 compared to the year ended August 2016, which saw £179 million (about $232 million) in annual U.S. sales.
The company also measures growth by its online traffic and social media presence. In June, monthly unique visitors grew to 146 million, up from 123 million in the prior year. Nearly two-thirds of its 15 million customers are outside the U.K. The company has 21.3 million followers across all social media platforms and engages with them via fashion content created in-house.
Heavily focused on lifestyle, ASOS believes that looking their best will help its target market achieve great things. Many items on its site are ASOS-branded, but it also curates a wide array of other brands. The company say it’s committed to responsible sourcing and environmental stewardship.
ASOS Vice President of Logistics Brent Doorman said the metro area provided the right fit for the company.
“Atlanta is an ideal location for us, it is a vibrant and growing international city with a diverse culture. We will use the region’s transportation network and deep pool of talent to deliver ASOS’ best-in-class service to U.S. customers,” Mr. Doorman said in a news release.