Young fashion business SuperGroup has primed itself for the next “major phase” of development with the launch of a 500,000 sq ft distribution centre.
The company, which owns young fashion brand Superdry, had previously said its existing distribution operation would be “inadequate” to support its medium to long-term capacity requirements. The new centre in Burton-on-Trent will help equip the group for further multichannel expansion.
Although the new facility will require an investment of around £5m, SuperGroup said underlying profit before tax for its 2013 financial year will not be affected. The agreement with Clipper Logistics will instead allow the group to save costs and improve operating margins.
SuperGroup’s existing centres at Gloucester Park and Barnwood will continue to operate while the Burton site is being developed with plans for it to be in full operate by the end of April next year.
Chief executive Julian Dunkerton said: “This investment marks SuperGroup moving into the next major phase of development and equipping itself to meet its increasing sales ambition. Ideally located, SuperGroup will have a highly efficient UK distribution centre, enabling the Group to generate both financial and operational benefits and provide a platform for us to meet the increasing demands of e-fulfilment.”