Zappos.com CASE STUDY

Maintaining Costs while Scaling Fulfillment Operations

Shepherdsville, KY

Zappos

The Challenge

A leader in direct-to-consumer goods, Zappos.com was faced with the challenge of filling tens of thousands of orders per day. Online shoppers expect a high level of attention to detail and quick delivery of their goods. To keep profitability stable, Zappos.com needed to implement a system to control costs, without lowering the integrity of their product offering.

CVS Pharmacy

The Solution

KPI and Diamond Phoenix designed and integrated an order fulfillment system that includes the largest horizontal carousel system ever built, measured in cubic feet of storage space. The finished system features 130 carousels encompassing 6,300 cubic feet per carousel. This is a total of 756,00 cubic feet of storage!

 

  • Reduced cost per unit shipped
  • Reduced cost/cubic foot of storage
  • Productivity increase
  • Ability to react in an efficient manner to dramatically increasing volumes
Zappos
Zappos

The Benefits

  • Reduced cost per unit shipped
  • Reduced cost/cubic foot of storage
  • Productivity increase
  • Ability to react in an efficient manner to dramatically increasing volumes

The Numbers

120 carousels x 6,300 cubic feet each = 756,000 cubic feet of storage.

The Innovations

A series of major innovations across all elements of the carousel system mechanics, controls, and software.