CJ Logistics to Newly Operate Two Fulfillment Centers in Icheon

CJ Logistics announced on the 26th that it will newly operate two fulfillment centers (hereinafter FC) in Icheon, Gyeonggi Province.

Icheon 2FC, located in Majang-myeon, Icheon City, operates on four floors with a total floor area of 39,867㎡ (12,060 pyeong), and Icheon 3FC, built in Janghowon-eup, operates on three floors with a total floor area of 29,104㎡ (8,804 pyeong). Both centers provide fulfillment services for ambient temperature products such as fashion apparel and accessories. Fulfillment is a service that efficiently handles complex logistics processes such as inventory management, packaging, inspection, shipping, and delivery by jointly storing products from multiple sellers.

CJ Logistics plans to further strengthen its core competitive edge, the ‘Delivery Guarantee’ service, through the expansion of fulfillment centers. The ‘Delivery Guarantee’ service ensures that CJ Logistics delivers the products to buyers on the promised delivery date made by the sellers. Except for geographically restricted areas such as islands and mountainous regions, next-day delivery is guaranteed to more than 90% of regions nationwide. As the number of operating centers expands, the types and volumes of products that can be serviced are also expected to increase.

CJ Logistics’ successfully launched ‘O-NE’ also supports the expansion of fulfillment. ‘O-NE’ is CJ Logistics’ differentiated delivery brand. It is an integrated brand that covers various services, from general parcel delivery to ‘Arrives Tomorrow! O-NE’, which guarantees next-day arrival, ‘Arrives at Dawn O-NE’ for early morning delivery, and ‘Arrives Today O-NE’ for same-day delivery. With industry-leading service levels combined with a differentiated brand, it has received great responses from sellers and buyers. The company explained that the proactive expansion of fulfillment centers is to meet the increasing demand for these services.

According to CJ Logistics’ announced Q1 2023 performance, the volume of fulfillment center shipments increased by 62.1% compared to the same period last year, reaching 13.57 million boxes, and the number of client companies increased by 591% to 691. Sales of integrated fulfillment linked with parcel delivery rose by 34.7% in the first quarter.

CJ Logistics is overcoming the temporal and spatial constraints of logistics through ‘integrated fulfillment.’ When products are shipped from fulfillment centers, they are delivered to customers nationwide via parcel hub terminals and sub-terminals.

For innovative services, CJ Logistics is actively introducing advanced technologies such as robots, artificial intelligence (AI), and big data throughout the logistics process. With various technologies applied in fulfillment centers, including transport robots, digital twins, and smart packaging, logistics efficiency is being dramatically improved.

CJ Logistics plans to promote mutual growth with sellers and consumers through more stable operations by focusing on onboarding sellers suitable for the characteristics of Icheon 2FC and 3FC.

Ahn Jae-ho, Head of CJ Logistics’ E-commerce Division, said, “The ‘Delivery Confidence’ value-based Delivery Guarantee service is receiving great responses, and demand for it is also increasing. We will grow together with sellers and consumers by expanding infrastructure and introducing advanced technologies, enhancing operational scale and capabilities, and transforming the logistics industry paradigm.”

This content was produced with the assistance of AI translation services.