Sam’s Club plots 2 new distribution centers

Sam’s Club plans to open two new distribution centers early next year, one near St. Louis and the other outside Minneapolis, the Walmart-owned warehouse club retailer announced Thursday.

The facilities are part of a multi-year supply chain transformation at Sam’s Club and are designed to provide “noticeable increases in speed and availability of products both in club and online,” the Bentonville, Arkansas-based retailer said in a statement.

The 370,000-square-foot facility in Edwardsville, Illinois, about 30 minutes northeast of St. Louis, is slated to open in January. It will employ about 100 people.

The 365,000-square-foot distribution center in Shakopee, Minnesota, about 30 minutes southwest of Minneapolis, is scheduled to open in March. It will employ more than 80 workers.

“We’re excited to extend our supply chain network and capabilities for our clubs and members in the region,” Sam’s Club SVP of Supply Chain Joseph Godsey said in a statement. “We’re designing our supply chain network to strengthen our omnichannel experience and increase efficiencies and delivery speed to wherever our members decide to shop with us and receive their products.”

Last January, Sam’s Club unveiled a roadmap to open more than 30 new warehouse clubs over the next several years, along with an ongoing plan to “invest in and modernize its supply chain” through new high-tech distribution and fulfillment center locations around the country.

At the time, Sam’s Club said it intended to open five of the facilities during 2023. It is unclear whether any of those locations have opened, and Sam’s Club did not immediately respond to a WGB query.

The retailer has previously announced new distribution centers planned for Oklahoma City, Oklahoma, and Lithia Springs, Georgia.

Sam’s Club debuted in 1983 in Midwest City, Oklahoma, and now operates more than 600 warehouse club stores around the country.

In announcing its growth plans, Sam’s Club said its expansion was fueled by historic comparable-store sales growth and a record rise in membership numbers in recent years.

“We have an opportunity to place ourselves on the cutting edge of efficiency and automation, unique to our business model,” Godsey said in a statement in January.