Fanatics Adopts American Eagle Quiet Platforms for Same-day/Next-Day
Fanatics Adopts American Eagle Quiet Platforms for Same-day/Next-Day
Over the past few years, American Eagle Outfitters (AEO) is trying to build an alternate fulfillment network to the major carriers, corresponding to the needs of mid-market retailers ($100M - $1B).
AEO made two logistics acquisitions last year, one is AirTerra, a startup focused on the middle mile. And Quiet Logistics, an automated 3PF provider which historically I've seen focus more on apparel and accessories (for instance Mack Weldon and Steve Madden uses them).
Fanatics is said to be adopting them to expand its same-day/next-day capabilities.
So we have an interesting dynamic setting up. The major carriers like UPS/FedEx are restricting peak volumes on major customers. Forcing them to find other solutions.
Amazon has become the largest logistics network in North America, as you could easily predict by their forward level of investment.
Walmart is investing in some third-party logistics, but mostly near their stores and not an end-to-end network for other retailers.
AEO has an interesting niche here, if it can get adoption. That will be the thing to watch.
btw, doesn't Fanatics decision kind of kick sand in the face of Radial?