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Insider Ties: New Balance opens distribution center in St. Louis

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Source: NEW BALANCE ST. LOUIS EARTH CITY DISTRIBUTION CENTER OPENS TO SUPPORT GROWTH AND EFFICIENCY OF ECOMMERCE BUSINESS

A few weeks back I discussed why mom and pop and other big box retailers were going out of business. (Click here to watch that video and subscribe to my youtube for more talks like this.) Basically my point is that most brands are building their direct to retail fronts. My dialogue was primarily about Nike, but I touched very briefly on a topic that I discussed on another video about the death of flipping and reselling shoes. In that discussion I brought up the fact that my long running store on Amazon can not carry New Balance or Asics because I don’t have an account. This is important because if this becomes the norm with relationships between brands and online outlets like eBay and Amazon then a host of small businesses based on selling NB or Asics will be left in the cold if they haven’t developed their own platforms. This is another discussion.

New Balance is doing a similar tactic as Nike and it only makes sense. They have just built a distribution center in the middle of the country. This new facility in St. Louis will allow for faster and more precise service direct to the consumer. This is good for New Balance. However, the retail outlets that carry New Balance should be concerned. If you carry the brand you will undoubtedly feel the affect of New Balance’s increased attention to online sales. This is definitely something to keep an eye on and it is definitely a very interesting detail in the changing landscape of the sneaker world.