Purolator has announced that it will invest about C$1bn in a five-year growth and innovation strategic plan. The announcement is part of the company’s commitment to meet rapidly changing expectations of businesses, consumers and employees.
“Purolator has experienced record growth over the past three years. We picked up and delivered over one-quarter of a bn packages in 2018 and we expect our growth to continue. This investment will solidify our position as a market leader and create global opportunities for businesses, consumers and employees”, said John Ferguson, President and CEO, Purolator.
According to the company, market shifts driven by e-commerce and technology have changed the way businesses and consumers buy, sell and exchange goods, and e-commerce sales are expected to reach C$4.88 trillion worldwide by 2021. Consumers want their packages faster with visibility, control and flexibility, and businesses are following this trend, and there are new trading opportunities for businesses to expand to, from and within Canada.
The company will focus on four areas:
Purolator will invest $330m in a new 430,000 sq ft hub in Toronto, expected to open in 2021. The facility will triple capacity, improve Purolator’s network and will feature automation technology to optimise customer delivery during peak volume periods. It will be built to leading environmental standards.
Furthermore, Purolator plans to upgrade its fleet and roll out its first fully electric vehicles in 2020 to complement its hybrid electric fleet.
Finally, the company is adding more consumer access points across Canada and enhancing its retail network. This includes upgrading high-traffic stores in large urban centres, expanding its Mobile Quick Stop service – acting as retail outlets on wheels – and piloting new last-mile pick-up and delivery options.
Purolator will also make investments in employee training, learning and development.
According to Purolator, the Great Toronto Area (GTA) will represent more than the 50% of Ontario’s population by 2026. The company will spend C$8.5m in a 110,000 sq m GTA terminal in North York, due to open in September 2019, adding up to 135 delivery routes.
Furthermore, the company is expanding its Mobile Quick Stop service, more than doubling the number of trucks in the GTA region, and piloting electric cargo bikes and urban self-serve parcel lockers in Toronto’s downtown.
Additional expansions will be announced over the next 12 months.
Source: Purolator
