ZOZO has announced a logistics strategy centered on advanced automation and slower delivery to control logistics costs and generate profit. It aims to reduce costs while addressing environmental concerns through investment in new facilities and optimization of its delivery network.
ZOZO has outlined a logistics strategy built around three pillars: investment in advanced automation to support consignment sales, slower delivery to address the driver shortage, and sustainability through inventory coordination. The strategy is intended to achieve long-term cost control and maximize sales opportunities.
1. Under its advanced automation investment program, ZOZO plans to invest approximately ¥8 billion in ZOZOBASE Narashino 3, reflecting the enormous number of product numbers on ZOZOTOWN. It aims to reduce labor requirements by approximately 50% and strengthen its large-scale logistics center network together with Narashino 1 and 2 and the Tsukuba facility.
2. Slower delivery extends the lead time from order placement to shipment, encouraging orders to be consolidated and reducing the number of deliveries. Working with Yamato Transport has helped optimize the delivery network and lower freight rates. The trend in packing, freight and logistics costs from the fiscal year ended March 2024 to the fiscal year ending March 2026 is contributing to lower cost pressure and higher profit.
3. Through fulfillment support, inventory coordination and sustainability initiatives integrate the inventory of its own e-commerce operations with that of ZOZOTOWN, preventing stockouts and reducing excess inventory. ZOZO is also advancing the adoption of renewable energy across all sites and promoting resource circulation through initiatives such as packaging-material reuse.