Amazon is Planning in Opening new Distribution Centers in Brazil

RIO DE JANEIRO, BRAZIL – After opening a 47,000 square meter Distribution Center in Cajamar, Greater São Paulo, in January, Amazon is already planning to expand that location or even to open new ones in other cities of the country.

According to Amazon Director in Brazil, Daniel Mazini, so far the success of the Cajamar Center of Distribution has already shown a need for expansion.

“It (the warehouse) had the capacity that we first thought was enough for this first location. We are learning right now that maybe this space is not large enough. We have the option to expand the Distribution Center itself or to open other ones. We’re looking into it,” Mazini said in an interview with Broadcast, the Grupo Estado real-time news system.

The data obtained from these first months of operation at the Cajamar location have enabled Amazon to analyze where the customer is and therefore, more assertively define future distribution centers opening locations. Mazini has not revealed which cities are being considered.

So far, there are more than 200,000 products sold and delivered by Amazon Brazil, distributed in more than twenty categories, between books, sports, and home and garden.

The expansion of the operation in Brazil also attracted resellers, the so-called “sellers”, who use Amazon’s marketplace platform to open their businesses. Not to mention an exact number, Mazini counts tens of thousands of vendors and companies on the platform
of the American company in Brazil. World wide this number reaches two million.

“There are two types: big companies, like Mobly and smaller ones. Since we announced our retail expansion in January, the number of sellers has increased exponentially. We are very excited,” said Mazini.

By way of comparison, among Amazon’s publicly competitors in Brazil, B2W has over 30,000 resellers in its marketplace platform. Magazine Luiza announced in its last quarterly balance that the number of resellers had exceeded eight thousand resellers,
while Via Varejo reached 4.5 thousand.

When Mazini was asked about the company’s possible interest in the Post Office regarding the announcement of the Federal Government’s intention to privatize the state-owned company, Mazini just said he won’t comment on rumors.

The Director stated that the postal service is partners with Amazon and that the company also has contracts with eight other carriers in Brazil. “We have nothing to announce as of yet,” he said.

(Source: Estado)