Canadian pet retailers expand distribution capabilities
Mondou and Pet Valu are investing in new distribution centers in Quebec and Ontario.
Legault Group is setting up a new automated warehouse and distribution center in the Mascouche CentrOparc in Quebec with the aim to provide a “robust operational infrastructure” to supply products to Mondou stores and fulfill online demands.
The 400,000 square feet plant will cost over $90 million ($66.6M/€62.4M) and is expected to be operational by 2025. The building’s design aims to meet the criteria for sustainable certification LEED Silver.
The retailer believes that the future distribution center will result in “improved product variety and availability” for Mondou’s offline and online customers. “The new facilities will also support the growth of the Anjou-based company and its exclusive brands, distributed throughout its cross-country retail network,” says the company.
Mondou, which recently received the Gold Standard status from Canada’s Best Managed Companies, expanded its footprint in the Canadian pet retail market with the acquisition of Ren’s Pets stores in 2021.
Increasing productivity by more than 50%?
Pet Valu which recently announced the opening of a 670,000-square-foot distribution center in Brampton, Ontario, that will bring “unprecedented” scale and automation to Canada’s pet sector.
The new facility, that has been funded with the company’s CAD110 million ($81.4/€76.3M) budget for supply chain transformation, is expected to represent a key milestone for the retailer.
When in operation, it would be the largest distribution center and robotics automation installation dedicated to serving the pet specialty industry in Canada. The company expects that the new plant will have the capacity to process orders in the same day, while improving productivity by more than 50%.
Richard Maltsbarger, President and Chief Executive Officer at Pet Valu, highlights that the new center will benefit “multiple aspects” of the business as well as enhancing distribution services to their Central and Eastern Canada stores, including Chico.
The facility will first begin processing and shipment of dry pet food and litter. In the first half of 2024, it will expand to processing piece-pick items like toys and collars. The distribution center will eventually replace Pet Valu’s use of its distribution facilities and third-party storage space located in Greater Toronto.