Synnex Canada Ltd. last week opened a distribution facility in Halifax to offer better presence and faster delivery options for its resellers working in the Maritimes region.
The new warehouse encompasses 36,000 square feet and marks the company’s seventh distribution centre in the country. Its other warehouses are located in Calgary, Guelph, Montreal, Toronto, Vancouver and Winnipeg. Jim Estill, CEO of Synnex Canada (NYSE: SNX), said the new facility was opened in Halifax to better serve its customers and resellers who deal out on the East coast.
“We thought our customers out East needed better service and we feel there are more market opportunities out there,” Estill said. “I think resellers will see the new facility as being more convenient for them because they can now buy from a local source. Also, since it’s local, that’ll save them shipping costs and time.”
With the opening of the new warehouse, Estill said orders that are placed before 5pm, with inventory permitting, will be shipped out on the same day to ensure next day delivery.
“The rest of Canada has been conditioned to function on next day deliveries,” Estill said. “Before this (Halifax) warehouse, you couldn’t ship economically by next day.”
Estill said by now making this delivery option available to resellers, this will hopefully bring in more dollars to the business from an East coast perspective since he hopes more resellers will now do their purchasing there.
“I estimate we’ll be servicing about 500 resellers at our Halifax warehouse,” he said. “Most of these resellers were previously purchasing from Toronto, where shipments would usually take about two days.”
While Estill said the warehouse won’t carry all vendor lines and skus, he did mention that the Halifax facility will have the most popular ones available to its resellers.
Recently Synnex inked a new deal on the Unified Threat Management front with Cyberoam, a company based out of Ahmedabad, India.