Webgistix grows 30 percent year over year since LV move BY CAITLIN MCGARRY
Gov. Brian Sandoval in November unveiled Nevada’s economic diversification plan, which highlighted seven industries the state will focus on to encourage economic development. The logistics and operations industry, which includes fulfillment centers and manufacturing plants, was one targeted area.
E-commerce fulfillment company Webgistix is a little ahead of the curve, having moved its headquarters from New York to Las Vegas in 2008. CEO Joe DiSorbo said he has witnessed the e-commerce industry’s growth in Las Vegas over the last few years, led largely by online shoe retailer Zappos. As e-commerce grows, the industry will need fulfillment centers like the Webgistix facility in Henderson to process and ship orders.
DiSorbo said postrecession Las Vegas is a particularly attractive option for e-commerce and logistics companies because of its lower prices and bigger labor pool.
“It made it more attractive in the sense that we could find qualified labor because unemployment is high and the housing market wasn’t doing very well,” DiSorbo said. “I think Las Vegas has more to offer postbubble than it did prior to that, because the cost of living has come down.”
Webgistix has created some 32 jobs in Las Vegas since moving to town, and has also recently expanded its operations to include distribution centers in Reno and Atlanta, in addition to its existing facilities in western New York.
The company’s nationwide presence was a selling point for longtime client LadderGolf.com
Website owner and founder Brent Doud sells his outdoor game, Ladder Golf, to consumers online. Doud used to own a warehouse from which to ship the game, but decided to move to a fulfillment center as orders, and costs, grew.
“It’s saved us a bunch of money and a bunch of headaches in fulfillment and shipping,” Doud said.
He chose Webgistix because the company can stock and ship Ladder Golf from Henderson and New York, serving customers on both coasts.
“The closer the fulfillment center is to the customer, the cheaper my shipping bill will be,” Doud said.
Webgistix is also something of a tech company, having developed a real-time tracking and inventory system that allows clients to see when orders are fulfilled.
Las Vegas has become a popular destination for logistics companies looking to serve clients from a transportation center in the West without a steeper California tax bill. Amazon.com also has a fulfillment center in Las Vegas and shopping website Gilt last year opened a distribution facility in North Las Vegas.
But smaller companies can’t afford to open their own distribution centers, which is where Webgistix comes in. Business is booming at the Henderson facility, which now houses about 200,000 items, DiSorbo said.
Webgistix has grown 30 percent year over year since moving to Las Vegas. DiSorbo said the company plans to expand to Europe, Canada and Australia to serve overseas clients.
Webgistix is a global leader in eCommerce order fulfillment that operates bi-coastal fulfillment centers that serve hundreds of established eCommerce retailers. Webgistix delivers SmartFill, Cloud-based technology that works with all major shopping carts and is optimized for mobile commerce. Webgistix customers outsource their order fulfillment to Webgistix to eliminate fixed overhead, increase the speed and accuracy of their global order fulfillment, and retain control and visibility over their fulfillment operations. For more information, visit www.webgistix.com.