Big Changes Coming to Gap Warehouse in Fishkill

The enormous Gap distribution center in Fishkill is about to get bigger.

Gap Inc. announced this week that they have invested $100 million in upgrades to prepare for demand this holiday season. The expansion of two distribution centers is just the beginning, with big changes coming to the Fishkill site in 2022.

According to Chain Store Age, centers in Gallatin and Phoenix were expanded and received upgrades in technology and automation to keep up with the company's emphasis on e-commerce. The use of artificial intelligence and robotics has become a big part of the company's plan to keep pace with increasing demand.

The Fishkill distribution center, as well as Gap's location in Fresno, are both slated to receive similar upgrades next year. Gap is employing the use of 3D mobile Skypod robots to move product quickly to operators for packing and shipping. Using laser scanning, these autonomous machines can carry heavy bins and navigate them through the warehouse, saving employees from having to walk long distances.

Gap, which also includes brands like Old Navy, Banana Republic and Athleta, plans on seeing half of its sales shift from brick and mortar locations to e-commerce by 2023. While this means that more retail locations are expected to move out of shopping malls, the company will continue to invest heavily in distribution centers like the one in Fishkill.

The company's online sales have skyrocketed in 2021, increasing 65% versus the second quarter of 2019. Gap's transition to e-commerce is expected to continue rapidly, which means the distribution center in Fishkill will most likely get even busier in the near future.