Chewy has no retail stores so this is just a strategic move. When Ryan Cohen took them from a Pet Smart reject to an Amazon killer in the pet supply world, he opened so many DC’s close together due to them not having that brick and mortar sector to worry about in their budget.

They did an amazing job during the pandemic having to deal with supply chain issues, worker shortage, and the overall economy. Now with inflation so high but supply chain issues being worked out better, they are able to cut costs in ways they weren’t previously able to. And with that comes these unfortunate consequences of running a successful business. The fact is they currently have more Distribution Centers than they need to still maintain a very acceptable customer rating. Time will tell if the decision was good or bad for the company, but I would gather they are a smart enough bunch to have already worked out the logistics before making this decision.

If it keeps the prices low, and the shipping times and customer service the same as we expect, then this is nothing more than a smart business move. I better get birthday cards for my pets still haha. That’s the sweetest gesture that they do.