Jenkins Twp., Luzerne County, PA -
Davinci Micro Fulfillment - which services customers throughout the United States - opened a location in CenterPoint Commerce & Trade Park South, the company’s sixth, in May.
Davinci’s other facilities are located in Erlanger, Kentucky, just outside Cincinnati; Atlanta; Jacksonville, Florida; Dallas, Texas; and Fresno, California.
Corey Apirian, Davinci’s founder and chief executive, noted Northeast Pennsylvania served as a prime location for growth.
“The whole business model revolves around getting inventory closer to the end customer,” he said. “Being within 350 miles of the population base across the country enables brands to sell more products at a cheaper cost, more sustainably. And most customers are 30%-50% more likelier to buy something when they see a 1-2 day delivery badge. This region is literally the center of the Northeast Corridor. With the exception of Boston, which is like 375 miles, most of the major metros are within 350, so it’s mostly next-day (delivery) everywhere. We’re (eventually) looking at about 30% of the total volume of this business to come out of this region. What Mericle has done here over the past few decades is really incredible. There are reasons why logistics companies like Amazon and Home Depot are coming out this way.”
Davinci employs about 12 people at the CenterPoint location, with the expectation to grow the staff to 15 by the end of the year, Apirian said.
The 36,231-square-foot property allows workers to move around the grounds quicker than other massive distribution warehouses, Apirian added.
“If anyone’s been in a warehouse before, a lot of the waste in human labor is walking and the inefficiency that a really big building brings,” he said.
Michelle Mikitish, president of the Greater Pittston Chamber of Commerce, lauded Apirian’s ingenuity and believes the company will be a vital asset to the region.
“I love it so much when someone can find a unique solution to what seems like an oblivious problem to be solved,” she said. “I think it’s fantastic that he’s choosing to solve it here in northeastern Pennsylvania. You can see how quickly they’re turning products over, and I think it’s going to be fantastic for all of us who are living here to be able to see those products coming to our door more quickly and more reliably.”
John Augustine III, president and CEO of Penn’s Northeast, a regional economic development agency, believes micro sites will become more prevalent in the coming years.
“What I think we’re seeing in a space like this is a trend,” he said. “It’s not your typical 500,000-square-foot building. You’re starting to see smaller 3PL (third-party logistics) warehouses in more markets so consumers can get their product a lot quicker.”
Apirian used two-plus decades of experience in the logistics industry when formulating a plan for Davinci.
“The idea is to use our technology and physical location network to reach consumers in a very optimized way,” he said. “We want to be very purposeful for brands, and we don’t want to store things. We want to turn the inventory, and the way you turn it faster is by being able to show an end customer a same-day, one-day, or two-day delivery flag, having that inventory available, and selling the right item to that marketplace in the first place. We use AI, statistical forecasting, and demographic data, and then place items in the building closest to the end customer. We’re not a traditional distribution center, we’re really focused on the pick and pack.”
While tariffs have been a detriment to many businesses, Davinci actually experienced growth as of result of the added taxes, Apirian said.
