XPO Logistics, Inc., said today it has opened a distribution hub in Toronto to support last-mile deliveries in Canada, the first such hub for XPO in the country.
The 50,000-square-foot facility, located in Toronto, will be staffed by approximately 70 employees to serve customers throughout Ontario. Greenwich, Conn.-based XPO already provides last-mile deliveries in Canada, but none through a hub operation.
Demand for XPO's last-mile services has grown as more people buy heavier goods on line and more retailers outsource their delivery needs. XPO focuses on last-mile deliveries of heavy goods, a segment that is growing rapidly but still accounts for a small percentage of overall deliveries to the home.
The company's last mile hubs are used to provide value-added services, such as inspection and pre-assembly in preparation for delivery, and to position goods close to destinations. End customers can track delivery status on the web and through voice-activated devices.
The Toronto opening is part of the company's planned network expansion to 85 last mile hubs in North America this year. XPO expects to handle approximately 14 million last mile deliveries this year in North America.