Plano-based PFSweb signs five year, $15.3 million contract with AAFES

by PegNews wire

PLANO — PFSweb, Inc., the Plano-based business process outsourcing provider of end-to-end web commerce solutions today announced a five-year agreement with Army & Air Force Exchange Service (AAFES) to provide a comprehensive global fulfillment solution that supports the All Services Exchange Catalog and Online Store.

Photo not provided by PFSweb, AAFES

The online store is a bit of a step up from your average army surplus store

AAFES is a multi-channel retailer, offering products to authorized Exchange customers via retail stores, catalog and online. AAFES authorized customers include active duty and retired military personnel and their dependents.

Under the agreement, PFSweb will support the printed Exchange AAFES catalog as well as the Exchange Online Store. PFSweb’s customized solution includes warehousing and order fulfillment utilizing its integrated OMS and WMS to receive, manage and safeguard inventory, fulfill direct-to-consumer orders and manage customer returns. PFSweb will also provide AAFES with the professional services required to create multiple technology interfaces with AAFES systems. PFSweb plans to utilize one of its Memphis, Tennessee facilities to support this new relationship.

The contract has been estimated by AAFES to generate a 5-year total of approximately $15.3 million in service fees to PFSweb, based on expected activities over the life of the contract.

Mike Willoughby, President of PFSweb’s services division, commented, “We are working with Army & Air Force Exchange Service to provide a custom logistics solution to support its catalog and website, which brings together over 32,000 warehoused products as well as inventories of numerous drop ship vendors. AAFES is a distinguished organization that offers products to active and retired U.S. military personnel and their families around the world, and we are pleased to have been selected to support these efforts. This contract is the previously unnamed client relationship that was referred to in our recent earnings release as the one new client relationship signed thus far since late-December 2008.”

Source: PFSweb