Watsons Taiwan is scheduled to open its largest distribution center in Asia in Taoyuan County today, the company said yesterday.
The nation's largest health and cosmetics chain has invested NT$30 million (US$900,000) and five years of preparation in the distribution center.
The new facility will occupy a floor space of 6,500 pings (21,450m2), equivalent to the size of 65 Watsons outlets, Stuart Mitchell, managing director of Watsons Taiwan, told a press briefing.
Located near CKS International Airport in Taoyuan County, the center is equipped with two low-temperature rooms designed to maintain the quality of its chocolates and cosmetic products.
It was designed to help the company quickly respond to market demand and make sure the correct quantities of goods are distributed to its nearly 400 stores nationwide.
"Consumers will feel short-term and long-term impacts" from the establishment of the distribution center, twice the size of the original one, Mitchell said.
The company has opened 382 Watsons and 15 Missha stores, a South Korean cosmetics brand the company introduced earlier this year.
Watson's expects to slow down its expansion plan next year by opening just 50 new outlets -- compared with 70 stores last year and 87 this year -- and by refitting 50 stores in the face of diversified competition from convenience stores, hypermarkets and Internet shopping.
Mitchell said Watson's is expecting double-digit revenue growth from last year, although he declined to provide any detailed figures.



