News Article | 5/27/2010

Lego Expands Distribution Site 50 Percent


Toy giant bolsters Alliance site with goal for greater market share

Lego is expanding its North American distribution center by nearly 50 percent as the toy maker builds on a strategy to sharply expand its market share in the United States.


The Denmark-based maker of iconic children’s building blocks will add 193,500 square feet to its site at the Alliance Global Logistics Hub in Fort Worth, Texas, the company said. That will give Lego nearly 600,000 square feet at a facility managed by third-party logistics operator Exel.


The addition comes as Lego is trying to expand its reach in the toy market, adding board games as well as new agreements with Disney to tie Lego products into new Disney movies, “Prince of Persia” and “Toy Story 3.”


Lego CEO Joergen Vig Knudstorp told Bloomberg BusinessWeek this week that the company hopes to double its market share in the United States in five years. “The American consumer has returned,” Knudstorp said in the interview.