The Client: US-based women’s apparel retailer with 2,000 stores and $2B in annual sales.
The Challenge: The company’s Board had mandated a directive to improve valuation of the chain through digital growth.
Key Opportunities: Generate new revenue streams
Our Approach/Findings:
We developed and executed a Board-approved plan to accelerate digital transformation by:
- Finalizing a $10m investment in a new e-commerce platform and warehouse management system
- Identifying $10m in cost savings to fund transformation program, primarily through eliminating unproductive advertising spending, reducing redundant outsourced vendor fees, and workforce reduction across brands
- Identifying key customer segment through CRM analysis that shopped all portfolio brands, a key insight which unlocked growth and profitability
Achievements:
- Launched an Ecommerce platform across all portfolio brands with continuous improvements over 24 months
- Ecommerce CAGR increasing from 8% to 41%
- Profitability growing from 7% to 25% of sales
- Increased cross-brand traffic by 1500% and Revenue Per Visitor (RPV) by 700%
- Decrease of exits to competitor websites by 50%
- Launch of a shared checkout experiences
