How An Established Global Brand Shut Its Physical Doors and Opened the Floodgates to Online Profits
After 22 years of building an international retail empire harnessing both physical and digital stores, it would be time to retire and buy an island, right?
Not for Sam Wagner, owner of Sambag, Australia’s leading fashion brand.
Sambag’s early success was organic. Starting with only one brick and mortar store that sold lavish handmade bags before progressing into shoes, which eventually become a major part of their business.
“Shoes became a big part of my business,” Wagner says. “I opened retail stores in 2005, then online subsequently in 2007, so we were early adopters there. We grew to 14 physical stores internationally with a shop in Hong Kong as well.”
A success most would envy, a seemingly worry-free lifestyle and mountains of cash in your pocket. However, it came with great cost and sacrifice.
The neverending management of inventory and staff on an international scale made it impossible to maintain the business. Long hours, lack of sleep and massive overheads were not worth it.
Toward the end of 2018, Sam announced that Sambag would be closing the doors to its brick and mortar stores. Despite steady growth in global brand awareness, she knew the retail landscape was shrinking.
“It grew and grew but by 2018 I closed the business down because I had enough,” Wagner says.
“Sadly brick and mortar stores are struggling, rent is too high, etc.”
Here is where most folks with a stellar career like Sam’s would happily hang their hat, sit back and reap the benefits of her success towards retirement.
However, Sam knew her fashion-forward business could still be a huge mover if she was able to pivot the business landscape into the digital sphere. Specifically, seeing the ongoing demand of her shoes, which kept customers frequenting Sambag’s online store.
“Once people know their sizes it is an easy model for them to reorder.”
Sambag had since maintained a robust digital presence from its onset, but Sam didn’t want to go forward abiding the traditional way. Sam had to offload what used to keep her up at night.
Logistics was a huge part of that. The burden of fulfilling orders to ensure customer satisfaction by managing a warehouse facility and staff was the last thing Sam would want to go back to.
Before 2018, Sambag’s warehouse, inventory and staff management not only distracted Sam from marketing and product development, but it also created a steep hole to the bottom line.
Rent, insurances, work cover, staff benefits, compliances – a painful chunk out of Sam’s pocket and schedule.
Now knowing she had a brand that would succeed and continue to grow, Sam had to make sure the above would no longer be her problem.
“I needed to outsource everything because I didn’t want to hire staff.”
So, off she went researching the best 3PL solution.
When she started researching 3PL companies that were able to ease twenty years of stress, Invenco stood head and shoulders above the competition.
“Invenco impressed me,” Wagner says. “They were very knowledgeable and fantastic from the get-go.”
They were the relief that Sam needed to breathe easy before launching solely online.
Sam was so pleased with Invenco that no other 3PL companies she contacted compared. The seasoned entrepreneur knew that if she was going to relaunch Sambag as a digital brand completely by herself, Invenco was the best choice possible to partner with, in the 3PL landscape.
After making the easy decision of engaging Invenco to handle all things logistics, Sam could finally enjoy her business’ explosive growth and global presence, matching her previous retail success.
All without the neverending workload she was married to!
Sam is now running the business lightheartedly, knowing that Invenco always has her back with robust customer support.
“The guys at Invenco are great and they always respond to me quickly. Their system is easy to use, and it is efficient when it comes to tracking customer data.”
For Sam, there is no doubt Invenco allowed her to relaunch Sambag quickly and confidently. Nowadays her confidence in Invenco’s service grows parallel with the business’ bottom line.
She was even able to travel over Christmas and leave the team at Invenco in charge. Something she would have never imagined during her first twenty years of managing Sambag’s logistics in house.
The process has been so seamless she has mentioned using Invenco to fellow small eCommerce businesses.
Sambag’s predictable growth is at hand with Invenco’s timely input.
Now with all of Sambag’s logistics stabilised with steady growth in sales, Invenco’s unique Channel Expansion Strategy is set to take Sambag to the next level.
As of July 2020, Invenco is partnering with Sam to launch into new channels and markets such as ‘The Iconic.’
This strategic partnership will ensure Sambag expands its market reach and acquires quality customers at scale, while maintaining on-time and accurate delivery through Invenco’s integrated systems.
At Invenco, we not only help eCommerce businesses establish robust defence by securing their logistics, but we are also a part of your offensive strategy so you can dominate the market.
Whether you have 20 plus years of experience like Sam or have a new product primed for rapid growth, Invenco is privileged to partner with you and create incredibly happy customers for your business.
Get a quote today so you can experience the growth and freedom you deserve tomorrow.