Invenco Insights

Case Study: Incy-N Pty Ltd

Streamlining Operations for Business Growth

 "CEO of Incy-N , Natalie Gibbins, explained how she overcame her growing sales channel challenges with the support of Invenco”

In 2017, Australians spent over $21.3 billion through online sales alone, an 18.7% increase from the previous year.

The online shopping era experiences significant growth year on year. With the increased growth of consumer demand for online purchases, more and more retail brands are forced to offer e-commerce platforms.

However with the decision to sell online presents a range challenges:

  • Fast growth and Insufficient processes to keep up with demand,
  • Strict consumer delivery expectation,
  • Issues with 3PL providers,
  • Tracking orders on strict time-frames,
  • The time-frame between when the order is pass through payment gateways and are approved,
  • Online growth fast-track resulting in resources are spreading too thin, especially when selling direct online.

If not addressed quickly, these obstacles can be detrimental to the success of your online brand.

Some of these challenges were experienced by our client Incy-N. Incy-N is the official Australian distributor of popular baby bag brands, StorkSak and BabyMel, and in 2017 had made the decision to expand their business through new channels rather than through the traditional bricks and mortar stores which had become very slow.

The Business

Incy-N sources innovative and practical products that make a difference to everyday lives for pregnant women, mothers and fathers. They are passionate about distributing stylish baby products which give mothers the confidence to look amazing and feel great.

Based in Sydney, Incy-N is a leading wholesaler of premium baby and infant accessories. With distribution through more than 300 stores across Australia and New Zealand, representing a collection of the best products from around the world.

The Situation

In 2017 back when Incy-N first decided to expand into the online channel, the online retail landscape had already started to change from the traditional retail model. This was a result of the change to consumer behaviour, more and more consumers started to purchase online, as well as sellers responding to this by widening their online product range.

The physical bricks and mortar retail stores were struggling. Consumers were more happy to shop online than visit in-store. This change in behaviour affected the retail industry as a whole and nothing demonstrates this more than the announcement by Toys’R’Us that they were closing down their stores worldwide. Unfortunately, this was a major distribution channel for Incy-N.

As expected, Natalie and her team began to question their ability to remain afloat when relying on these bricks-and-mortar stores to make sales.

“Two years ago, we didn't focus on selling too much online because it conflicted with our physical store distribution,” Natalie explained. “But with the retail stores closing, we made the decision to redirect our focus on increasing direct sales through our own website.”

In light of this, Invenco worked with Incy-N to help change their position in the struggling retail market. After the advice to add an additional market-place channel and, the assistance in the transition of completing the build of the direct integration with the Iconic's "seller center", sales have increased over 400% since they started with The Iconic mid way through 2017.

Distribution through other seller channels was another strategy suggested by Invenco. Invenco had identified "The Iconic" as a win-win-win partner, and it was this partnership which assisted Incy-N's opportunities with The Iconic.

The Challenge

As the Incy-N online business grew, this quickly become too much for one person to be managing.

“If you had to manually do it, it's a lot of work. It would also mean that you would need to have a dedicated person constantly online on the Seller Center, ensuring you meet the targets,” Natalie explained.

Additionally, then, trying to also negotiate with huge online marketplaces as a small business doesn’t provide much leverage when it comes to settling on a good deal.

Online marketplaces like The Iconic have strict and highly demanding rules and regulations to ensure maximum customer service satisfaction, all of which must be complied with. To continue to sell successfully with them, Incy-N through Invenco had to adapt to meet these requirements.

The Invenco Solution

While Incy-N started negotiating with The Iconic, they also partnered with Invenco on the project to utilise Invenco’s prior experience of working with the online retail giant, more importantly, to facilitate the use of the direct integration that Invenco already had in place.

“Invenco were able to make the integration process very smooth and easy by integrating our system into The Iconic’s Seller Center system.”

Invenco synchronised Incy-N’s systems to work best with this online Market-Place platform by identifying and integrating exactly what The Iconic required from Incy-N.

Through this, Incy-N’s ordering and distribution channels were completely automated, so that when a customer placed an order on The Iconic, it communicated seamlessly with their in-house systems, to fulfil the order, adjust stock levels, pick and pack, then ship it out accurately and efficiently.

“Because we are integrated through Invenco, their Integration does everything for you. It ensures that we're meeting all of our deadlines, it's picking up everything that's needed, and tracking all orders from start to finish, so it really reduces the time, energy and the money that would have to be spent on this.”

This direct service allowed Incy-N to sell and distribute their products online and keep up with their growing number of orders, without having to spend excessive resources trying to facilitate it all.

Recommendations

Incy-N has been working together with Invenco for around 6 years now.

“I think they're very efficient and helpful,” Natalie explained. “They know each of the businesses. They take the time to care and know your business. They have a really strong relationship with all their front end and their back end to get the job done.”

“But most importantly, they look for other ways to decrease the workload for you rather than increasing it, which is something smaller businesses really need but never have time to consider.”

“We’re very pleased and I highly recommend them.”

How can Invenco help your business?

Getting a business up and running is quite a challenging process, however if you’re entering the growth phase like Incy-N, congratulations! You’ve got a successful enterprise on the rise, and you should be proud of yourself.

However, you need to be ready for this phase. It may be time now to take the next step.

One of the most difficult challenges for a growing eCommerce business is finally achieving a singular view of demand, inventory and supply in one, all working together simultaneously.
Order management processing systems assist businesses in this way by increasing efficiency, refining fulfilment and improving customer experience.

The ideal Order Management System really does enhance the cornerstone operations of a growing eCommerce business, which means having to implement the right one. That’s how our friendly team can help! We specialise in assisting businesses like yours grow and expand by improving your internal processes.

Contact our team today on 1300 795 800, to find out more.

Or you can download our free eBook, Taking The Next Step, which contains all of the information you need to know about how to capitalise on your growing business success.