Didriks E-Commerce Expansion and Operations Optimization
Strategic e-commerce and operations improvements for an upscale homewares retailer.
2014-2020
Client: Didriks
Role
Manager & E-Commerce Lead
Service
Data Analysis
Workflow Optimization
E-Commerce Content Management
Product Copywriting
Sales Team Management
Objective
Didriks is an upscale, independent homewares and kitchenwares retailer that sells thousands of products from over 70 brands. This role had two main objectives, an e-commerce objective and a related operations objective.
Operations
The operations objective of this role was to optimize and systematize the purchasing workflow, including setting purchasing targets, inventory level targets, sales targets, and budgets by vendor. These targets needed to be reassessed regularly for existing vendors and set for new vendors.
E-Commerce
The e-commerce objective of this role was to increase the volume of vendor products available on the e-commerce website, improve the quality of the e-commerce product pages, and align the online and in-store offerings.
CASE STUDY CONTENTS
Operations
Establishing Informed Boundaries for Purchasing
Establishing Systems
E-Commerce
Aligning On-line and In-store Offerings
Expanding the E-Commerce Site
Improving Product Pages
Operations
Setting Sales & Purchasing Targets
Establishing Informed Boundaries for Purchasing
Didriks offers an impressive selection of high quality products from respected homewares and kitchenwares brands (similar in selection to a more curated Williams Sonoma). When I first took on the store management role, purchasing was done intuitively and by eye via Netsuite. Though the ordering platform was robust, many of the tools available were not being used. Reorder levels for most SKUs were missing. Where they had been entered, they were not aligned with any particular budget or sales targets. An onboarding process for new vendors into the database was not in place.
Over the course of approximately two years I worked on several initiatives to address these issues, creating a system that I maintained going forward.
Analysis of Sales Reports – I reviewed sales reports for each vendor going back 5 years or as far as the vendor history allowed if they were newer. This allowed me to establish realistic sales targets for each vendor and to identify hero brands and bestselling products.
Setting Purchasing Targets - Based on the sales targets from the analysis, annual purchasing targets were set for each vendor.
Setting Inventory Reorder Levels – Based on the purchasing targets and the average number of orders placed each year, the inventory levels for each vendor were customized to prioritize bestselling products and baseline staples.
Cleaning Up Inventory Data – The inventory needed to be accurate for the inventory reorder points to function. Working with the sales and picking/shipping team, I initiated a cyclic process of inventorying each vendor at regular intervals to minimize errors in the data.
Establishing Systems
Systematizing Vendor Onboarding – A template for the above process was created, allowing new brands to be integrated into the database consistently and comprehensively.
System Maintenance and Review – The inventory targets were reassessed approximately every 6 months to account for shifts in vendor and product performance as well as customer insights from the sales team.
E-Commerce
E-Commerce Expansion and Optimization
Aligning Online and In-store Offerings
When I came on board, the in-store offerings were extensive but the online offerings represented only a fraction of what was in the store, and in many cases what was not in the store at all. Online sales were steady but not growing. As online orders shipped out of the main brick-and-mortar location, aligning the in-store inventory with the online offerings was a primary long-term project. This project included:
E-Commerce Product Audit: I conducted a deep analysis of the e-commerce sales and cross-referenced it with in-store sales using customized sales reports in Excel to determine the best opportunities to increase sales performance.
Setting Vendor Priority: Based on insights from the sales analysis and a determination of the 15 brands that would be core to Didriks’ offering, vendors were prioritized in the order of importance and the selection of products Didriks would feature was identified.
Expanding the E-Commerce Platform
Over the course of six months I worked with a team of five to populate the e-commerce site with the hundreds of new products I had identified as prime candidates for improving online sales performance and aligning with in-store stock. This project involved the following:
Establishing the Master Spreadsheet: I created a master spreadsheet with all data required for the products to be input into the website. This spreadsheet was a powerful shared working document for the e-commerce team. It included all data pertaining to the product, such as dimensions and technical specifications, color options, photos, vendor information, care guidelines, SEO keywords, and metadata.
Strengthening Internal Documentation: Internal documents were shared on Google Drive. I established a system of adding new information to the drive and improved the order and navigation of the existing content.
Creating Training Documents: The sales team needed to be trained to add products to the site via Netsuite. This required back-end training, for which I created training videos, walk-throughs, and checklists to ensure a consistent result.
Leading the Team: I led an introductory training on adding products to the site, which was supplemented by the training documents listed above. I then held weekly meetings with the team to check-in on progress, discuss obstacles, and trouble-shoot the process.
Improving Product Pages
In addition to creating new product pages of high quality, existing product pages needed to be audited for consistency and completeness. While some of our vendors provided high quality product copy, many international brands had poorly translated copy, and many independent brands had either mid-level quality copy, confusing copy, or no copy.
Page Audit: I reviewed existing product pages for errors, omissions, absence of copy, poor copy, and SEO. I then created a spreadsheet of issues that needed to be resolved and worked with the e-commerce team to resolve them.
Didriks Voice Definition: Based on market and competitor research and the high end brands we represented, the Didriks voice was defined as refined, trustworthy, evocative, and aspirational.
Product Copywriting: I wrote or edited copy as needed for any products with missing or subpar copy. In the examples below, the French brand Jars has stilted, at times ungrammatical copy that can be abstractly poetic. I revised the copy for the various collections to flow smoothly and to offer an elevated, detailed description of the product.
Didriks Brand Voice
Trustworthy / Refined / Evocative / Aspirational
Results & Impact
The impact on both operational efficiency and sales was both immediate and increasingly powerful over time.
The measures to improve operations workflows had the following impacts:
ordering became 2-3x faster and more strategic
overspending was reduced by over 30% or more per vendor
orders shipped more 3-4 business days faster on average, as products were more likely to be in stock
inventory inaccuracy went down by over 60%
dead stock levels fell by 30% over two years
The e-commerce expansion initiative had the following impacts:
over 1000 products were added to the site over 6 months
online sales increased by over 10% in 6 months
overall site traffic increased by 15% in 6 months
The company at the end of my tenure was more efficient and more profitable, with a high volume of institutional knowledge documented and preserved.