1. Logistics
for
Marketing
This
copyrighted
document
is
the
property
of
OOO
Kupishoes
and
is
disclosed
in
confidence.
It
may
not
be
copied,
disclosed
to
others,
or
used
for
manufacturing,
without
the
prior
consent
of
OOO
Kupishoes.
Liubomir
Kuchuk
5th
of
June
2014
3. Lamoda
is
backed
by
experienced
investors…
3
Globally
renowned
investors
Press
Clippings
4. …
and
has
access
to
unique
global
knowledge
and
experience
in
e-‐commerce
through
companies
founded
by
our
investors
4
E-‐commerce
companies
founded
by
our
investors
5. Q4
2013
Q3
2013
Q2
2013
Q4
2012
Q1
2013
Q3
2012
Q2
2012
Q1
2012
Q4
2011
Q3
2011
Q2
2011
Lamoda’s
growth
has
been
exponential,
covering
already
all
key
markets
in
CIS
5
Partners
who
trust
us
Reaching
customers
across
Russia
and
CIS
Present
now
To
be
launched
shortly
Goal
-‐
#1
in
Russia
and
CIS
>80k#
SKUs~1000#
brands
Volume
Number
of
orders
Kazakhstan
Ukraine
7. Logistics
infrastructure
is
the
main
challenge
for
ecommerce
in
Russia
7
Germany
China
USA2x
2x
50x
Existing
courier
firms
not
tailored
for
fashion
e-‐commerce
Supply
challenge
▪ Not
customer
experience
focused
▪ Relatively
slow
▪ Relatively
expensive
Demand
challenge
Customers
expect
highest
service
level
▪ Try
on
at
door
▪ Cash
on
delivery
▪ Next
day
delivery
▪ Friendly
and
timely
couriers
How
to
deliver
superior
customer
experience
to
demanding
customers
across
17.000.000
km2?
8. When
launched
in
2011,
Lamoda
partnered
with
the
most
successful
companies…
8
Leading
international
freight
agent,
used
for
delivering
goods
to
Russia
Well
known
European
3PL
provider
with
facilities
in
Russia
Leading
international
express
delivery
agent
One
of
biggest
players
in
Russia
WH
and
fulfillment
Inbound
freight
Delivery
to
customers
Call
Center
Initial
Setup
9. …
but
customer
needs
were
not
met
9
Long
lead-‐time
in
delivery
of
goods
from
suppliers
at
high
cost
Long
lead-‐time
in
all
WH
processes
Low
quality
of
stock
Not
efficient
usage
of
space
Long
lead
time
of
delivery
Non
traceable
orders
Customer
lower
satisfaction
Low
SLA
Low
understanding
of
our
products
Not
familiar
with
business
model
Inbound
freight
Call
Center
WH
and
fulfillment
Delivery
to
customers
Challenges
10. Hence
Lamoda
has
developed
its
own,
integrated
ecommerce
platform
10
Inhouse
import
team
to
bring
inventory
online
first
in
the
season
Lamoda
Distribution
Center
in
Moscow
focused
on
fast
fulfillment
and
attractive
cut-‐off
times
for
customers
(e.g.
24h
Moscow
for
next
day)
Lamoda
Express
as
the
fastest
B2C
delivery
company
in
Russia/
Kazakhstan
(next
day
delivery
in
>50
cities,
e.g.
Almaty,
Ekaterinburg)
Lamoda
Call
Center
with
highest
service
level
for
inbound
and
outbound
operations
Inbound
freight
Call
Center
WH
and
fulfillment
Delivery
to
customers
Market-‐specific
Solution
11. Content
11
4
2
3
1 Intro
–
Lamoda
background
Why
we
need
to
do
own
logistics?
Implications
of
technology
on
the
business
model
What
does
that
mean
to
customers?
12. Customer
experience
that
we
offer
is
reflected
in
every
step
of
the
value
chain…
12
Call
Centre
!
!
Distribution
Centre
!
!
!
Own
fashion
delivery
99.98%
items
availability
in
the
DC
99%
of
calls
originated
within
first
5
minutes
from
order
creation
Trained
sales
reps
to
support
in
choosing
the
right
goods
DC
in
Moscow
where
40%
of
market
is
located
90%
of
calls
are
answered
within
20
seconds Next
day
delivery
in
>50
cities
Next
day
delivery
in
Moscow
when
ordered
before
Midnight
64
delivery
methods
99.99%
outbound
service
level
17. Customer
experience
that
we
offer
is
reflected
in
every
step
of
the
value
chain…
17
Call
Centre
!
!
Distribution
Centre
!
!
!
Own
fashion
delivery
99.98%
items
availability
in
the
DC
99%
of
calls
originated
within
first
5
minutes
from
order
creation
Trained
sales
reps
to
support
in
choosing
the
right
goods
DC
in
Moscow
where
40%
of
market
is
located
90%
of
calls
are
answered
within
20
seconds Next
day
delivery
in
>50
cities
Next
day
delivery
in
Moscow
when
ordered
before
Midnight
64
delivery
methods
99.99%
outbound
service
level
18. …
and
results
in
massive
impact
on
economics
18
Quick
confirmation
calls
reduce
cancellation
rate
Fast
delivery
reduces
rejection
rate
Our
high
quality
delivery
service
reduces
rejection
rate
Our
high
quality
delivery
service
increases
repurchasing
rate
-‐35%
10+
min5-‐10
min1-‐5
min<1
min
+6%
6
month3
month1
month
Lamoda
Express
Other
courier
companies
-‐17%
Other
courier
companies
Lamoda
Express
-‐10%
4+
days3
days2
daysnext
day
19. Our
efforts
resulted
in
significant
improvement
of
customer
experience
over
last
year
Net
promoters
score
(NPS) %
of
satisfied
customers
Promoters,
%
Detractors,
%
NPS,
%
86817876
3555
83767371
Q2
2013
Q3
2013
Q4
2013
Q1
2014
89848285
Satisfied
and
fully
satisfied
Website
91848282
Delivery
94878782
Customer
Care
Q2
2013
Q3
2013
Q4
2013
Q1
2014
From
-‐100%
to+100%
19
21. In
distribution
center,
internal
movements
are
supported
by
improved
technology
which
resulted
in
increased
quality
100%
control
and
track
of
internal
movements…
…increased
quality
21
Hand
free
scanner
Transport
solutions
Zebra
label
printer
18
months
ago
13
times
Today
1,5
mistake
out
of
10.000
orders
Relative
number
of
mistakes
in
distribution
center
22. Further
improvements
will
come
from
implementation
of
technology
in
process
automation
22
LoadingDispatchingPackagingSortingPicking
23. Additionally,
last
mile
delivery
will
be
supported
by
sophisticated
software
for
tablets
to
improve
performance
23
Operational
efficiency
• Instant
status
update
in
ERP
• Delivery
interval
hit/miss
control
• Real-‐time
fleet
management
• Complete
transparency
for
customer
care
centre
Customer
Services
• Client
orders
on
screen
with
rich
media
and
suggestions
• Order
specific
information
• Unlimited
opportunity
for
upselling
• Deep
integration
with
CRM
Sales
Force
Management
• Real-‐time
tracking
of
KPIs
• Team
ranking
to
build
competition
and
drive
performance
• Gamification
to
motivate
personnel
24. Thank
you!
This
copyrighted
document
is
the
property
of
OOO
Kupishoes
and
is
disclosed
in
confidence.
It
may
not
be
copied,
disclosed
to
others,
or
used
for
manufacturing,
without
the
prior
consent
of
OOO
Kupishoes.
