Innovations helped Indiex recover from the epidemic for many years, but it soon came to fruition. For more than a decade, the world’s largest clothing retailer has been working to unify its online operations with a network of more than 6,000 stores around the world.
The Spanish-based team completed a crucial step in that process – hundreds of millions Tracking devices And it ends with a big computer power – before Covid-19 trades.
As a result, Indeter has continued to intensify its efforts to sell stocks in closed stores during the epidemic, to push products down and increase profitability, and to collect in-person and online transactions.
“We have been working for years on the integration of the physical and digital worlds,” said Pablo Isla, executive director of Index. “In the last two years, we have seen the end of this process, but we have also seen an acceleration.”
Indirex is the only digital drive away, and companies on the planet are stepping up their efforts to deal with the epidemic. Some critics suggest that the Index model, which still relies on brick-and-mortar retailers, may struggle to track digital-only broadcasts in the future. Others argue that the group is trying to reduce its environmental impact, but that fashion is not sustainable.
However, the integration of Inditex stores and online services is all the same. In some ways, today it is the core of the company, a group formed and still controlled by the richest man in Spain, Amancho Ortega, who prioritizes fast-paced production and customer choice over managerial preferences. .
The team’s physical-online integration has been a combination of factors that can be traced back to tracking devices; A common stock database of a company known as a single inventory system; And an in-house digital platform that handles almost all of the team’s activities.
In many ways, the starting point is a tracking technology called RFID. RFID devices, which include small circuits and small antennas, are hidden in clothing security tags and can be reused, reducing costs.
Still, Index uses 300m RFID devices, which handle more than 1 billion garments a year. The devices provide useful information to Indexx, keeping track of all the company’s products in the hands of customers, and enable the group’s 6,650 stores to become mini-warehouses for orders.
The devices take their place in a variety of indentation coats or jackets life cycle – from factory, factory, to warehouses in metal scanners before ship, to backyard stores and display areas, where employees conduct stock checks. Waving electromagnetic wards on his clothes several times a day.
The system will be distributed on the Inditex network by the end of 2019, including Zara stores and brands such as Stradivarius and Pull & Bear. The timing is crucial – with the epidemic closing 95 percent of Index’s stores by April 2020, a single inventory system could be used to cover a significant increase in online sales, up from 14 to 32 percent last year.
The impact this year is also significant. According to a September report, Indirex surpassed pre-epidemic earnings, profits and finances – a milestone that rivals such as H&M have yet to achieve. Between May and July, sales reached 99 6.99 billion, up 1.4 percent in 2019.
Analysts cited consumer demand, a store improvement program to a smaller, larger, more efficient retail system and a single inventory system – which helped keep the group down 4 percent from 2019 levels.
“Sales are ahead of the real level two years ago and I don’t think many retailers have reached this level,” said social media analyst Anne Crichlow.
Isla, who has run the company since 2005, explains the importance of an improved system. “Single stock was important in 2020, but it is key to our overall approach. Our online customers provide not only what we store in our online storage rooms, but also the product in stores.
“At the moment, there may be an invisible product in the store, because new collections have arrived, or there is no full size, but we can continue to appreciate the single inventory system. For our online customers.
“This is very good in terms of customer service and very positive for the company in terms of overall profit, because it prolongs the life of the product and the opportunity to sell it at full price.”
Indatex tries to implement this integrated approach with customer experience. Although there are national differences, in countries the group offers similar products online and in person, customers sample the clothes in stores before they buy online, or vice versa.
Physical Stores Sometimes even the online display is a monkey monkey, next to each other in different shapes, the customer flipping through them, but the store wall seems to be dedicated to a particular set.
And thanks to the system in nearly 500 locations in 21 countries, the company calls “Shop Mode” – consumers can use the Zara app to find out which store has a particular outfit and where in the store. The system is also being rolled out to other brands in the group.
The scope of indentation needs is high on the team’s data and computer resources, and the company says it will meet IT architecture through the Inditex Open Platform. Executives liken this to a huge digital building with a variety of components, from design to logistics to finance; Operations in different countries and languages; And information on a single storage system.
It is also a relatively recent invention. Over the past five years, as part of the € 11bn investment program, 95 percent of the group’s activities have shifted from a third-party platform to an open-ended platform.
The company said the process should be completed next year and that Index will provide capacity to grow. “With our open platform, we have up to 10 times the capacity per minute,” says Isla, which will enable Index to operate faster than its high-volume competitors, such as Black Friday.
Due to the micro service – individual features or applications that meet the needs of different departments – the system can be easily customized to meet the needs of indiex or startup technology teams.
But Index, a company that is often far from public, ignores the broader approach it has devised. Asked what the changes in technology had to other businesses during the Index period, Isla said, “I would never say that.” “I’m talking about what we’re doing, Inditex, what we’re doing. I can’t recommend other companies.