12/10/2011, From Department Store to Multichannel Retailer
As an experienced and qualified consulting services and IT provider for all e-commerce and multichannel distribution matters, arvato Systems implemented a custom tailored, end-to-end e-commerce solution together with GALERIA Kaufhof GmbH following nearly a year of preparations. The online shop went live on 7 October at www.galeria-kaufhof.de.
In doing so, GALERIA Kaufhof GmbH, one of the leading department store operators in Europe, is expanding its brick and mortar concept to include new, trendsetting distribution channels in e-commerce with the goal of becoming one of Germany’s leading multichannel retailers.
There were several challenges faced in completing the project. The main one was to find an intelligent solution for linking the traditional store business with the online operations. The aim here was to create a convenient and appealing shopping experience for customers over all touch points, as well as to increase customer satisfaction and long-term customer loyalty. In choosing arvato Systems, GALERIA Kaufhof now has a strong partner in e-commerce.
arvato Systems’ many years of experience in implementing web shops and in systems integration, as well as its expertise in leading ERP systems, including Microsoft and SAP, ensure that e-commerce and multichannel solutions are implemented in a successful, rapid, and sustainable manner. Having been a Hybris platinum partner for many years now, arvato Systems delivers numerous trendsetting extensions in e-commerce, such as third-party order vendor portals and a multichannel commerce suite.
GALERIA Kaufhof has chosen to go with the multichannel retail concept from arvato Systems. Here, online and offline activities are strategically linked and coordinated, with its traditional retail operations now backed by a powerful online distribution channel. By efficiently linking integrated services in the areas of logistics, financial management, service center, and IT, the orders customers place are processed with the highest level of efficiency.
For GALERIA Kaufhof customers, this means, above all, flexibility and first-class customer service achieved through the synergy between the brick and mortal stores and online shops. Customers are allowed to choose where and how they want to purchase and receive items, and therefore benefit from the advantages of both a web shop and a traditional department store.
With the “send-to-store” solution, customers can place and pay for orders online and, in addition to traditional shipping options, also have goods sent directly to the nearest store. Customers then receive a text message to notify them that their order has arrived.
GALERIA Kaufhof will also be offering the “pick-in-store” solution while continuing to expand its online store. With this option, customers can reserve items at a store online, and then to pick them up and pay for them there. It’s already possible today to place an order at a shop and have it sent to the customer’s home (shelf extension). In other words, the boundaries between distribution channels are dissolving and customers are served at the location of their choice.
There are plans to expand the initial range of 20,000 products to 40,000 by the end of the year, meaning the entire range of products offered by Kaufhof will be available online, along with many other fashion and lifestyle products.
GALERIA Kaufhof GmbH
Headquartered in Cologne, GALERIA Kaufhof GmbH is part of the METRO GROUP and one of Europe’s leading department stores. The company was founded in 1879 as a modern lifestyle provider with the innovative and successful Galeria concept. GALERIA Kaufhof GmbH currently operates 109 department stores and 16 sporting goods shops in Germany, as well as 15 department stores in Belgium. In 2010, the company had approx. 24,500 employees and generated €3.6 billion in revenue.
Questions about the project? Contact Hubert.Peter@Bertelsmann.de