Robinsons increases turnover and reduces cost with multi channel software

A new computer system was essential to enable Robinsons to achieve their ambitious plans for future growth. During the planning process, a number of key requirements were identified including a fully integrated web site, the use of an industry standard database such as Oracle and strong mail order functionality.

Robinsons send out 500,000 catalogues a year by post, as inserts in magazines and at customer request. The catalogues are distributed throughout the UK and Europe. All Robinsons' lists are managed on Maginus. The marketing department within Robinsons now plans to use the powerful promotions functionality within Maginus to drive multibuy offers and special deals across different catalogues.

As Robinsons is a very seasonal business the number of sales operators varies from 12 staff in the quieter months to 35 in the busy spring and Christmas periods. The intuitive Windows design of Maginus' screens allows temporary staff to become effective extremely quickly. Maginus replaced a character-based Sanderson Mailbrain computer system. Surprisingly for those who cling to the view that character-based interfaces are more efficient than modern Windows systems, Maginus has in fact improved the speed with which orders can be entered onto the system. This was evident during the post Christmas sale when Robinsons took their highest-ever volumes of orders, with the usual number of staff.

Entering orders quickly is only part of the customer service equation, sales staff also need access to information to answer customer queries. Nigel Best, Financial Director at Robinsons, commented, "Maginus is very flexible in the way staff can access information. Our Sales Operators have quickly got the hang of the new system and they're enjoying the flexibility it offers."

A key requirement in the new system was e-Commerce enablement. Robinsons plan to increase the percentage of orders from the web channel from 6% currently to 15-20%. Whilst the old system required rekeying, Maginus allows orders to be automatically taken into the system, as well as providing a single point of maintenance for all product, pricing and other business information. This has increased the speed and accuracy of order fulfilment.

Robinsons plan to give customers the option to see the status of all their orders on the web, irrespective of the channel used to place the order. They also plan to link in a carrier interface so customers can see exactly where the order is. The ultimate aim is that customers can answer most queries by accessing their account on-line. This will have the knock-on effect of reducing the number of customer service queries to the call centre, freeing sales staff to handle greater volumes of business.

Robinsons will soon open a new warehouse with goods inward and bulk storage facilities, whilst an expanded picking area will fill the existing building. There will be relationship partners who will have separate pricing arrangements that can be accessed via Robinsons' Maginus Webstore powered web site. The multicurrency functionality within Maginus will also allow Robinsons to significantly open up the Irish market and the wider European market. Nigel Best commented, "Maginus has forced us to be more disciplined in the warehouse environment. This has meant that we now have a much more accurate position on stock availability and physical location".

The bonded warehouse and batch traceability functionality within Maginus had a positive impact on cash flow. Robinsons used to pay duty and VAT when the goods are landed, but now they pay when goods are released for open sale. Robinsons also use Maginus to control the CSFP documentation.

The 20,000 sq ft shop, which sells over the counter, takes mail order and trade orders and uses an EPOS system from POS Ltd, which has been easily integrated into the Maginus system. The end-of-day download to the main system drives automatic stock replenishment from the main warehouse. Maginus has allowed the stockholding at the shop to reduce by 20% whilst still maintaining order fill rates. Maginus will also allow Euros payments.

Nigel Best concluded, "I expect Maginus will pay for itself in three years. This will be due to the higher turnover from the web and international sales, and savings from increased warehouse productivity and increased efficiency in the sales office. We also expect customer service to improve through faster, more accurate order fulfilment and the increased ability to answer customer queries."