Telecommunications Device Manufacturer

15% Decrease in Cash Tied Up in Inventory and Better Transacting Cost With Increased Revenue

This client was serving the European market where many retailers had special packaging and delivery requirements. The client had limited direct to consumer capabilities and a small in-country fulfillment and warehousing network, with higher costs of shipping finished product from Asia to Europe and the frequent need to rework devices to install updated firmware packages.

Telecommunications Device Manufacturer's needs

  • Ability to do have sourcing of packaging materials and do packaging at moment of actual customer demand
  • Ability expand sales channels requiring complex routing guide for specialized packaging, palletization and delivery needs
  • Ability to keep low inventory levels by shipping from a single European DC for all B2B and B2B fulfillment
  • Ability to allow us to expand D2C channel with additional countries without client needing to build up a complex D2C cross border solution
  • Ability to work as an outsourcing partner bringing expertise allowing the Client’s team to be nimble and focused on their client growth and satisfaction
  • Ability to do complex serialization requirements and tracking
  • Ability to provide combination of best-in-class forwarder network and tracking services optimized without actual forwarder lock-in

The results

Prior to ModusLink’s solutions, we had 4 warehouses within Europe and 4 local organizations to handle the specific set of countries per DC. Working with ModusLink allowed us to keep our own team nimble and have our teams focused on the client needs and revenue growth on a stable, expandable platform throughout Europe. In addition to the pure fulfillment we expanded our D2C capability by using ModusLink’s payment and compliance services for European distance selling. Our airfreight cost was reduced by 30% as we now only ship products in bulk. (without expensive Chinese air)

COO

CE Company