ZALANDO CONVENIEN C E C A P I T A L M A R K E T S D A Y 2 0 1 7 D A V I D S C H R Ö D E R M A S O O D C H O U D H R Y 1 9 - 0 6 - 2 0 1 7
TABLE OF CONTENTS 1. WHERE WE WANT TO GO 2. HOW WE WILL MAKE IT HAPPEN 3. WHICH ROLE MÖNCHENGLADBACH PLAYS 4. Q&A 2
O U R M I S S I O N AS Z AL A N D O O P E R AT I O N S I S T O B E C O M E T H E B E S T F U L F I L M E N T P AR T N E R F O R F AS H I O N I N E U R O P E CUSTOMER SUSTAINABLE OPERATIONAL SATISFACTION GROWTH EXCELLENCE 3
Z AL AN D O C O N V E N I E N C E S U P P O R T S T H E Z AL AN D O P L AT F O R M W I T H T H R E E K E Y S E R V I C E S P A Y M E N T S L O G I S T I C S C U S T O M E R C A R E Payment processing Warehouse logistics Mail & phone support • • • (inbound, storage, parcel Payment customer care Chat • • outbound) Dunning & collection Social Media • • Returns handling • Fraud prevention Self-help / Smart FAQ • • Transportation & shipping • Receivables accounting • Network planning • Deferred payments offering • Warehouse engineering • 4
CLEAR CUSTOM ER CENTRICITY FOCUS LEADS TO NPS at all- SIGNIFICANT INCREASE IN CUSTOM ER SATISF AC TION time high +5 points 1 P AY M E N T L O G I S T I C S C U S T O M E R C AR E + 4 % + 4 % + 1 1 % 2014 2016 2014 2016 2014 2016 Satisfaction in % Satisfaction in % Satisfaction in % CAGR Note: Customer satisfaction in percent of customers evaluating service as 1 or 2 on a scale of 1 to 5 with 1 = very satisfied , 5 = not satisfied. 5 (1) YoY as per Dec-2016.
C O N T I N U E D C AP AC I T Y E X P AN S I O N SUPPORTS BUSI NESS GROWTH P AY M E N T L O G I S T I C S C U S T O M E R C AR E + 3 8 % + 2 8 % + 1 7 % 2014 2016 2014 2016 2014 2016 Number of transactions in m Number of shipments in m Number of contacts in m 6 CAGR
CONTINUOUS IM PROVEM ENT CULTURE DRIVES OPERATION AL EXCELLENCE P AY M E N T L O G I S T I C S C U S T O M E R C AR E - 1 0 % - 3 % - 8 % 2014 2016 2014 2016 2014 2016 Total Payment costs in € / order Logistics costs in € / item Contact rate in % of orders CAGR 7
TABLE OF CONTENTS 1. WHERE WE WANT TO GO 2. HOW WE WILL MAKE IT HAPPEN 3. WHICH ROLE MÖNCHENGLADBACH PLAYS 4. Q&A 8
LOGISTICS NETWORK EXPANSION 9
THE EUROPEAN ENVIRONM ENT IS CONTINUALLY CHANGING THE CUSTOMER IS BECOMING THE MARKET IS BECOMING MORE AND “ MORE AND MORE DEMANDING MORE INNOVATIVE AND COMPETITIVE GOOD PRICES BRAND TRUST ONLINE RETAILERS UNDER PRESSURE BROAD AND EXCLUSIVE THESE SIX-WHEELED DELIVERY FROM GENERATION CONSUMERS FOR SELECTION ROBOTS ARE STARTING TRIALS IN CHEAPER AND MORE CONVENIENT EUROPE CONVENIENT RETURNS FULFILMENT OPTIONS FAST AND RELIABLE DELIVERY AMAZON IS LOOKING TO EXPAND ITS EASY TO USE ECOMMERCE EUROPE SHAPES THE TWO-HOUR PRIME NOW DELIVERY FUTURE OF CROSS-BORDER PARCEL SERVICE IN EUROPE BY ESTABLISHING IN-STORE AVAILABILITY DELIVERY 1,300 NEW WAREHOUSES CHECKABLE GREAT LOYALTY PROGRAM STORE PRICES MATCH ONLINE PRICES FAST DELIVERIES TO GROW BY 40 THE ASOS SUPPLY CHAIN CHARMS THE SUPERIOR CUSTOMER REVIEWS PERCENT YEAR-ON-YEAR UNTIL 2025, MILLENNIAL SHOPPERS SAYS NEW STUDIE 10 Note: (1) Source: PWC, „Total Retail Survey“ 2016, n=22.618, Q: „Thinking of your favorite online retailer, why do you shop h ere ?“
WE WILL CONTINUE TO PLACE OUR CUSTOM ERS FIRST AND WE WILL ENABLE NEW PARTNERS TO SCALE THEIR BUSINESS ON OUR PLATFORM FREE & FASTER PERSONALIZED OPEN UP OUR DELIVERY AND RETURNS CONVENIENCE LOGISTIS CAPABILITIES • Being able to reach 95% of our • Preferred delivery & returns option to • Provide logistics solutions to help our customers within 1-2 days 95% of our customers partners to scale their business on our platform in a cost efficient way • Leading returns proposition • Personalized recommendation of delivery and returns services • Increase convenience level of Zalando • Free 24hr service for good customers Partner Program for our customers ! !! MACRO MICRO ZALANDO NETWORK DEVELOPMENT NETWORK DEVELOPMENT FULFILLMENT SOLUTIONS 11
WE ARE EXPANDING OUR LOGISTICS OPERATIONS TO A ! TRULY EUROPEAN NETWORK EXISTING FOOTPRINT HUB BUILT-OUT Purpose: Scale, flexibility and process efficiency TOTAL CAPACITY OF ~€8BN IN REVENUES M’GLADBACH HUB Serving majority of our markets (10-15 markets) STOCKHOLM SPOKE ~130,000 m2 Start end of 2017 Start in 2013 High degree of automation SZCZECIN HUB PARIS SPOKE ~130,000 m2 ~20,000 m2 Start in autumn ‘17 Start in 2017 SPOKE BUILT-OUT BRIESELANG HUB LAHR HUB ~30,000 m2 ~125,000 m2 Purpose: Reduction of lead times to customers Start in 2011 Start in 2016 ERFURT HUB MILAN SPOKE Serving only local markets (1-3 markets) ~20,000 m2 ~130,000 m2 Start in 2012 Start in 2016 Low-medium degree of automation 12
WE CONTINUALLY STRIVE TO PROVIDE EVEN BETTER SERVICES ! TO OUR CUSTOM ERS ACROSS EUROPE Same day reach (LH 1 < 2hrs), in % Next day reach (LH 1 < 9hrs), in % 2 nd day reach (LH 1 < 18hrs) in % 92 92 95 79 72 69 66 31 22 20 19 1 2011 ... 2017 2018 2019 go-live go-live Planned extensions Brieselang Moissy (FR), Brunna (SWE), Gardno (PL) 13 (1) LH = line-haul
WE CONTINUALLY STRIVE TO PROVIDE EVEN BETTER SERVICES !! TO OUR CUSTOM ERS ACROSS EUROPE CUSTOMER NEEDS OUR SERVICE OUR NETWORK CEP Free Delivery Free Standard & Return Delivery & Return Carrier, Express Delivery Reliable Express & Timeslot Delivery Delivery Parcel Network Wish-day Delivery Convenient Pick-up & Delivery & Drop-Off Points Return LDN Same Day Delivery Fast Delivery Local Delivery & & Return Network Return on Demand 14
STRONG FOCUS ON DEFERRED PAYMENT METHODS 15
WE ALRE ADY OFFER A BROAD VARIETY OF PAYM ENT M ETHODS... OVER 20 PAYMENT METHODS INVOICE TAILORED TO LOCAL NEEDS PREPAYMENT PERSONALIZED OFFERING CHEQUE 16
...WITH A STRONG FOCUS ON DEFERRED PAYM ENT M ETHODS DEFERRED PAYMENT METHODS CHARGES CUSTOMERS ONLY FOR THE GOODS THEY KEEP AFTER A CERTAIN TIME PERIOD WHEN do you want to provide the funds? immediately payment term credit credit INVOICE BANK TRANS. INVOICE INSTALLMENTS HOW do CREDIT CARD PAYLATER you CREDIT CARD PAYLATER We already offer a strong invoice want DIRECT DEBIT DIRECT DEBIT product in 9 countries! to pay? PAYPAL CASH ON DELIVERY PAY LATER CREDIT CARD + + Only pay what you keep All funds transferred automatically COMBINES THE BEST OF TWO + + No risk as customer Low merchant side risk WORLDS - - Hassle of bank transfer Order needs to be paid directly - - Risky for merchant to offer Large orders require high credit card limits FIRST TESTS IN FRANCE SHOW PROMISING RESULTS INVOICE CREDIT CARD 17
INTERACTIVE AND SEAMLESS CUSTOMER CONTACT 18
WHY WE CREATED AN INTERACTIVE HELP AND CONTACT CENTER REDUCE CUSTOMER CARE FULFILL CUSTOMER NEED Approx. 40% of inquires can be Customers often search for solved with easy replies or answers via search engines info the customer already has FOCUS ON HIGH VALUE ADD COLLECT & LEVERAGE DATA We want customer care to Focus Self-help usage data leads to its resources on true value better insight and categorization add inquiries of customer pain-points 19
WHAT WE OFFER IN OUR HELP AND CONTACT CENTER 1 3 CUSTOMER QUESTION Does Zalando refund the costs for express delivery? 2 20
TABLE OF CONTENTS 1. WHERE WE WANT TO GO 2. HOW WE WILL MAKE IT HAPPEN 3. WHICH ROLE MÖNCHENGLADBACH PLAYS 4. Q&A 21
ZAL AND O LOGISTICS M ÖNCHENGLADB ACH AT A GLANCE 130,000m² New area of fulfillment center Bagsorter 500.000 bags 20km ~4 years old >2,100 conveyor operational since 2013 employees system 22
M ÖNCHENGLADB ACH HAS AN IM PORTANT ROLE WITHIN OUR NETWORK, ESPECIALLY FOR WESTERN M ARKETS LOCATED IN A HIGH DENSITY LOCATED IN THE MIDDLE OF THE AREA WITH 62 MILLION EU SERVING ALL OUR 15 INHABITANTS WITHIN A 3 HOUR MARKETS DRIVING TIME OUR FIRST ZALANDO HIGHLY AUTOMATED, WITH BAG- FULFILLMENT SOLUTION SORTER IN RAMP-UP MODE LOCATION, FULFILLING SINCE 02/16 23
M ÖNCHENGLADB ACH – THE LAYOUT PHASE 1: UNITS 1-3 (66K M²), 2013 PHASE 2: UNITS 4-5 (44K M²); 2017 Bagstore/ Picktower / Picktower Inbound/ Outbound Picktower Bagsorter Outbound Bagsorter Inbound Hall 3 Hall 4 Hall 5 Hall 1 Hall 2 Receive Singe & Multi-Order Singe & Multi-Order Retoure Dock Container Buffer Outbound Dock Inbound Bagsorter Pack Area Bag Pack Area (High Dynamic Storage) 24
M ÖNCHENGLADB ACH KEY PROCESSES CUSTOMER TRY ON POTENTIAL SHIPPING RETURN MULTI PACKING INBOUND DOCK RECEIVE SINGLE SORT (MULTI ONLY) PACKING PICKING STOW CUSTOMER ORDER CUSTOMER ORDER GOODS RECEIVE MANAGEMENT & OUTBOUND PROCESS & INBOUND & RETURNS PROCESS 25
26
Recommend
More recommend
