OrderGrid's Impact on ASDA’s Back-of-Store Fulfillment
ASDA recognized the growing need for an efficient, low-cost and streamlined back-of-store fulfillment solution amidst an expanding e-commerce landscape. To address this, they sought to establish a back-of-store micro-fulfillment center (MFC) that could maximize space usage and revenue within their existing store footprint.
2X revenue boost
High efficiency
Cost effective
Easy to scale
Challenge
Balancing Profitability, Pricing, and Product Range in a Back-of-Store MFC
- Implementing a solution that was profitable even with lower order volumes
- Offering the lowest possible prices to boost customer demand and stay competitive
- Providing a wide variety of products without incurring high waste levels
OrderGrid solution
Optimized Cost Efficiency with OrderGrid
The OrderGrid system enables ASDA to utilize compact, existing store space and current labor efficiently, servicing digital customers at a lower cost while maximizing resource use
Accurate & Efficient Picking
OrderGrid ensures over 99.9% order accuracy, significantly reducing labor spent on handling substitutions, missing items, or post-sale customer service issues
Maximized SKU Range with Efficient Replenishment
Our Replenishment Suite enables ASDA to replenish from their store, allowing for an extensive range of 1,200 SKUs in a 500 sq ft space, efficiently balancing inventory across physical and on-demand channels to avoid increased waste
Impact
Reduced Prices
OrderGrid's efficient system and ASDA’s utilization of existing resources led to minimal price markups
High Efficiency
Achieving an average of more than 100 orders per day within a compact 540 sq ft space
Cost-Effective
No additional labor costs or lease costs incurred, thanks to the utilization of existing staff and space
2X Revenue Boost
2X the revenue per square foot of the total store footprint
Conclusion
OrderGrid's Impact on ASDA's Micro Fulfillment Centers
OrderGrid's solution adeptly met the challenges faced by ASDA, turning a modest section of their store into a highly efficient and profitable micro fulfillment center (MFC). This case study not only showcases the transformative power of smart technology in retail operations but also highlights ASDA's ambitious plans for significant growth in their number of sites. The success story underscores the potential of scalable, efficient, and sustainable models in driving future growth in the on-demand sector.
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Our experts are ready to field your questions about fulfillment, saving on costs, international scaling, and more. Reach out to learn more today.
