Case Study

RedWolf shooting for gold with e-commerce

Summary

RedWolf Airsoft is the leading Hong Kong online retailer of war-game and military equipment. RedWolf's business grew tremendously in 2000 and the company suddenly found its home-grown website unable to cope with its functional and capacity needs. RedWolf turned to DMA Solutions to develop a flexible and powerful internet platform by which to serve its global customers. Since the launch of DMA's custom developed platform, RedWolf has been able to process much higher volume of sales and cater to customer needs much more effectively.

Background

RedWolf Airsoft is a leading Hong Kong retailer of war-game and military equipment. The company's key markets include the United States and Europe. Originally founded as an internet retailer, the company initially operated on a home-grown static website that offered no transactional processing capabilities. The company's online store consisted of many beautiful pictures and text, but all customer purchases were handled through emails and faxes.

Challenges

As the market for RedWolf's products grew globally, the company found it was no longer able to attract buyers with its cumbersome ordering procedures. RedWolf needed to allow customers to make purchases as conveniently as possible, all the while cross-selling customers with related products and offering incentives for them to return for future purchases. The company's product portfolio had also grown from an initial 200 SKUS to well over 4000, which created huge challenges for maintaining internal inventory and product information. The unique nature of RedWolf's products and custom services also meant that off-the-shelf shopping cart solutions did not fulfilll the company's requirements. It needed a flexible, customized, and user-friendly solution that would allow the company to capture customers and keep them coming back.

Solution

DMA developed a two-prong solution to fit RedWolf's needs. The first prong involved a sophisticated online shop loaded with functions, including a powerful shopping cart solution that catered to both products and custom services. The system not only calculated shipping costs automatically, but could also determine the legality of RedWolf's products in the destination country. Strong membership functions allowed RedWolf to promote the latest products to customers by segment, and offer a bonus point program to reward loyal buyers. The second prong involved a powerful back-end platform that not only controlled all content shown on the online store, but also handled the logistics of order processing and product management in the back-office. This system was eventually refined to become the intranet processing platform for the entire company, and it continues to be an integral part of RedWolf's operations.

Why partner with IBM and DMA Solutions

"Many companies try to convince you to use their solution without fully understanding your needs. DMA's approach was completely different. Their consultants spent a lot of time understanding RedWolf's functional requirements, and even helped to suggest improvements. It then delivered a technical solution to fit those needs. DMA developed a tailor-made suit that helped fulfil our company objectives. DMA is flexible and creative, and is hugely resourceful in finding the right resources for the job", says Paul Chu, Managing Director of RedWolf Airsoft. With numerous staff who have many years of experience with multi-national firms, DMA's staff are well trained and professional. The company's small size allows it to be flexible and fast-acting for customer's needs.

Benefits

The new online shop automated the entire order taking process, which meant that RedWolf staff were no longer required to assist with calculating shipping costs and answering availability questions. The new system was able to take orders automatically, which reduced wait time for the customer and reduced manpower requirements for RedWolf. The online shop's ability to present attractive product information also helped to persuade buyers into making purchases. The back-end processing platform became the company's central information repository and was modified over time into a work-flow and content management system. The benefit of DMA's new system was an instant 100% increase in daily orders with no increase in manpower - and in fact, with less effort and errors.

Future Plan

RedWolf's online shop and back-end processing platform are ever-evolving, and DMA has already helped with several iterations of functional enhancements. Having covered most B2C functions, DMA is helping RedWolf with adding sophisticated B2B functions to handle large and complicated wholesale orders. Even more sophisticated cross-selling features are also planned, and enhanced customer loyalty programs are continually being developed. The website's overall look will also be overhauled, and a more straight-forward navigation design will help first-time customers to make purchases more quickly and easily. And of course, the site will continually be streamlined for higher speed.

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