VeldhovenGroup is a family-owned company that started out as a wholesale organization but has now grown into a house of brands that designs and markets five renowned fashion labels. Besides the fashion brands for women, Sandwich, Turnover and Stills there is also Nono which offers fashion items for children, and the recently acquired brand Dept. In the first few years the VeldhovenGroup, as a trading company for a number of fashion manufacturers grew steadily but it was only after the launch of the first brand, Sandwich, in 1981 that growth really took off, employee numbers doubled and revenue increased. In the following years, the organization added other brands to its portfolio, expanded organically and created new business units. Driven by the need to strengthen brand equity, acquire accurate market data and the aim to have more control over the end customer, the VeldhovenGroup added retail to their focus by setting up their own retail organization and a franchise chain. Besides the wholesale activities where the company already excelled, new challenges and bottlenecks entered the stage such as; store automation, customer loyalty, channel conflicts and whether or not to align the franchise stores with the internal systems.
The switch to retail was not easy. As new challenges and issues came up and questions appeared, it was time for a different approach. The increased complexity was one of the main reasons why the organization needed to replacethe legacy retail software with a powerful retail solution that offered new functionality and a clear road map. Although there are many retail software suppliers and even more retail applications, the VeldhovenGroup selected K3 Fashion for Retail, the Microsoft Dynamics and LS Retail based retail ERP software for fashion companies. The main drivers behind this decision were the flexibility of the LS Retail software, the user-friendly interfaces and the strong roadmap.
The switch from their legacy retail software to K3 Fashion for Retail went smoothly and the VeldhovenGroup is convinced they made the right decision as the added value of the on LS Retail based software solution is already proven beyond doubtwith the increase in productivity as users are now able to retrieve requested information quickly, performance and accuracy have improved. The transparent data model distributes data between Microsoft Dynamics NAV and LS Nav rapidly which results in performance improvements as employees are able to work more effective and be more productive. On the question about his experiences with Microsoft Dynamics NAV, Matthijs Meeuwsen, Application Manager at VeldhovenGroup replied: “I dream about Microsoft Dynamics NAV”.
The VeldhovenGroup saw that the retail market is changing and noticed that these changes also affect wholesale organizations. Service in general is becoming more important. Customer service and customer experience are top priorities now. At the VeldhovenGroup this development has resulted in the Marketing Department becoming the driving force behind concepts such as customer loyalty. One of the customer loyalty programs that has recently been set up to improve customer satisfaction and drive loyalty is the Circle of Friends. By getting to know the customer better, promotions and messages can be made more relevant which leads to a better targeted offering, a longer customer relation and, in the end, to more revenue. The retail ERP software, based on LS Retail technology, is a success factor within the Loyalty program as it all starts with the LS Retail POS. Customers subscribe to the Circle of Friends program at the POS where all data is stored and loyalty credits are awarded per transaction. When a customer has saved enough loyalty credits they receive a .nl voucher that offers a discount with the next purchase. The VeldhovenGroup also signals developments such as omnichannel retailing and has taken the first step in this direction with a B2B web shop and the individual brand websites.
The VeldhovenGroup is a complex organization with different business units and locationsVincent van der Weel, Information Manager
As partner and advisor for renowned retail and wholesale organisations, K3 Retail specialize in delivering end-to-end ERP, CRM, BI en E-commerce solutions based on Microsoft Dynamics NAV, AX and LS Retail.Connect