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Success Story in Price Markdown Process

Summary of the story

Importer/Distributor : Hexagon, Ltd.
Customer : Familia, Russia
Location : Russia
Product : CASIO DT-X7M10R Handheld Terminal
Application : Price markdown

Profile of the User

One of the retail stores owned by Familia

Familia  is a major trading company that comprises about 36 retail stores throughout Moscow and Moscow region. Some of the stores are also located in St. Petersburg and Yaroslavl. They sell a variety of goods from clothing for women, men, and children, footwear, haberdashery, to household goods at affordable prices. The total sales area for all the stores combined is more than 30,000 square meters. At the moment the company employs more than 3,000 staff and by opening new stores this number is constantly increasing.

The Challenge and the Goal

Each store has an enormous range of different products. In the past however that the process of applying new prices during season or collection sales took too much time and needed extra staff and expenses for logistics, and consequently it forced the company to pay the staff for overtime. The company management made a strict decision to reduce expense, get rid of loss and reduce the number of staff involved in the price markdown process by 20%. The determination is to allow the staff to spend more their time to serve customers. The other task in the management’s mind is to reduce mistakes caused by human errors.

This goal can be achieved only by employing a mobile solution that helps the staff access to latest information while on the move in the store and to print out new price tags at any place.
As a result of the feasibility study,  Familia  is offered with a mobile solution consisting of the Casio DT-X7M10R  with the locally preinstalled software GOODS (developed by Hexagon specialists) and a portable printer that can enable automatic price markdown.

Hexagon  is chosen by the company as a supplier of this hardware-software complex. Accumulated experiences in this business field and reliable partnership with Casio is believed to be the key factor to the decision making. For example, one of the successful system implementations is TOPSHOP, a group of chain stores selling middle-priced men and women clothes in Moscow.

Project Realization

Until employing the new mobile solution for the price markdown process,   Familia  used label applicators to manually produce new price tags which involves 4 staff at least. After successful testing and assessment on the new solution, the company has realized the key achievements and then decided to purchase 100 each of the Casio DT-X7M10R  and portable printer.
Actual achievements by the mobile solution;
1. Saving time and money
2. Reduction of time for price markdown process
3. Reduction of mistakes due to human errors
At the beginning of the project, Hexagon team took all the customer requirements into consideration and tried to maximize the output. Eventually this behavior has fulfilled all the customer’s requirements into the mobile solution.

"We are happy that we achieved the tasks before the project was launched. After the implementation of the mobile solution Familia can manage the price markdown process with only 2 staff instead of 4 in the previous system and increase the output rate up to 5 to 6 times. The target tasks are achieved!” said Victoria Grobushkina, marketing director of Hexagon..

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