Nedap announced that leading Dutch fashion brand Scotch & Soda has selected them as strategic RFID partner for Europe and North America. Scotch & Soda will deploy Nedap’s !D Cloud inventory management platform throughout 162 stores globally with the objective to increase accuracy throughout the supply chain.
One of Scotch & Soda’s long-term objectives is to maximize customer loyalty. Rik Kok, Procurement Director of Scotch & Soda, comments: “We have been looking into RFID for quite some time already. Now is the time for us to step in, as product availability has become vital to fulfilling the increasing demand of today’s consumers.”
Accelerated importance of item visibility due to COVID-19
With stores in the world’s biggest cities and shipping to over 70 countries, the dynamics of countries going in and out of lockdowns made it even more important for Scotch & Soda to optimize the view on stock levels within their supply chain. This way, the balance of stock in-store and distribution centers can be adjusted to the local situation.
Scotch & Soda also faced a dramatic shift in shopper behavior caused by the pandemic. “A single view on stock is crucial for a successful omnichannel strategy. It allows us to increase our online sellable stock, as we do not necessarily need to ship from our distribution centers anymore. We can now use our stores as mini-DCs and use stock from the shop floor and back-of-house for web order fulfillment as well,” says Rik Kok.
Scotch & Soda is kicking off the RFID implementation in the physical stores. This is closest to the consumer, as most sales take place there. Goods are source-labeled at the factory, leading to full traceability in the supply chain from source to consumer.
In addition to ensuring product availability for store sales, Nedap’s !D Cloud solution also provides the ability to quickly locate web orders in the store. This way, the time spent to prepare an e-commerce order will be reduced to a minimum.
The next step will be taken at Scotch & Soda’s new distribution center, where efficiency and accuracy must be optimal.
Besides designing beautiful clothes that feel good, one of Scotch & Soda’s top priorities is to run their business with great sensitivity to the planet by making more responsible choices every day that reduce environmental impact.
As RFID provides real-time insights in stock levels throughout the entire supply chain, safety thresholds can be reduced to a minimum. This enables Scotch & Soda to fulfill consumer demand without overstocking and eventually wasting garments.