A well-structured and efficient logistics plan can transform a business, bringing great financial results. It shows the partnership between the telecommunications equipment company UP2Tech and DHL Supply Chain, global leader in storage and distribution. Consolidated in the B2B market, UP2Tech was looking to scale its e-commerce operations for end customers when it hired the DHL Fulfillment Network (DFN), solution to support the growth of digital sales that provides access to shared storage infrastructure, transport network, technology and specialized team. With strengthened logistics, UP2Tech has consolidated its B2C e-commerce and reached sales of R$50 million per month
Before the new model, UP2Tech had challenges in terms of processes and delivery reliability, what ended up hindering the more robust growth of digital sales. "With the DFN", we achieved scalability with security. DHL has localized its global model in the e-commerce sector and demonstrated great operational flexibility and system integration. With that, we have a controlled environment, safe and with well-designed processes, what provides constant development and a return rate close to zero, says the CEO of UP2Tech, Rodrigo Abreu
A DHL Supply Chain, through the DFN, carries out all the e-commerce logistics of UP2Tech, since the receipt of the products, checking, storage, order separation, expedition and transport. In this last area, the delivery is made both to supply the warehouses of partner marketplaces, as for end customers, by means of road and air modalities. DHL also handles the labeling of some products and reverse logistics in the case of exchanges. Highlight also for the rapid model transition (it was only six weeks and on the eve of Black Friday) and the end-to-end online visibility of the logistics process through the MySupplyChain platform
"Upon accessing the DFN", UP2Tech had other important benefits. Invested less capital in logistics structures, accessed the scale and reach of DHL's network across Brazil and captured synergies for peak sales moments. All of this with payment on demand, format that fits very well for e-commerce whose volumes have large variations, highlighted Ligia Pucci, general manager of DFN at DHL Supply Chain
The e-commerce director of UP2Tech, Taylan White, adds that "in the design with the previous provider, we spent a lot of time on supervision and to ensure that the agreed SLAs would be met. DHL has resolved a number of bottlenecks and delivered a smooth operation that allows us to focus on our core business. Furthermore, we have a very qualified team on the project and close support. All of this gives us the confidence to move forward with our expansion plan and to handle volume peaks like Black Friday and other promotional actions that are so important in this market
UP2Tech and DHL Supply Chain plan to expand the partnership. The idea is to leverage DHL's network of hubs across the country to advance inventory in strategic markets, reducing the lead time for deliveries. On the other side, UP2Tech is studying the possibility of connecting to the DFN network in the USA in order to boost its digital sales in the North American market in a model similar to what is adopted in Brazil