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CASE STUDY/ RETAIL

Omnichannel promotion management system helps top retailer update 30 million SKUs in minutes

Agile Portfolio Evolution | NextGen IT Operations

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About the customer

One of the top department store groups worldwide.

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500+ locations

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15+ production facilities globally

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Global sales network

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Business challenges

Our client needed to transform its marketplace strategy and the technology behind it to enable more agile commercial promotional campaigns. Specifically, it sought to replace its global promotion management system, which relied on batch processing and pre-calculation, with a new platform capable of real-time calculations of promotions across all channels and points of sale. The system had to be flexible and scalable to support the exponential growth of its product catalogue, and dynamic enough to handle different channels, store locations, stakeholders, and changing market conditions.

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Use two years of historical promotions information (one billion snapshots) to generate benchmarks and forecast trends.

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Deepen the promotion model for the extended catalogue, including own products, marketplaces, and tens of millions of SKUs.

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Eliminate batch processing to achieve the maximum business window for promotion campaigns.

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How Softtek comes into play

After evaluating several alternatives and providers, Softtek was engaged to propose, develop, and test an effective replacement for the client’s existing system. Working closely with the client, Softtek used waterfall methodology to create the product roadmap, followed by Agile for development and project management. The result was an omnichannel promotion management system that eliminates the host batching process. With the ability to perform the full product catalogue update of 30 million+ SKUs in 10-15 minutes and a one-second response time for incremental updates, the client now has a longer business window to execute promotions and make adjustments to the promotion strategy.

Microservices, storage, and integrations implemented in the Azure ecosystem, including Azure Java Functions, Azure DevOps, Azure Test Plants, Postgres XL, and others.

Agile methodology and nearshore delivery model used to engineer and deploy the solution on an aggressive 8-month timeline.

Met an aggressive 8-month timeline which included rigorous QA and validation.

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Business impact

With the omnichannel promotion management system, our client was able to maintain its growth demands while improving its service.

Computadora

Reduced OPEX of the promotion management system by 70% by migrating the host-based promotions operation to the cloud.

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Reduced time to process promotions by 97% (from several hours to minutes).

CerebroTech

As a value added, the solution provided a reference framework to accelerate the implementation of machine learning.

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