Loserkids.com - Case Studypdf
Loserkids is an on-line and brick-and-mortar retailer, supplying goods for the active and music influenced lifestyles (everything from surf to skate and moto) that are so prevalent in its native Southern California. Loserkids.com was founded in 1999 and was one of the very first online retailers for action sports brands such as Volcom, Hurley International, DC and Element Skateboards. To this day, Loserkids.com has differentiated itself by offering unique apparel, footwear, accessories and hard goods for a new generation of youth. In November 2007, Loserkids opened its first brick and mortar store.
Situation Loserkids' retail operations had been entirely managed and operated by a third party service provider, which utilized SAP. This arrangement was not working for Loserkids, who felt their aggressive goals for expansion both online and offline, as well as internationally, were being hindered by an inability to adequately scale their business systems to accommodate their growth and multi-channel initiatives. This problem impacted millions of dollars in channel sales. Consequently, the relationship with the third party service provider was ended in mid-2007, necessitating that Loserkids bring all functions for managing their retail business in-house.
Highlights of the CORESense system for Loserkids:
Completely integrated POS, CRM, ecommerce, supplier management, inventory, merchandising, and fulfillment
No IT support needed
Fully scalable
PCI compliant
Affordable / value-oriented
Rapid deployment
Challenge To facilitate its aggressive expansion plans, Loserkids needed a retail management solution that would help them to increase operational efficiency, eliminating labor intensive manual and redundant processes across channels, while providing them with a single view of their customers they could leverage to provide exceptional service and a seamless customer experience no matter which channel the customer preferred to use.

Tadd Crayton, General Manager at Loserkids, led the research and due diligence process at Loserkids. With previous retail experience as VP of E-Commerce at ARTISTdirect, managing 130 online stores, merchandising and promotion, Crayton knew the potential pitfalls in retail management systems. First, he didn't want to have to piece together different vendor software applications for different aspects of their business (point of sale, inventory, fulfillment, customer relationship management, marketing, channel management). Loserkids needed a single all-inclusive solution that could handle all their business needs and grow with them.

"We also did not want to get weighted down in the technology,&quot: commented Crayton, "We were looking for a solution that didn't require IT and web development support. We wanted to be able to fully concentrate on our business and merchandising." Prior to selecting CORESense, Loserkids researched other retail management systems such as Intershop, Escalate Retail, and Venda, but found them to be either too expensive and/or requiring support from internal IT staff at Loserkids.
Solution"CORESense seemed to be too good to be true," comments Crayton, "because it was significantly cheaper than anyone else but with the same or better features." The ability of the CORESense system to meet or exceed requirements for functionality and scalability while at the same time providing a lower cost, value-oriented solution, was a "win win" situation for Loserkids. Per Crayton, "CORESense had everything we were looking for in a retail and e-commerce partner. Integration was simple, quick, and the solution was priced dramatically lower than the other folks we were looking at. It was also a plus that the entire product is web-based."
One System, One View of the Customer One promise the Loserkids brand makes to its customers is that the Loserkids shopping experience will be 98% simplified regardless if you are in our stores, or shopping online.

The efficiency of CORESense's all-in-one system helps Loserkids achieve these goals, creating a seamless and simplified shopping process for its customers no matter what retail channel they choose. Unified inventory, shipping, and supply chain management functionality helps Loserkids to maximize efficiency and minimize costs in order fulfillment. Crayton observed, "I was impressed at how CORESense was everything we needed in one solution. It wasn't necessary to piece together our business with software X doing this function, and software Y doing this other function."

With CORESense, Loserkids has a single view of its customers, their order history and status, shopping habits, and preferences across its channels-helping them to better serve their customers needs and ultimately to increase customer satisfaction, loyalty and sales. Per Crayton "The product has given us the tools to retain previous customers through email marketing and customer specific promotions. We also have the ability to attract new customers through shopping portals, and affiliate partnership initiatives."
No More PCI Compliance Headaches Payment Card Industry (PCI) compliance complexity and costs were something that Crayton was very familiar with from his previous ecommerce management experience. So, a key benefit to Crayton for using CORESense would be avoiding the cost and headaches associated with PCI issues and compliance.
No IT Support Required The CORESense Software-as-a-Service (SaaS) business model, also referred to as "On-Demand," is a fully web-based solution, so there is no software to buy/license, install, patch or maintain. This means that no IT staff is required to support CORESense solutions, and that the solutions can be rapidly deployed. All you need is a browser, CORESense handles the rest. This was a key requirement for Loserkids. As Crayton notes, "the system needed to be a fully hosted solution that didn't require an IT staff to manage."
CORESense Delights Customers, Delivers Competitive Advantage After discussing their requirements with CORESense, Loserkids was won over by the value and functionality of CORESenseIE, which met Loserkids needs for all-in-one back office and channel management functionality, no IT support, affordable pricing and scalability. "Once we got into the implementation process I felt good about it. I was comfortable and the numbers looked good-the CORESense system was pretty amazing," recalled Crayton.

CORESense deployed Loserkids customized web site in August of 2007, with integrated Point of Sale systems going live in November 2007. "We did not have any issues with implementation. Everything went smooth and deadlines were always hit," comments Crayton.

CORESenseIE combines inventory control, buying and planning, purchasing and vendor management into a single system for Loserkids, eliminating cumbersome and error-prone manual processes. The solution's centralized product catalog enables Loserkids to list, modify and monitor products in one or more channels, making it easy to determine the optimal channel mix for each product or category. Loserkids new professionally branded website simplifies the process by which merchandise is listed on search engines, shopping and comparison sites, so customers can find what they want, where and when they want it.

The integrated CORESenseIE system is helping Loserkids to better manage its expansion across channels and helping them to create competitive advantage in the marketplace by delighting their customers. Crayton concludes, "CORESense has given our users the ability to shop with us seamlessly via the web and offline at our retail location. Our unique, yet simple shopping process is what is building our customer loyalty, and the CORESense product is what allows us to do just that."