Retail partners are bound to benefit: Risk-free e-commerce with minimal effort
There is no denying that the medium of the internet and thus e-commerce has long become an established channel of distribution for the German toy industry. But all too often e-commerce intensifies competition for brick and mortar retail stores and generally exerts an all too negative effect on price stability. The key question is: How to use the internet, generate sales and strengthen local toy retailers at the same time? Because one thing is for certain: Those who close their doors to e-commerce will definitely lose in the long run!
For 11 years BRANDORA has been operating their toy information site on the Internet. www.brandora.de provides detailed information on more than 200,000 toys, games and infant products. Over 5 million page views each month indicate that not only business professionals but also consumers regularly search BRANDORA’s comprehensive database. To date, the only thing missing was the answer to the recurring question: “Where can I buy this item?”
Arendicom has developed a unique business model and provides brands with their “ideal home” on the Web. Here specialized retailers are able to showcase the entire range of their product portfolio without the obligations and risks specialized e-tailers have to shoulder. While retail sellers are neither required to carry set-up costs nor pay for the operation and maintenance of an e-shop, they still achieve almost 100% of their usual margin – without any additional risk! Their message is: Cooperation rather than competition!
BRANDORA has actively engaged with Arendicom’s business model, examined their system and evaluated potential advantages. As a result, BRANDORA has decided to become part of the Arendicom system – in cooperation with retail partners. Even before the upcoming selling season, consumers will find a vast variety of goods on offer.
The concept is rather simple. In cooperation with Arendicom, BRANDORA sets up a new e-shop to facilitate retailers’ entry to e-commerce and help them generate additional sales.
However, the new online store in no way implies that BRANDORA is going to sell goods directly to final consumers. It is rather a medium to achieve synergies by combining BRANDORA’s comprehensive product database and their immense popularity with the highly efficient Arendicom shop system and the full utilization of the inventory of all participating toy retail shops.
This is how it works: Retailers register to join the e-shop network. Whenever a final consumer submits a request for a toy, game, or infant product the system checks availability and the nearest authorized toy shop. As soon as the dealer nearest to the destination confirms the requested good ready for dispatch, they automatically receive all shipping documents and a logistic company comes to collect the parcel. Arendicom controls and guarantees all payment.
What is best: The system quotes a customary retail price, so that dealers always achieve a reasonable profit margin. Registered toy retailers pay a minimum commission on sales – and only in case of success. So there’s definitely no risk for retailers!
Christophe Macht, managing director, BRANDORA: “We have spent a long time finding a way to make our comprehensive database practical for consumers. The new e-shop provides specialized retailers and their focused product range, their peripheral products and niche items with a powerful instrument to participate in e-commerce, risk-free and at minimum cost.”
Dominik Gehlen, managing director, Arendicom: “A concept and a system to strengthen brands and prices that is future-oriented, embraces the Internet and still treats specialized retailers as equal partners. That means: risk-free access to e-commerce with minimal effort. Arendicom arranges for 100% of the logistics and services while retailers achieve a long-term growth in customer base: regional, national, and international.”
Please click here to download the information leaflet for retailers (German).