Growth of e-Commerce driving use of EDI in the fashion industry
In the retail sector, the fashion industry has a great impact on business and exports in countries such as Italy. The country is a major hub of suppliers and distributors with department stores such as Printemps, Harrods and Saks, among other big names. The sector is in continuous movement and covers a wide range of products, which entails complex operational and supply processes in the international scope. A new scenario in ongoing development that calls for agility and efficient solutions.
The future of fashion is digital and defined by the customers’ needs. e-Commerce in the retail sector and the use of mobile devices are growing year after year and require new, more complex processes to which companies must adapt. According to an e-Marketer study, a 23.2% increase in e-commerce worldwide is expected in retail. Electronic sales amount to 10% of total sales for the sector. This study also states that, by 2017, mobile commerce will account for more than 70% of e-commerce sales in China and India.
The sector’s features have made it one of the most advanced in adopting technological processes in its logistics operations and the exchange of business documents. The great heterogeneity of products and globalization has led fashion companies to implement electronic data interchange (EDI) to deal with the large volumes of information they handle and to be able to connect with companies from any part of the world.
In a sector where the commodities are constantly changing and must reach the end client in record times, it is indispensable to find ways of working which are more efficient and immediate. Automation of the exchange of information between businesses in the sector savings on cost and times by accelerating data processing.
How to reach any part of the world?
Through an integral EDI system such as EDICOM’s, a single company can exchange its orders, invoices, or delivery notes electronically and immediately with any supplier, wherever they are located and using any type of standard message. When an invoice or business document is created, the EDI solution processes it automatically, translates it into the standardized language required by the partner and forwards it. This happens the same way with any other business, logistical and administrative transaction.
Some of the biggest brands already rely on EDICOM to implement their EDI solutions. To name but a few, Harrods, Cortefiel, Printemps or El Corte Inglés, four of the main fashion market hubs. This experience enabled EDICOM team to develop a Global EDI solution, which tackles the two needs of businesses in the sector: internationalization and product heterogeneity.
What other documents can be exchanged?
This electronic system allows the exchange of other types of messages such as product and price catalogues, sales reports, despatch advices or returns, etc. EDI automates the sending of this information and also ensures traceability of the documents, at all times providing knowledge on whether the document has been opened, read, etc…
Benefits of EDI in the fashion industry
- Faster response times
- Saving on administrative costs
- Efficiency in working procedures
- Accuracy in the reports sent, as they come from the ERP
- Providing greater visibility of the status of processes throughout the supply chain.