An agile supply chain partner supports growth for High Street TV

High Street TV (HSTV) is a multi-channel retail business operating in the UK and internationally. With products available via its five 24-hour dedicated shopping channels on sky, website, call centre, Amazon and eBay, via JD Williams and Very or in-store at over 2,000 retail outlets across 35 groups, including retailers such as Argos, Sainsburys, Currys.

The Reconomy Group has already worked with HSTV to put strong foundations in place. With robust KPIs in place, the partnership had delivered key objectives throughout peak trading including:

• Operational and technical support to despatch nearly half a million products
• Developing bespoke IT to deliver sales promotions such as bundles and BOGOG to customers
• Ensure compliance through developments of B2B and B2C standard operating procedures
• Address the issue of returned stock recovery through inspection, refurbishment to good or nearly new and achieving a higher sale value

In 2019 The Reconomy Group were appointed to provide technology-led solutions to the company’s warehousing, fulfilment and returns requirements.

The challenge

When COVID-19 hit, HSTV’s initial concern of reduced sales quickly shifted to managing the unexpected increase in demand for fitness, gardening and DIY products – a hot commodity during lockdown.

HSTV’s customer base and sales grew rapidly, making managing an agile supply chain that navigated stock management and customer demand, while prioritising a safe COVID-secure environment to protect employees a challenge.

The Reconomy Group despatched more that 381,400 units across 395 SKU’s over the short period May to June. 40% of which came from 10 key products. By early May, despatches rose by 102% over the forecasted expectations.

The Solution

Operational layout and resources were adjusted to create a safe, cost-effective and fast pick and despatch solution. HSTV wanted to maintain their high customer satisfaction levels and deliver the products people were ordering to make lockdown more comfortable. With careful planning, service levels were maintained. An increase in sales led to a correlation in returns so the Reconomy Group introduced the inspection, refurbshiment and PAT testing required so products could safely be returned to stock. This meant stock availablity was good and a boost to the bottom line for HSTV.

Demand for couriers also increased because of the uplift in ecommerce sales. Good relationships previously nurtured by HSTV and The Reconomy Group were further strengthened by clear communication. This resulted in no failure to collect and deliver the customer’s orders event if that required flexibility on timings.

Lewe Goldmann, Head of Warehousing and Logistics at HSTV said: “the key for me and my experience with ASCG is the transition for us to The Reconomy Group and then the performance throughout COVID. The Reconomy Group have done very well adjusting to our accelerated transition plan and ramped up the operation in a lot faster timescale with limited forecast. There has been an exceptional performance throughout COVID and we were particularly impressed with the adjustments to our highest B2C sales levels and order throughput whilst having to adjust to social distancing measures. Most impressive is that the adjustment took part during a live operation and no down time was required”.