How can ZEOS help brands and retailers overcome these obstacles?
The key to success lies in the combination of a highly efficient logistics network and AI-based solutions powered by data. With ZEOS, it all comes together under one power. It starts with one integration. ZEOS connects the dots to enable a seamless e-commerce journey. Brands that previously had to deal with multiple integrations to different marketplaces can now integrate an unlimited number of sellers at once and update data in one place. One inventory pool means that all the inventory a brand wants to sell is stored centrally in our fulfillment centers. The inventory can then be moved seamlessly between all active channels, optimizing stock levels and ensuring maximum availability of products. And finally, one control panel connects the commercial and inventory management aspects of all marketplaces and channels, supporting brands' business decisions and ensuring efficiency and growth as a result.
We believe that only by bridging the current gap between physical and digital logistics can we make a real impact on both business growth and sustainability. The end goal is to prevent up to 100 million unnecessary packages being sent every year to various brands and retailers across Europe.
Unwanted baggage? Please explain a bit more…
Again, it all comes down to the perfect blend of an optimized logistics network and digital steering solutions based on artificial intelligence. At the physical layer, ZEOS enables multiple brands to use the same fulfillment network, consolidating orders for cost and environmental benefits, and increasing the efficiency of one-box deliveries and returns.
How does it work? Our operations are designed to avoid stock fragmentation and offer customers the best possible choice. By consolidating all stock into one central stock pool, brands can serve the largest and most relevant European marketplaces and their own webshops from a single stock. At the same time, consolidating multi-brand orders is a true win-win: customers get the satisfaction of receiving just one parcel and brands save up to 20 percent on logistics costs. It's simple. One order. One box. One shipment. One return.
During peak times, such as Cyber Week, it is also possible to consolidate several orders made within a certain period of time. Zalando customers are already familiar with this one-box solution, when ordering products from both Zalando and partners in one go.
What about at the digital layer?
Firstly, we want to reduce unnecessary returns by offering size and fit advice. Thanks to this technology, Zalando has already reduced size-related returns by 10% for products where we offer size advice. Secondly, we want to provide brands with the best possible deal information to increase sales and reduce return rates at the same time. We aim to holistically guide brands throughout their multi-channel and multi-market e-commerce journey, optimizing their inventory and increasing stock availability across different channels.