how Tenovia helped Paragon reduce cost by 47% and delivery time by 50%

Brand: Paragon Footwear 

Platform/s: Digital Marketplaces 

Problem:

  • Paragon, a leading footwear brand with a production base in South India, partnered with Tenovia to optimize its supply chain and reduce shipping costs. 
  • With 58% of demand coming from North India, the brand faced high shipping expenses and long delivery times for national orders.
  •  Additionally, regional utilization was only 42%, leading to operational inefficiencies that needed to be addressed to enhance customer satisfaction and efficiency.

Solution:

  • Onboarded local warehouses operated by marketplaces using the Fulfilled by Marketplace (FBM) model.
  • Implemented a regional utilization plan to ensure better distribution across locations.
  • Negotiated lower charges for pick and pack services to reduce operational costs.

Impact:

  • 47% cost reduction.
  • Shortened delivery times by 50% for regional orders from 7-10 days to 3-5 days.
  • Improved regional utilization, leading to more efficient operations and better customer experience.

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