SVM Europe – Sage ERP 1000 with Intellisell Case Study

Sage ERP 1000 with Intellisell ecommerce – a gift of a solution for SVM Europe Limited

The success of Sage ERP 1000 combined with Intellisell eCommerce at SVM has been unprecedented.

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SVM Europe – Sage ERP 1000 with Intellisell Case Study

The company

SVM Europe Limited is the largest reseller and distributor of gift cards, digital gift and gift vouchers in the B2B and corporate gifting market, reselling gift cards and vouchers from many well-known high street names such as Debenhams, Signet, Starbucks and Pizza Express. SVM Europe also holds exclusive partnerships with Toys R Us, Great British Pub Card and Thomson Holidays for outsourced B2B sales management. The company’s client base is widespread and includes clients from a range of industries including automotive, banking, incentive and motivation industry, right through to the government.

Originally founded in the USA in 1997, SVM is widely recognised as a market leader. SVM Europe was established in 2008 in the UK and Ireland to replicate the success of the US operation. Today SVM Europe employs circa 50 staff at its Rotherham-based office.

The challenge

SVM Europe was running an outdated version of Sage 50. As the business began to experience significant growth, the company’s ordering processes were proving equally as cumbersome as the software itself.

Looking to its parent company in America for advice, it was agreed that upgrading the businesses ERP software was inevitable. The US operation, which at the time was far more developed than the UK business, had an online portal in place which enabled clients to place orders via a file upload. This appealed to SVM Europe and the company began investigating ERP options that integrated with an ecommerce solution.

“We looked at Microsoft Dynamics AX and Sage ERP 1000 and the ecommerce options available for each. We discounted Microsoft as the ecommerce offering was a bespoke product that would require a lot of development and financial investment.” Paul Epton, Project Manager at SVM Europe Limited.

Upon deciding to move forward with a Sage ERP system Paul contacted Sage. “I called Sage directly to discuss our ERP and ecommerce requirements and they put me in touch with CPiO.”

As well as being a leading Sage business partner, CPiO also offers Intellisell, a fully integrated ecommerce solution.

SVM was given a product demonstration by Phil Snowe, ERP Consultant and Alan Cobbald, Technical Director at CPiO and were impressed with Intellisell from the outset. Speaking about the demonstration, Paul comments, “The Intellisell demo was fantastic. It really got us thinking! Based on the demo we could see what we would be able to do with an ecommerce system and how it could benefit our business. The consultants from CPiO were professional and displayed comprehensive knowledge of Sage and Intellisell, as well as demonstrating a good understanding of our business.”

SVM Europe wanted to streamline its order processes. Sage 50 didn’t aid the sales team at all. “Sales people would visit perspective customers offering our portfolio. Once the client was contracted they would email or fax the sales person an order file, usually in an Excel spread sheet, which would need to be manually entered into Sage.”, explains Paul.

The manual ordering process was time-consuming, lacked organisation and resulted in frequent mistakes due to inescapable human error. Furthermore, clients had no visibility of their own orders; waiting 2 or 3 days simply to see a statement of their account.

The solution

Opting to install Sage ERP 1000 with Intellisell and going live in August, just 1 month before the businesses peak period, SVM Europe moved half of its clients over to Intellisell. The success was unprecedented and so from September onwards full migration began. Within 6 months all customers were moved onto online ordering and since this time, every order has been processed through Intellisell.

Intellisell allows customers as well as staff to enter orders. Its validation stage enables customers to self-administrate and let’s staff quickly and simply check the order entered is correct and complete – a step which has vastly reduced the amount of losses the business was experiencing through manual import mistakes.

Intellisell’s ease of use has simplified the way in which customers do business with SVM Europe and in turn has encouraged clients to order more. Paul says, “We have one particular client that places a fifty thousand pound order each day, which is entirely processed through Intellisell. We don’t intervene at all. Manually importing an order of this size would take at least an hour.”

“Prior to Intellisell, to physically process the number of orders received we were working from 6am to midnight, 7 days a week. Sage 50 could not cope with the business demand and would frequently freeze. We worked out that for every order processed through Sage 50 the business was experiencing 2 minutes of down time. Multiply this by the 2,000 orders processed each day and that becomes a critical business issue. Since Intellisell has been in place we now operate from 8am to 7pm Monday to Friday only.”

The benefits

SVM Europe is benefitting from significant cost savings by using Intellisell. These savings have enabled the company to offer the best prices to new clients and because of the reduction in base costs, SVM has been able to drop prices for existing clients that move to placing orders via Intellisell, which has subsequently encouraged customers to increase their order values.

“The great thing about Intellisell is that it reads information directly from Sage ERP 1000. All product prices and discounts are set in Sage ensuring there is one uniformed place for everything – so customers are always given the correct discounts.”

Since using Intellisell, key benefits SVM Europe’s customers have cited include improved customer service, cost savings, faster order processing, the ease of credit and debit card payments and the convenience of tracking orders and viewing credit limits online.

The future

Moving forward SVM Europe is further expanding throughout Europe and aims to dominate the European corporate gift voucher market by 2016.

Despite its ambitious growth plans, SVM Europe foresees yet more financial savings. “The digital market is where business is really accelerating. As such there is no requirement for further sites to be set up across Europe – we can supply the European market from here in Rotherham, thus expanding the business but keeping overheads to a minimum.”

SVM Europe also hopes to develop Intellisell to facilitate end to end digital order fulfilment. “My ultimate goal is to develop the system to allocate stock and email digital voucher codes to clients without human intervention.”

Over the past 2 years SVM Europe has experienced exceptional growth, with projected growth looking as strong, if not stronger. Paul is certain that the businesses current software will support its projected growth. He concludes, “When we chose Intellisell we chose a future-proof system. I am confident that it will handle the degree of business we are forecasting.”

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