The new launch in question was Adidas Underwear: a partnership which sees Delta Galil design, manufacture and distribute selected men’s and women’s underwear under license for Adidas. Delta Galil is a global leader in high-tech apparel, with many owned brands such as 7 For All Mankind, Bare Necessities and Schiesser. They also make garments under license for brands including Converse, Tommy Hilfiger and Wolford.
A premium experience
“When a consumer is buying a premium brand like Adidas, they are expecting a premium brand experience. They are spending time and money on their purchase. And they are excited. What they don’t want then is to click on the ‘buy’ button only to find no shipping options that suit them or to place an order and then be told it is out of stock.”
The rate of shopping cart abandonment is huge across e-commerce: it’s 68%*. And 22%* of people say the reason they abandon their shopping cart is slow delivery.
rate of shopping cart abandonment
of people say the reason they abandon their shopping cart is slow delivery
*Source: Baymard Institute
E-commerce is a growing opportunity to reach consumers: worldwide e-commerce sales amounted to 5.2 trn USD in 2021 and are forecast to jump to 8.1trn USD by 2026**. “At Delta Galil we are of course heavily involved in wholesale logistics, but we have a number of direct-to-consumer (DTC) offerings already and we know this channel is very important – and growing. It is vital to the success of Adidas Underwear that we have a robust e-commerce fulfillment solution in place,” says Marc.
Worldwide e-commerce sales
5.2 trn USD
8.1 trn USD
If you’re a clothing brand – or if you make chocolate or toys or any other product – you’re not a logistics company. This means you typically won’t have direct control over the logistics part of the jigsaw. And e-commerce – while it’s a great opportunity – brings the added complication of having numerous customer touchpoints and the need to reach customers at scale, over what could be a large geographical area, and perhaps even several countries.
Delta Galil know the importance of getting this last step – fulfilling e-commerce orders – correct. For Adidas Underwear, their market stretches right across the EU and the UK, with Switzerland also lined up for the future.
The right fit
“When people ask me what to look for in a fulfillment partner, I tell them they need to find one that aligns with what they want, no matter whether they are a global player like us, or whether they are an SME. For us, we want reliability, we want multiple delivery time options for our customers, we want efficiency and we want it to be at the right price.”
Delta Galil had already partnered with DHL through its sleepwear and intimates brand Schiesser. “We therefore had an insight into the service they offered,” says Marc, “and we knew the extent of DHL’s network.
“Setting up with DHL Fulfillment Network was like a click of the fingers,” enthuses Marc. Having explored a number of potential logistics partners, once DHL had been chosen, “the transition period was really smooth. We use Shopify and integrating this with DHL Fulfillment Network was easy for us. Adidas Underwear has over 2,000 SKUs so it’s also great to know we can scale up during peak periods and then scale down again.”