America’s second-largest drug store chain expanded its inventory and adopted seamless automation by partnering with Logicbroker to strengthen and expand its business.
Summary
While updating their backend systems, Rite Aid turned to Logicbroker to provide a comprehensive cloud-based drop ship solution that would scale with increased vendor counts and a brand-new mindset.
Reduced Manual Input by 45%
Expanded Inventory Offerings
Migrated All Suppliers In Under 3 Weeks
Modern Challenges
Ranked number 148 in the Fortune 500 list of the largest United States corporations by total revenue, Rite Aid is a common site across American shopping malls and one of the go-to drugstores in the country. To further its mission of “offering products and services to help customers lead a healthy, happy life,” Rite Aid wanted to refresh its online shopping experience with a redesigned website and fresh product offerings.
While the Rite Aid team turned to Something Digital to handle their website refresh and migration to Magento 2, they needed a solution provider to integrate their existing EDI drop ship vendors and internal distribution centers with Magento Commerce. Under a tight timeline to have all the moving pieces set up in time for the new site launch, Rite Aid turned to Logicbroker for its drop shipping solution.
A Speedy Solution
Rite Aid selected Logicbroker as their EDI integration/drop ship automation provider due to their strong partnership with Magento, superior technology, and ability to meet the aggressive three-week migration timeline. Logicbroker’s Client Delivery team worked closely with Rite Aid, their vendors, and the Something Digital team to outline the onboarding process. Logicbroker’s white glove support model handles the entire mapping, testing, and go-live process for Rite Aid’s technical team.
Beyond the benefits of having a comprehensive, cloud-based API to handle all documentation, Rite Aid vendors benefit from the Logicbroker’s “no-cost” model. Vendors do not need to have a separate contract or pay fees directly to Logicbroker, as all transactions are done through Rite Aid. Logicbroker’s unique vendor model helps Rite Aid establish trustworthy, long-term relationships with existing and new vendors looking to provide consumers with what they need without increasing prices to offset fees.
The Rite Aid team also benefits from superior support, as the Logicbroker team monitors important fulfillment metrics and ensures on-time shipments in order to protect the customer promise. Inventory visibility is key, as the stock position is synced not only from internal distribution centers but across their endless aisle of drop ship suppliers.
The Right Results
Rite Aid’s customer base enjoys a world-class shopping experience with a fresh product assortment and an easy-to-navigate website. This ensures that customers can shop for their favorite brands backed by Rite Aid’s superior service. With Logicbroker’s tech stack, new vendors can be added automatically within days to ensure Rite Aid online has an expanded assortment with plenty of in-stock, relevant items.
Due to the high level of automation Logicbroker provides, Rite Aid has reduced manual touchpoints by 45%, as all order documentation flows automatically between their website, vendors, and ERP. Additionally, with Logicbroker’s performance scorecards, Rite Aid enjoys a high level of visibility to their order lifecycle with vendors and 3PLs. This enables them to easily monitor and manage vendor performance and ensures service level agreements (SLAs) are met.
In working together, Logicbroker, Rite Aid, and their vendors were able to launch a successful, automated drop ship program. Vendors enjoy the no-cost model Logicbroker offers them as well as the flexible communication options they can choose to integrate with. Sales have grown year over year with eCommerce leading the way as one of the highest drivers of revenue growth.
When I think of Logicbroker, I think about how responsive their people are. I sleep better at night knowing their team is monitoring our eCommerce supply chain performance.
Shane Thomas
Director Ecommerce Operations, Rite Aid