Global Ecommerce

Pitney Bowes Cross-Border Global Ecommerce solutions help Kith NYC maintain reputation for trend-setting timeliness.

Improved fulfilment and shipping solutions make checkout charges transparent, improves delivery and reduces returns.

Client profile

Trend-setting shoe and apparel retailer featuring high-end brands and recognised for the exclusivity of its products

Online retailer with a growing brand reputation as Kith NYC

Two physical stores located in New York City and Brooklyn, New York

Business goals

Greater cost transparency at checkout to avoid surprises at delivery—and ultimately, returns

Less paperwork for fulfilment during high volume flash sales

Streamlined, less costly global shipping process

Benefits

Calculates customs duties, taxes and shipping charges into a single cost quote for a transparent checkout process

Facilitates fulfilment and shipping processes, reducing costs and speeding shipping

Reduces returns and customer complaints about service

Overview

“The transparency of the transactions to the customers prior to them getting their item was evident—that is what is most appealing to me, knowing that the customer is seeing the total cost at checkout.” Nick Annacone,
Vice President and Director of Operations,
Kith NYC

Kith NYC is a trend-setting shoe and apparel retailer featuring high-end brands and recognised for the exclusivity of its products. With two physical stores in New York City and Brooklyn, Kith NYC also has a strong online ecommerce presence and is able to offer select products for a limited time through flash sales.

Essential to their marketing strategy is the exclusivity factor. “When we sell out of something, there’s no re-stocking and there’s no continued availability,” explains Nick Annacone, Vice President and Director of Operations. “We want our customers to perceive this exclusivity. The longer something is available, the less appealing it is to our customers, because they want to feel special wearing our items.”

Business Need

Upon entering the global market, Kith NYC began to experience challenges with fulfilment. “So much more goes into international shipments than domestic, such as taxes and duties,” said Annacone. Returns multiplied as confused customers were hit with unanticipated charges at delivery. The influx of returns was counter to their strategy, since the returned items no longer had the same impact as when they were fresh.

Flash sales, generating high volumes of orders needing rapid fulfilment, exacerbated the issue. “I was concerned with feedback from our fulfilment centers about how tedious it was doing all the paperwork correctly for international shipping,” said Annacone.

Solution

Based on the recommendation of the frustrated fulfilment department, Kith NYC contacted Pitney Bowes to learn more about their Cross-Border Global Ecommerce solutions. By calculating customs duties, taxes and shipping charges into a single cost quote, Pitney Bowes provides complete and accurate pricing at checkout, offering retailers and their customers transparency into costs and peace of mind that there will be no surprises along the way.

In addition, the solutions enable Kith NYC’s fulfilment department to handle shipping with domestic simplicity, shipping all packages to Pitney Bowes U.S. hub rather than individually to various countries. Pitney Bowes takes it from there, processing all the paperwork and managing the compliance and customs processing required with international shipping.

The combination of total transparency, lower costs, easier shipping, and quicker processing facilitated by experts in international shipping convinced Kith NYC to implement these solutions.

Benefits

“With the Pitney Bowes Global Ecommerce solutions, everything is consolidated at checkout, which really helps alleviate our customers’ confusion. There are no surprise fees at the time of delivery, everything is very transparent. That’s what is great about Pitney Bowes.” Nick Annacone,
Vice President and Director of Operations,
Kith NYC

Within a few months, Kith NYC started seeing results. “Going down the list, starting from the beginning,” Annacone says, “the transparency of the transactions to the customers prior to them getting their item was evident—that is what is most appealing to me, knowing that the customer is seeing the total cost at checkout.”

Able to treat all the packages as domestic, the fulfilment department is no longer overwhelmed with tedious paperwork, which significantly improves their workflow, reduces processing costs, and helps get the product to its destination faster. “Once the package is shipped to the Pitney Bowes distribution center, it’s shipped out from there within 24 hours,” says Nick. “And it is actually done more cheaply and more efficiently.”

“And we definitely save money with shipping costs,” continues Annacone. “The solutions not only save us money when we ship to other countries, we’re also incurring fewer refusals and returns, which also saves money, both in return shipping costs and refunds.”

Reiterating the importance of Kith NYC’s exclusivity branding, Annacone notes that when products marketed as limited edition items are returned, the passage of time degrades their value and makes resale more difficult. The transparency and speed inherent in Pitney Bowes Cross-Border Global Ecommerce solutions have significantly reduced the number of these returns, increasing not only profits but also helping to maintain the company’s reputation as a trend-setter.

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