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Sebor Absinth Case Study

 
 

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Sebor Absinth

Sebor Absinth, the distributor of Europe's premium brand of absinthe, recognised the potential of the global market, especially in North America. As absinthe regained its popularity, Sebor Absinth invested in brand development, creating a luxury product with international distribution channels.

After careful analysis of the company's business and commerce processes, Syrox designed and built a flexible e-commerce solution providing a multi region consumer sales channel, promotional tool and after sales support system.

Key Features

  • B2C channel for the international retail of consumer products
  • Restricted product availability for multiple regions and customer groups
  • Regional price structures and shipment costs
  • Upselling, incentives and promotional offers
  • Automated discount loyalty schemes
  • Shopping cart with automated payment processing
  • Regional accounting, tax handling and order processing
  • Easily updated and managed via a browser based thin client
  • Automated invoicing and package notes
  • Fully integrated into accounts package

Benefits

The new e-commerce website brought several key benefits to Sebor Absinth's business strategy:

  • Opened an international sale channel to new regions where absinthe is not readily available
  • Promoted brand awareness by building new media partnerships via print and online promotions
  • Provided Sebor Absinth with a promotional tool to encourage sale by incentives and loyalty schemes
  • Streamlined order processing and fulfilment reducing overheads

Background

Sebor Absinth is Europe's premium absinthe brand, produced in the Czech Bohemian mountains from a blend of 13 herbs and the purest alcohol, and produced to a 100 year old French/Swiss recipe. Made famous by Vincent van Gogh, its controversial history resulted in the prohibition of sale of the product in many countries during the early 1900s.

With absinthe regaining its popularity, Sebor Absinth has recently invested in brand development, creating a luxury product with international distribution channels. It was realised that an important ingredient to maximise the sales potential of the product was the development of a consumer e-commence website especially targeting countries where absinthe is not readily available. As liquor distribution and licensing laws differ significantly from country to country, it became apparent that Sebor Absinth required more than just a basic e-commerce solution.

Problem

The website was to be Sebor Absinth's new communications and sales portal. With promotions, export and tax legislation varying from region to region, it was clear that Sebor Absinth required a flexible scaleable solution. The preliminary specifications included: multiple regions, price structures, shipping methods and various conditions of sale, whilst seamlessly integrating into the company's current stock and fulfilment system.

A part of Sebor Absinth's new sales drive was to build partnerships with other consumer websites and magazines, offering readers promotional incentives and discounts. The website had to succeed in two main roles, firstly in some regions it was to be the only sales channel available, and in others it was to act as a promotional tool as well as a mechanism for after sales support.

During the initial discussions Syrox was asked to look at the current accounting and fulfilment process, as these were not totally integrated, requiring some manual input of data. After some careful analysis it became apparent that the e-commerce solution could integrate with both the existing accounting and fulfilment systems at higher level than initially thought, streamlining the whole business process.

Solution

After the initial in-depth analysis it was clear that the final solution had to be extremely flexible due to many layers of complexity owing to regional legislation and pricing structures. Syrox was able to deliver a scaleable e-commerce solution, which fulfilled all of Sebor Absinth's requirements with the added flexibility of incorporating other promotional and sale-generating features when required.

Multi-region Sales

In order to accommodate the differing requirements of sales restrictions, import tax, shipping and handling to various parts of the world, the solution Syrox designed needed to handle multiple regions throughout. All aspects of product pricing, shipment costs, licensing, import and tax legislation may be varied in the system for each region, and new regions and pricing schemes can be introduced quickly and easily.

Customer Accounts

An important aspect of any retail operation, and one which is often ignored by e-commerce solutions, is that of repeat ordering. Sebor Absinth wanted to capitalise on the customer satisfaction and brand loyalty that frequently leads to recurrent orders, by providing customer accounts, along with loyalty schemes and targeted product recommendations.

By providing each customer with an username and password protected account, where personal details, billing and delivery information, an order history and payment details are stored, customers may quickly make repeat orders without re-entering common information. It was necessary to ensure that the data was captured and stored in a way that did not infringe the terms of the Data Protection Act, and also that key details such as credit card numbers were not stored, as these are critical to customer confidence in the security of the ordering process.

Ordering

E-commerce sites often have an unclear, disjointed ordering process. Customers are often unsure of how to proceed to the next stage in the process, what additional information is required and which is optional, and at what stage they are committing to the order. With careful design, Syrox developed an e-commerce solution that guides the customer through the ordering process with a minimum of fuss and unnecessary stages.

An important aspect of this was the successful upselling and cross-selling of related products. A key feature of all retail activities, the suggestion and promotion of products that are similar to or compliment an existing selection is a useful way of increasing order values. For Syrox, the challenge was to implement a successful strategy for upselling and cross-selling that did not compromise the integrity of the ordering process, and that could be easily updated to tie in with stock levels and promotional campaigns. By using a discrete, informal pop-up window scheme, customers can order additional recommended products with a single click, or dismiss or ignore the window without affecting the ordering process.

Loyalty Schemes

The design of the website allows Sebor Absinth to utilise a number of marketing and sales techniques, including promotional emails, suggestive selling, magazine special offers and loyalty and referral schemes.

A typical Sebor Absinth referral scheme works as follows: when placing an order a customer is asked to nominate a new potential customer. This nominated customer is then invited by email to purchase goods at discounted rates. Customer validation checks are carried out on delivery address and bank details to reduce the risk of misuse of the system. Once the nominated customer has made a purchase, the original customer is also issued a discount voucher.

When implementing a loyalty scheme, Sebor Absinth has full control over the amount of discount given, products included in the offer, promotion period, period of allowed use for vouchers, number of vouchers per promotion, plus the ability to change the promotion to a free product item rather than a discount.

Accounting and Fulfilment

Initially, it was planned that Sebor Absinth would continue to use their existing account and fulfilment system to handle orders from the new e-commerce website. However, Syrox identified a number of problems with this scenario, including the requirement that some information would have to be manually re-entered into the accounts application, and that only daily totals would be entered into the accounts.

Syrox developed a method to integrate the website and accounting systems. The method included the automatic download of order details from the website and subsequent processing and insertion of data into the accounting application. This leads to several benefits:

  • Only valid credit checked orders are entered - failed orders are filtered out by the system
  • Customer and order details are all transferred without manual intervention
  • Invoices, packing notes and receipts are all formatted and printed automatically
  • Stock levels, order totals and fulfilment details are all updated in real time
  • Customer account and order duplication is detected and handled
  • Customer details are separated into a CRM system, for after sales support, marketing and promotional purposes

Development

Syrox used standard industry strength technologies in the development of the Sebor Absinth website, and specified a high performance webserver in order to ensure high availability and the handling of multiple concurrent transactions. A Microsoft Windows 2000 Server platform with the IIS webserver and ASP scripting technologies were used to build the site, and a MySQL database provided high speed back end storage of customer details, orders, products and website configuration information.

Modular Architecture

Syrox employed an extensible code framework and page template system to allow the website to be easily updated or modified without additional design or layout required. In particular, the home page features a portal layout, with many areas that can be customised to reflect customer testimonies, featured products, special offers, promotions and media tie-ins.

Search Engine Optimisation

A significant part of the promotion of any website is the effective targeting of search engines. In a marketplace occupied by several competitors, Sebor Absinth wanted to ensure that the website would have high visibility and would be easily found by potential customers. Syrox advised on a number of search engine optimisation strategies and incorporated key elements into the design of the website to improve search engine traffic. Specific challenges were around the use of the alternative terms 'absinth' and 'absinthe' (the Czech and French spellings of the word, respectively), increasing Sebor Absinth's search engine ranking position, and capitalising on the wealth of historical and factual information on the website.

 

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