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TheStreet Open House

Hairhouse Warehouse Turns To NetSuite For Omnichannel Commerce

NetSuite's integrated and automated solutions can also improve Hairhouse Warehouse's relationships with its franchisees, providing them with greater visibility and control over their businesses, particularly with inventory management. Hairhouse Warehouse's current system is too complicated for the franchisees to use, leaving few stores that actually carry out cycle counts and stocktakes or create purchase orders and receive stock into their systems. Automating the process can ensure the entire organization is responding to customer demand and provide a clear understanding of franchisee performance and insight into how they can better be supported.

Hairhouse Warehouse launched its first ecommerce site in mid-2012 to provide customers with shopping flexibility and to support its franchisees. That site has proven to be very unstable, despite the time and money invested. By switching to NetSuite SuiteCommerce, Hairhouse Warehouse plans to improve the stability and functionality of the site and make it a more integral part of the business.

"Not only can we improve the customer experience when it comes to B2C, but inclusions such as geolocation and 'click and collect' can enable us to drive more traffic back into our bricks-and-mortar stores to support our franchisees," added Mr. Lai.

Accelerating its decision to switch to NetSuite, the retailer's entire national infrastructure came to a complete halt in February 2013, when a fire in an electrical junction near its support office caused the entire region to lose power. A further system failure resulted in the company's active directory, exchange and storage servers catastrophic failure and major data loss. Its service provider just brought it back to operational status in April.

"It goes without saying that had we already transitioned onto NetSuite's cloud-based system, we would have been shielded from such failures and effectively continued our operations," said Mr. Lai. "We wouldn't have suffered the level of loss that we did."

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