Success Story: Libbey

The situation

Until recently, Libbey's business model has only focused on business-to-business (B2B). Just a few years ago, the company dipped its toes into the world of e-commerce and a direct-to-consumer (D2C) distribution model.

As is the case with most businesses that shift away from a B2B-only model, Libbey found that many of their existing processes needed to change to cater to new consumer expectations. Shipping, for example, had always been done 'by the pallet,' and both logistics and customer service provisions were all set up to work with this kind of model.

A major challenge for Libbey included finding a way to connect their old system with the 'real world.' How could they efficiently produce the right invoices for a new class of customers, and how could they manage their orders with an easier interface?

The solution

Libbey needed to bridge the gap between their old systems as a manufacturer and a new D2C enterprise model that enabled smooth e-commerce operations. After looking at all the options, Libbey started working with ChannelEngine.

Unlike many other companies, Libbey did not have the infrastructure to manage stock and inventory easily. A priority was to nurture the business as it grew into its new model and grow the knowledge base required to succeed. Because the existing PIM wasn't well-suited to e-commerce, the company began by listing directly onto the platform itself and using this as the inventory management system.

"ChannelEngine has shown a flexible way of working. Now we have a PIM, and we're working the 'normal' ChannelEngine way. We've been really pleased with the individual approach to growing the existing business." – Hidde van der Heide, Marketplace Manager Libbey EMEA.

Working with ChannelEngine made it easier and more accessible for Libbey to grow their online sales, with a modular way of working that facilitates sustainable scaling-up of a consumer-focused business.

With the ChannelEngine dashboard, the company now has a great overview of its stock. It can use data insights to refine pricing strategies, understand and minimize returns, and optimize listing content. The company can optimize all its content across the web using keyword insights. By looking carefully at returns information, the company can select packaging options that result in less breakage and better return rates. This means a happy customer when they unwrap their beautiful new glassware.

Next steps

In the last few years, Libbey has seen that "success is all in the preparation." While Libbey is currently using FBA for most of their sales (via Amazon), they will continue with a sustainable growth plan that moves closer to 3PL and eventually their own logistics solutions.

Shortly, Libbey will be working with ChannelEngine to continue their expansion into Eastern European and Nordic markets.

One hurdle for Libbey to overcome is the language issue for customer service and 3PL providers as they expand into new territories. The company prioritizes quality, so they are careful not to grow beyond their capacity. However, working in partnership with ChannelEngine, the future for Libbey looks very promising indeed.