Case study
How the Spokojená domácnost e-shop gained a competitive advantage and saved CZK 3.2 million per year thanks to Shipify fulfillment.
The struggle of a small player with fixed costs
Most smaller e-shops with large appliances face the same dilemma: invest huge money in their own logistics (warehouse, people, cars), or settle for expensive external carriers and the risk of damage?
The e-shop (volume of approx. 1000 white goods/month – washing machines, refrigerators, dryers) attempted a hybrid model that gave the illusion of control but in reality tied it down. Constant fixed costs and capacity crises during seasonal peaks hindered growth.
The goal of Spokojená domácnost was not only to reduce costs, but mainly to gain flexibility and quality of services so that they could compete with big players like Alza.
A fixed bottleneck in internal logistics
| Cost Item | Monthly expenses | Issues |
|---|---|---|
| Warehouse (rent, utilities) | 125,000 CZK | High fixed costs regardless of the number of orders. |
| Wages (4 employees) | 180,000 CZK | Overtime during peak periods, inefficiency during slow months. |
| Equipment, operations, packaging | 46,000 CZK | Forklift repairs, packaging processes. |
| SUBTOTAL WAREHOUSE | 351,000 CZK |
Expensive and complicated transportation
| Cost Item | Monthly expenses | Issues |
|---|---|---|
| Own vehicle (Prague) | 110,000 CZK | High fixed cost and limited regional coverage. |
| External transport (650 units) | 338,000 CZK | Frequently missing SLAs and reporting. |
| Oversized cargo and assembly (350 units) | 175,000 CZK | High damage rate and lack of value-added services. |
| SUBTOTAL TRANSPORT | 623,000 CZK |
ORIGINAL CONDITION
High fixed costs and slow growth
Fixed cost trap:
Total logistics costs 974,000 CZK / month, i.e. 974 CZK / shipment).
Owner's time:
20–25 hours per month spent on logistics solutions.
Risk of damage:
Complicated handling of oversized items led to a high rate of damage.
Slow delivery:
The average delivery time of 2.1 days reduced customer satisfaction.
SHIPIFY SOLUTION
Fulfillment as a service
Stop fixed costs:
complete transformation of logistics to a variable model ("pay-as-you-grow").
Cutting-edge technologies:
deployment of a professional WMS with addressable storage and real-time reporting.
Specialized network:
use of Shipify's optimized transportation network, designed specifically for handling heavy and oversized appliances.
Service Level Agreement (SLA):
introduction of contractual guarantees for shipping speed and packaging/delivery quality.
New pricing model: Shipify
| Služba | Měsíční náklady | Komentář |
|---|---|---|
| Warehouse (Receiving, Inventory Management, Shipping) | 59,000 CZK | You only pay for items that are actually stored and shipped! |
| Transport (standard and oversized) | 650,000 CZK | The price includes damage prevention and delivery services. |
| TOTAL COSTS SHIPIFY | 709,000 CZK |
Financial Success
| Metric | Original | With Shipify | Improvement |
|---|---|---|---|
| Total monthly costs | 974,000 Kč | 709,000 Kč | Savings of 265,000 CZK |
| Cost per shipment | 974 CZK | 790 Kč | 27% reduction |
| ANNUAL SAVINGS | 3,180,000 CZK | ||
RESULT
Speed, quality, 3.2 million in your pocket
The move to Shipify was a game-changer for Spokozna domáčnost. Logistics stopped being a problem and became a competitive advantage.
Unlimited scaling:
the e-shop can grow from 1000 pcs to 1500 pcs/month without the need for any new investment or increasing fixed costs.
Speed and customer experience:
Speeding up delivery from 2.1 days to 1.2 days (0.9 days faster!).
Reducing damage to shipments by 28% thanks to professional handling.
Time-to-Market and Strategy:
The owner regained 20-25 hours per month on marketing, strategy, and growth, instead of solving operational crises.
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