Selling on multiple channels profitably is challenging. Brands are facing increased competition for visibility, customer acquisition, maintaining brand/retailer relationships, synchronizing efforts across more channels as well as managing integrations/compliance while meeting stricter fulfillment demands. “The Total Economic Impact of Rithum Managed Marketplaces” study, published in February 2024, highlights how Rithum’s multichannel solution saves brands resources.

Rithum’s multichannel solution saves brands on technical labor costs

Rithum is a channel management solution that serves as a single-to-many connection. This reduces the technical resources from managing multiple unique marketplace integrations. According to the TEI study, the technical labor savings over three years and a maximum of eight marketplaces are worth $1.7 million to the composite organization and 600 technical labor hours per marketplace per year.

The interviewees scaled their multichannel strategies from a single location. This lessens demand for internal logistics team by providing a single data feed for marketplaces. The organization can automatically synchronize inventory levels across all selling channels.

Automate inventory data feeds with less labor

Interviewees no longer manually manage data feeds and inventory management. Instead, Rithum’s data transformation and inventory management is automated. The senior manager of business operations at a fashion retailer said:

“We have a large product file because our business has a large breadth of inventory that turns over constantly. Managing product feeds, going through updates, [and] going through parters was very, very time-consuming. [It look] up to five hours a day just to ensure that the products were going through correctly.”

– Senior Manager of Business Operations at a fashion retailer

“We have a large product file because our business has a large breadth of inventory that turns over constantly. Managing product feeds, going through updates, [and] going through parters was very, very time-consuming. [It look] up to five hours a day just to ensure that the products were going through correctly.”

The resources needed to dedicate an employee to spend five to eight hours each day going through files and converting data to comply with Amazon or eBay, is now reallocated elsewhere.

Prior to investing in Rithum, interviewees said the sizes of their teams managing marketplaces would have needed to double to accommodate demand. Instead, smaller teams can manage much larger marketplace programs. The study found that the added efficiency also provided bandwidth for e-commerce and marketplace leaders to focus on strategic planning and growth projects.

Read the full study and try the ROI calculator for brands here.