Project Background

Company Origin & Core Resources: HARMAY originated as a cosmetics e-commerce venture founded in 2008, accumulating supply chain resources of 10,000+ SKUs through early cross-border purchasing models.

Industry Trends & Opportunities: he beauty retail market continues to expand, with instant commerce growing at 41% YoY in 2022, highlighting surging demand for real-time fulfillment.

Business Positioning & Efficiency Imperative: As a channel brand operating at 30%-40% profit margins, HARMAY requires urgent operational efficiency enhancements.

Pain Points Analysis

Low Product Selection & Shopping Efficiency:
Online: "Triple-Scroll Dilemma" (6-18 items displayed per screen) reduces user selection efficiency
Offline: Manual order picking takes 5-10 minutes/order, causing >15-minute customer wait times during peaks

High Labor Costs:
Beauty retailers' sales staff exceeds 30% of total workforce Core commercial zones (e.g. Wuhan): Staff salaries >¥8,000/month (2021), constituting 30%+ of store operating costs Annual labor cost growth in beauty retail: 12%

Inventory Management Challenges:
Complex SKU mix slows inventory turnover (Industry average: 90 days → HARMAY target: 60 days)
Manual stocktake error rate: 3-5%
Slow-moving inventory ratio: 15%

Inadequate Real-Time Fulfillment:
Keeta/Ele.me orders require 30-minute delivery SLA
Traditional warehousing fails to meet demand, causing 18% customer churn due to fulfillment delays