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“They always rise to the occasion to meet the deadlines. It's been ten years of promises kept.”
- Scott Miller,
Vice President of Operations
Salon Quest |
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Ten Years of Promises Kept
Keeps Salon Quest A Cut Above the Competition
Problem: Find reliable transportation and distribution
In March 1999, Ohio-based Salon Quest needed to warehouse inventory, fulfill customer orders and coordinate shipping of its Aquage line of hair care products. Through its selective distribution strategy, Salon Quest aims to provide independent salons with a competitive advantage against national chains and internet retailers. Accordingly, helping the distributors and salons maintain a small but complete inventory for their customers requires regular, on-time deliveries. In addition, finding the right balance between service and cost is critical to an emerging firm like Salon Quest.
Solution: Engage a responsive 3PL with versatile, flexible services
Salon Quest chose Koch Logistics as its third part logistics (3PL) partner based on an industry recommendation. This relationship flourished from the start. Salon Quest Vice President of Operations Scott Miller said, “From day one, Koch Logistics has been our only transportation partner. They are very customer oriented. They give us ideas and really try to please us with cost savings or other improvements.”
Koch consistently demonstrates smart thinking to provide seamless, reliable service no matter what. When an extended period of subzero temperatures this past winter was having a negative impact on the traditional LTL shipping network out of the Minnesota-based warehouse, Koch came forward with a plan. Moving multiple LTL orders together via temperature-controlled truckload into a region where the weather was milder allowed the LTL network to perform the final delivery leg to the customer from the alternative location. “If something needs to get there, they can do it. We're behind the eight ball once in a while, but Koch can get it there for us. We've never been unable to ship when it's critically important to us,” Miller commented.
Results: Smarter Approach allows Profitable Growth
During the past 10 years, Koch has helped Salon Quest refine procedures to navigate the inevitable growing pains. This has included advancing warehouse mechanization and effectively managing product disposals once or twice a year. “We are a small company and we limit our distribution for controlled growth. Koch continues to help us not only with the growth but to be profitable,” Miller said. The Koch team continually offers ideas for costs savings or other improvements to best manage Salon Quest's 200+ SKUs and growing customer base.
Among the ideas was the recent introduction of a consolidation program designed to reduce cost without sacrificing service levels in the process. Reducing the number of smaller shipments combined with adjustments in specific geographic routes has yielded an 8-10% savings in transportation costs, all while maintaining on-time delivery and keeping the independent salons satisfied. “Once I turn it over to Koch, I never have to worry about it. I'm informed all the way. I know I won't get a phone call in the middle of the night,” said Miller. “They always rise to the occasion to meet the deadlines. It's been ten years of promises kept.” |
