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Cloud crash-tackles traditional shops

Perth based Kitchenware Direct is planning a major assault on Myer and David Jones with the release of its new online commerce venture Avago.com.au scheduled for launch in August.

The company has been accepted as one of the first 100 global companies to trial NetSuite’s Commerce as a Service, which will be the platform for Avago.com.au.
Peter Macaulay, Kitchenware Direct founder and director, said that; ”We feel that Myer and DJs are dropping the ball…there is an opportunity for someone agile and nimbler.”

Kitchenware Direct which has a turnover of around $20 million will add in a series of social business aspects to the new website. Mr Macaulay said social shopping features such as social loyalty programmes would be introduced rewarding people for shopping or contributing to the Avago.com.au site.

Avago.com.au will also make use of the faceted navigation and what NetSuite calls “searchandising” using the embedded Solar search engine that allows companies to serve up very tailored content to customers. This will for example allow Kitchenware Direct to mine its ERP content on the NetSuite site, and identify customer preference, but also serve up specials if it is overstocked.

Additionally Mr Macaulay said “Speed is a huge factor…fast sites can double site visit time.” The company will also use the NetSuite CaaS to drive its planned push into South East Asia starting in 2013.

Baruch Goldwasser, NetSuite’s ecommerce principal, said that the company had had to turn away the vast majority of companies which had expressed an interest in joining the CaaS early adopter programme. A second Australian user is currently also being considered for the early adopters programme.

He said that in terms of the selection criteria employed NetSuite had been looking for larger companies which “care a lot about the look and feel” of their commerce application “and the ones with an eye for design.”

Kitchenware Direct has worked with SuiteCommerce, which was until recently an independent reseller and service provider, but which has now been bought by NetSuite. Mr Macaulay said that the same team, now a part of NetSuite, would work with the company on the design and rollout of the Avago.com.au service.

Although NetSuite does not have data centres outside of Australia, the company remains confident it will not have latency problems with international users of the CaaS solution.

Mr Goldwasser said that although all the inventory data would be served from the NetSuite data centres, clients of the CaaS would have the content delivery network powered (currently) by Amazon’s network with speeds boosted thanks to Akamai fuelled edge caching.

Beverley Head attended SuiteWorld as a guest of NetSuite


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