Kogan's Hyper Growth and Increased Sales Through New Relic Dashboards
Technology Category
- Platform as a Service (PaaS) - Application Development Platforms
Applicable Industries
- Electronics
- Retail
Applicable Functions
- Sales & Marketing
Use Cases
- Inventory Management
- Retail Store Automation
About The Customer
Kogan.com is a portfolio of retail and service businesses that includes Kogan Retail, Kogan Marketplace, Kogan Mobile, Kogan Internet, Kogan Insurance, Kogan Travel, Kogan Money, Kogan Cars, Kogan Energy, Dick Smith, Matt Blatt and Mighty Ape. The company is a leading Australian consumer brand, renowned for price leadership through digital efficiency. It is focused on making in-demand products and services more affordable and accessible. Kogan.com has grown its platform through high-level acquisitions and a suite of new products in recent years. In February 2021, the Kogan.com community of active customers surpassed 3 million customers.
The Challenge
Kogan.com, a leading Australian consumer brand, experienced a significant surge in demand during 2020. The company's share price rose by 360% between March and July, and gross sales increased by nearly 40% to reach AUD$768.9 million. This was largely due to the increased demand for online shopping during the pandemic, with consumers seeking technology, home entertainment, PPE, office supplies, and exercise equipment. While Kogan.com was able to keep up with the demand, other online retailers began to experience website crashes or slowdowns. Kogan.com's challenge was to manage this surge in demand while maintaining its strong infrastructure, stock reordering initiatives, and forecasting. The company also needed to manage the growth of its customer base, which was rapidly expanding.
The Solution
Kogan.com leveraged New Relic, a software analytics company, to support its record growth while keeping lean. The company had been a New Relic customer since 2012, when its customer base was quickly growing and the team needed to learn how to best manage spikes in demand. Kogan.com used New Relic across a number of its verticals to improve front-page performance and diagnostics. It also rolled out real-time dashboards to track performance at its Melbourne headquarters. The team used New Relic each time a project was implemented, allowing for continual optimization while uncovering coding issues. When Kogan.com launched Kogan Marketplace in 2019, it used New Relic to view new customer queries and establish the impact of complex and innovative sale offers to customers and sellers.
Operational Impact
Quantitative Benefit
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