Kimstore Yields an ROI of 3000% with ParcelPanel in Order Tracking

Business Profile

In 2006, Kim Lato, who dreamed of running her own Amazon at 18, started her online business, Kimstore, with only PHP 20,000. Nowadays, with over 250 employees and 1 million transactions per year, Kimstore is the most trusted online store for electronic products with pickup locations across Metro Manila, offering millions of Filipinos the latest digital gadgets at unbeatable prices and outstanding customer service. 

Brand: Kimstore

Industry: Consumer Electronics

Platform: Advanced Shopify

Country: Philippines

Year Founded: 2006

Employees: 201 – 500

Usage: Since June 2022

Carriers: ＜5

Integration: N/A

During the COVID-19 lockdown, the Philippines attracted large numbers of digital nomads who needed high-performance laptops and mobile phones to work remotely. Kimstore benefited greatly from the rise of digital nomads in the Philippines, with sales increased by a whopping 400%, according to an ABS-CBN News interview in March 2022. In the interview, Kim Lato, Kimstore’s founder & CEO, stated confidently that her next goal was to grow ten times.

The challenge: Higher customer expectations & acquisition costs

As the pandemic moved many businesses online, customers who are spoiled for choice have higher expectations. This is not limited to fast delivery and free shipping – shipment visibility also counts for them. It’s also worth mentioning that the customer acquisition costs in e-commerce increased by 60% over the past five years.

Although Kimstore successfully capitalized on the trend of digital nomads, achieved 400% business growth, and expanded the coverage of same-day delivery across Metro Manila, growing the business ten times in the future is far from easy. Apart from selling laptops and smartphones, at that time, it needed to boost customer engagement and build lasting relationships.

“After the lockdown ended, we were convened to find new ways to grow our business. What I put forward at that time was focusing on customer retention. This is because although Kimstore remains the go-to choice for Filipinos who want to buy high-quality digital products at affordable prices, those who have purchased a smartphone might not need a new one in 3 or 5 years. We don’t want an interval of 3 – 5 years before the next purchase.”

Anna Lorraine Galura, Senior Manager for eCommerce and Growth

After several meetings in a row, the team members agreed that the first step was to implement an effective order tracking solution.

The search for a cost-effective, customizable tracking solution

While researching available Shopify order tracking apps, Kimstore’s team found that none supported all of its courier partners, for example, Grab Express. What’s more, Kimstore’s large order volume led to high expenditure on order tracking. After trying the top order tracking solutions, the team concluded that an ideal tracking solution for Kimstore should meet the following requirements:

• Tracking Page Customization: Hide tracking number and courier information so that customers can’t get tracking updates elsewhere. In other words, they have to return to Kimstore several times before receiving the package.
• Manual Tracking Status Update: Kimstore has several pickup locations in Metro Manila. Some customers prefer the in-store pickup option. In this case, the tracking solution must support manually updating the delivery status to “Delivered.”
• Product Recommendations: The ideal tracking solution should provide personalized product recommendations to everyone and have a high conversion rate. Ideally, the profit should be much higher than the cost of the order tracking app.
• Real-Time Email Notifications: Email notifications can be delivered automatically to customers’ email inboxes as soon as the shipment status is updated. The email templates should be easy to customize.

Having compared all the top tracking solutions side by side for a month, Kimstore’s team finally decided to choose ParcelPanel for the best ROI and seamless customer experience.

The results: 30x ROI and 4x customer engagement

“ParcelPanel has been our partner for over a year now. So far, it has met our customers’ needs for real-time shipment updates several million times. We mainly use it to provide order tracking service and send shipment notifications to our customers via email. ParcelPanel helps us deliver great results by effectively engaging with paying customers and converting them at different touch points after sales. Honestly, our customer retention strategy would be incomplete without this reliable order tracking solution.”

Anna Lorraine Galura, Senior Manager for eCommerce and Growth

Here are the Kimstore e-commerce team’s major achievements by using ParcelPanel: 

• 2.4 Avg. Queries Per Order: Kimstore has hidden courier information and the tracking number on its branded tracking page. This measure turns the Kimstore order tracking page into the only source for real-time shipment updates. On average, a customer comes back to track an order 2.4 times. With ParcelPanel, Kimstore reinforces customer retention and boosts loyalty.
• 4x Customer Engagement Rate: With ParcelPanel, Kimstore can proactively inform customers from order to delivery via email. In particular, as customers are concerned about the delivery progress, both the open rate and click rate of Kimstore’s shipment notifications are quite high, reaching 80% and 22%. The engagement is 4x as high as that of Kimstore’s promotional emails.
• 30x ROI in Order Tracking: Kimstore’s team has enabled AI-powered product recommendations on the tracking page powered by ParcelPanel to generate additional revenue. It turns out that the return each month is almost 30 times as high as the investment.

The future: Continuously improve post-purchase experience with ParcelPanel

In July 2023, Kimstore appointed Ralp Moris Brondial as head of customer experience, which was a new position in the company. This means that the big player, Kimstore, attached greater importance to customer experience.

“Kimstore has been reputed for its exceptional customer service. We started offering same-day delivery in 2019, and with ParcelPanel, real-time shipment visibility became possible. In the future, we will continue boosting Kimstore’s omnichannel presence and using ParcelPanel to enhance the post-purchase experience.”

Ralp Moris Brondial, Head of Customer Experience