Case Studies

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Nextsport

Nextsport designs, manufactures and markets innovative and engaging product for kids and kids at heart. The majority of its business comes from distribution in major retailers including Target, ToysRUs, Wal-Mart and other retailers. To support these relationships, Nextsport needed an EDI partner to perform all EDI operations on its behalf and integrate with its NetSuite ERP system.

At a customer’s request, Nextsport called SPS Commerce to learn about the company’s on-demand EDI services used by more than 40,000 customers. After discovering that SPS had pre-existing maps to Nextsport’s retail customers, hearing recommendations from their retailers and learning about SPS’ proven integration with NetSuite, Nextsport choose SPS Commerce as their EDI partner in 2006.

Nextsport was quickly connected with retail trading partners through SPSCommerce.net and was invited to attend SPS’ annual customer meeting.

At that event, Nextsport met George Hynes, President of Logistic Edge, a third-party logistics (3PL) provider and SPS partner that works with several SPS customers. Logistic Edge became Nextsport’s 3PL provider and is managing 95% of the company’s orders today. In addition to starting this strategic relationship, Nextsport learned of SPS’ Trading Partner Intelligence (TPI) service, which it began using in 2010.

“SPS Commerce is committed to helping companies of any size connect with their supply chain partners, including retailers, 3PLs and more,” said TJ Carskadon, President of Nextsport.

Integrating with NetSuite and Logistic Edge

Nextsport elected to use SPS’ EDI Service for NetSuite for its high-volume customers and its 3PL, and leverage the WebForms service for smaller retail customers. SPS Commerce rapidly completed the integration to connect with Nextsport’s NetSuite ERP solution and Logistic Edge.

“We were delighted to be chosen as Nextsport’s 3PL provider and given our past experiences with SPS Commerce, we knew the integration would be smooth and completed quickly,” said George Hynes, President of Logistic Edge. “Logistic Edge has several customers using SPSCommerce.net and has been very impressed with SPS’ technology and experienced staff that is always accessible and willing to go the extra mile.”

Today, Nextsport’s domestic and most international orders are received via EDI through SPSCommerce.net. SPS immediately routes the EDI 850 Purchase Order to Nextsport’s NetSuite system. The company approves the order in NetSuite and releases it to Logistic Edge for fulfillment. Logistic Edge then completes and ships the items and sends an EDI 945 Warehouse Shipping Advice to SPSCommerce.net. This information is integrated into the NetSuite system and SPS delivers an EDI 856 Advance Ship Notice (ASN) to the retailer to comply with their trading requirements. Lastly, Nextsport issues an invoice via NetSuite and sends it to the customer using SPSCommerce.net to complete the cycle.

Managing Inventory with Trading Partner Intelligence

In late 2010, Nextsport looked to SPS Commerce to help them to more easily manage and monitor their inventory through the use of SPS' Trading Partner Intelligence (TPI) service. Using the on-demand intelligence solution, Nextsports' sales and operations executives can quickly view the sell through rates of their products and use this information as part of their ongoing discussions with buyers. Today they are able to view store-level sales data from 70 percent of their retail customers using the TPI service which has Point of Sale data from more than 120 retailers.

“SPS Commerce helps Nextsport easily meet our retailers’ integration and visibility requirements with on-demand EDI services, and more effectively manage our inventory with new services such as Trading Partner Intelligence,” explained Carskadon.

This summer Nextsport is launching a new product line for fishing enthusiasts. TPI will help them to monitor the sales of these new items by retailer, geography and time period to identify any sales trends or potential inventory outages. Its sales team can use this information to work collaboratively with buyers to drive more sales.

“After just a short time of using TPI, we are able to monitor our sell-through and have more proactive discussions with buyers on how to best market our sporting goods products in their stores,” continued Carskadon. “TPI is helping us to be a more collaborative partner and improving our inventory management processes.”

About Logistic Edge

Logistic Edge is a third party logistics (3PL) provider focused on delivering integrated logistics solutions. Our web-based Warehouse Management System (WMS) provides real time access to critical information and fully integrated EDI allows us to seamlessly connect with our customers’ internal systems. We service a wide range of industries including apparel, paper products, electronic products, consumer products, sporting goods, and more. We are an asset-based provider with our own warehouse facilities in Southern California. Our capabilities range from warehousing and distribution operations to value added services such as re-packaging, labeling, and light assembly. Logistic Edge has demonstrated the ability to service the needs of the world's largest retailers including Wal-Mart, IKEA and Home Depot. As demand for outsourced logistics and warehousing services continues to grow, Logistic Edge will be there to provide personalized service and customized solutions to fit our customers’ needs. For more information, please contact Logistic Edge at 888-305-EDGE or visit www.logisticedge.com.

About SPS Commerce

SPS Commerce is a leading provider of on-demand supply chain management solutions, providing integration, collaboration, connectivity, visibility and data analytics to thousands of customers worldwide. We deliver our solutions over the Internet using a Software-as-a-Service model to improve the way suppliers, retailers, distributors and other customers manage and fulfill orders. Our SPSCommerce.net platform features pre-built integrations used by current and new customers alike, spanning 3,000 order management models across 1,500 retailers, grocers and distributors, as well as integrations to over 100 accounting, warehouse management, enterprise resource planning, and packing and shipping applications. More than 40,000 customers across more than 40 countries have used SPSCommerce.net, making it one of the largest trading partner integration centers. SPS Commerce has 40 consecutive quarters of increased revenues and is headquartered in Minneapolis. For additional information, please contact SPS Commerce at 866-245-8100 or visit www.spscommerce.com.

SPS Commerce is a registered trademark of SPS Commerce, Inc. SPSCommerce.net and the SPS Commerce logo are the property of SPS Commerce, Inc. All other names and trademarks are the property of their respective holders.

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