Founders Stories (eng)

Founders Stories #20: Digety

By July 23, 2021 No Comments

Marc Lebherz und Simon Roth from Digety:

Origin of the idea

The basic idea for Digety emerged from a previous company that unsuccessfully tried to establish a self-checkout solution for stationary retail clothing stores. Over the course of several years, the two of us intensively studied the stationary clothing retail industry and its processes. In the end, we realized that it takes more than self-checkout to make stationary retail attractive for customers and competitive for retailers compared to online retail. In many conversations with store-based retailers, it became clear to us above all that they have difficulty keeping up with the fluctuating prices in online retailing. This problem is exacerbated when they operate an online store themselves, as they usually can’t track in-store prices as frequently as would be necessary for a competitive online store. And while online retailers can track exactly how long customers have looked at a product and which products are of interest to them, this insight is completely denied to stationary retailers. In order to offer stationary retailers the same opportunities that online retailers already have today, we have set ourselves the goal of digitizing stationary apparel retailing.

The product

The Digety HangTag is a “digital enabler” for all processes that take place in stationary clothing retail. It is a digital price tag that is attached to the product instead of the classic paper HangTag. Thanks to an integrated display, not only can the prices of the items be adjusted in a very short time and without the need for personnel. Customers can also see directly, for example, in which sizes the desired product is still available in that store. The data is based on the live inventory that the system permanently records. However, to give offline retailers the same options as online retailers, the system not only records inventory data, but also permanently locates items in the store with an accuracy of up to 10 cm. This helps employees and customers find products faster, while also enabling a variety of BigData analytics. For example, the Digety system provides information on how often items were looked at, how often they were taken to the fitting room, and highlights zones in the store that are particularly suitable for displays and high-margin products due to high frequency and slow walking pace. In addition, the HangTag replaces a large number of manual steps in incoming and outgoing goods.

Status quo

We are currently in talks with several major customers who have also recognized through Corona that retail stores need to digitize in order to survive in the long term in the battle with online retail.

The way

Our product would certainly not be what it is today if numerous retailers had not given us insight into their problems and processes. Through them, we had sparring partners who brought us ever closer to our goal – to digitize store-based apparel retailing. The UPLIFT program helps us to generate the necessary reach to achieve our goal. We hope for an exciting future in stationary apparel retailing.