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ZEDONK: Specialist ERP software for fashion SMEs

01/06/2020

UKFT associate member Zedonk was founded in London in 2007 by Marcia Lazar and Richard Davies, who used their experience working with independent fashion brands to develop ERP software specifically tailored to SMEs.

Over the years, the company has gained clients from all parts of the UK fashion industry, including labels such as Self Portrait, Emilia Wickstead, Erdem, Nicce, and Primury, through to showrooms including The Alphabet and Claret Showroom.

Today, the company offers a modular, cloud-based solution catering to brands of all sizes at an accessible price. After 13 years, Zedonk is now trusted by and works with more than 650 companies and 1,000 brands and showrooms worldwide, streamlining their day-to-day operations.

Last month, the company was acquired by Dedagroup Stealth, which has more than 30 years of experience in supporting medium-sized and large established fashion brands, helping them to manufacture, distribute and sell their clothing and accessories worldwide.

Zedonk co-founder Marcia Lazar tells UKFT how this deal will allow the two companies to combine their experience, know-how and services to provide an even more comprehensive solution to accompany brands and showrooms through international expansion when reaching enterprise level.

As the fashion landscape shifts in response to the global coronavirus outbreak, she also outlines some of the latest Zedonk developments, including how the system can integrate with many of the most popular B2B markets and digital wholesale solutions, and the launch of a new sales app too.

Marcia Lazar

Marcia, what were you doing before you decided to set up Zedonk? 

I entered the industry aged 15 working in my father’s boutiques. Later I fell in love with the clothing designer Tim Wallinger. My life partner specialised in designer menswear and he created the label Science London, exhibiting at international trade shows such as Pitti Uomo and Tranoi, selling to luxury retailers. The likes of Barneys, Beams, Penelope were all clients.

What prompted you to set up Zedonk?  

Zedonk came about to provide a solution to our own requirements. Whilst managing our brand and expanding, it became fairly difficult to manage the order book and all other operations manually. It was so easy to make costly mistakes in under-or over ordering raw materials. I tried to find a suitable IT tool able to manage the business, from production all the way to selling, but there didn’t seem to be anything on the market able to accommodate for our needs as SME. I pictured a tool that would hold all product related data centralised in one place: for example, where raw materials purchasing, bill of materials, sales and production orders, inventory management and invoicing, would all be consolidated.

What was your ambition for Zedonk at the time? 

My ambition was initially to operate the business more efficiently and to ‘free up time’, a rare commodity, whilst running a fashion business. Zedonk was born to help to run Science London. After one trade show I gave Richard Davies, co-founder of Zedonk, a copy of my “CD” and the rest is history. The move was made from a life in fashion to a life in IT, creating one of the first online fashion tech tools. When we first started we hadn’t in mind to disrupt our industry but, looking back, it clearly helped many successful designers massively to gain more transparency across their operations and overlapping seasons. We made software accessible to even the smallest businesses.

Who were your early customers/supporters?  

Juliet Dunn, Komodo, Preen to name a few. They are all still clients which is wonderful and Zedonk plays a significant role in their businesses. Zedonkers, as we call our users, love to work in Zedonkland. When they find themselves changing jobs and there is no IT solution implemented in their new workplace it is not unusual that they get in touch with us to introduce Zedonk, which is fantastic!

What were the main challenges you faced?  

When we started with Zedonk people understood CDs but they did not understand online. It was obvious to both Richard and I that a cloud-based solution was what was required. Yes, to begin with this needed explanations, as the idea that sensitive business related data would be somewhere online scared some fashion companies. Time healed that challenge.

Another obstacle is the general slow adaptation of technology within our industry. A true paradox! On one hand side there are many businesses that aren’t aware of the existence of suitable tools that could really help them, regardless of their size or product category. They think “I am too small”, stay on Excel and don’t even plan a budget for IT solutions into their business plans. This is the age of technology and it’s essential for growth. To imagine one can grow a business without specialist software is crazy. On the other hand, you have the medium to established businesses with bespoke software systems that are very costly to maintain and not dynamically adapting to the demand of our ever evolving industry.

How did you overcome them?

Year after year we got more and more happy clients. Our loyal Zedonkers were helping to spread the word about our specialist ERP software proving wrong all ‘security concerns’. Zedonk is a very reliable and secure system. Being cloud-based it also means that brands don’t need to update anything or install a new version. It’s all done automatically. Our solution is often promoted in best practice seminars as it has become industry standard, go-to ERP, in particular for emerging brands.

Where is/what is Zedonk now?  

Thanks to our talented team and the Zedonk community our system has steadily grown alongside the needs of our industry. These needs have changed massively from when I first started. We have many integrations with complementary systems, 3PLs, B2B Wholesale marketplaces, and much more to accommodate our clients’ requirements. Zedonk is a modular solution catering to brands of all sizes at an accessible price. After 13 years, Zedonk is now trusted by 1000+ brands and showrooms and streamlines their day-to-day operations.

What prompted you to sell Zedonk?

Dedagroup Stealth approached us. The timing was right. The synergy was there. The acquisition will facilitate the growth and allow Zedonk to unfold its full potential. In these times one needs to stay agile and collaborate with a strong partner that ‘looks into the same direction’. Richard and I felt that this is the case with Dedagroup Stealth, which has helped fashion and luxury companies to grow and to develop their markets all over the world for the past 30 years.

What attracted Dedagroup Stealth to Zedonk? What plans do they have for the business?

Both companies have a long history, expertise and passion to provide specialist fashion tech. The acquisition of Zedonk is part of Dedagroup Stealth’s plan to expand now into the global market as well.

In Italy they are already leaders in their field providing IT solutions for all major established fashion and luxury retail brands. They employ over 400 IT specialists that have already delivered more than 40 projects around the world. Stealth®, The Fashion Platform, offers omnichannel management solutions that give brands full control over production, supply chain, and retail operations. Our Zedonk is serving a market segment that they weren’t catering to just yet. Combining forces means to empower us to accompany the brand from launching to enterprise level. This is great!

Whilst running your label Science London you have experienced a big global crisis when no one was travelling. How did you and your designer colleagues handle this? What does the future hold for us and how do you see online solutions helping small and large British brands?  

In 1991 fashion designers were hit by the Gulf War, department stores and independent buyers were banned by bosses from taking risky flight paths. We had a telephone and snail mail as the means of communication. It was tough! In 2001, the industry once again took a hit after 9/11. This time we had a telephone, fax machines were still popular and not many retailers used emails yet.

Today in spite of Covid-19, these communication channels and the way we work has changed again. We must stay positive. Designers are creative and able to think outside of the box. Who would have predicted that we now have the world wide web, the internet of “things” and the online experience? Now it is normal to work remotely, to schedule online meetings, live chats with contacts and live-stream videos. Thanks to 3D images and virtual showrooms buyers can still submit orders for products they want.

Our industry has been through so many challenging times, however, brands and buyers will find a way to place orders and to continue to do business. Zedonk integrates with the most popular B2B systems allowing a seamless connection between the back-end ERP system and the virtual marketplace. And, for those brands that do not want a marketplace we have a sales app, too. It is now more vital than ever to look into specialist fashion tech to grow and succeed.

What do you think the business will look post Covid-19?

The fashion panorama post-covid 19 will see a sudden, inevitable digital transformation of our industry. Many companies will have implemented technology into their business. Ecommerce websites have increased exponentially with many brands trying to sell Business-to-Consumer. Virtual B2B marketplaces have become the go-to channel for brands and retailers.

I’d like to think that we will work more sustainably, have a more transparent supply chain, reduce inventory, maximise efficiency and productivity. And no matter in which direction life takes us, if we embrace new routines or we decide to go back to the “proven pattern” we used to have, technology is now part of the game. It supports brands in their evolution and in embracing the new paradigms of their market. In terms of where we see ourselves, Zedonk and Stealth®, will have translated the synergies into results. Zedonk is an integrated part of the Dedagroup Stealth product offering ensuring that start-up businesses and SMEs worldwide have all access to a digital solution to run their brand.

If you had one piece of advice to give to a UK exporter, large or small, what would it be?  

Globalisation and digitalisation increased the overall competitiveness. New opportunities, new challenges. Therefore, everything that can help a brand to increase its competitive edge is worthy of consideration. Technology in fashion matters.

ZEDONK

About UKFT

The UK Fashion & Textile Association (UKFT) is the most inclusive network for fashion and textile companies in the UK. We bring together designers, manufacturers, suppliers, agents and retailers to promote their businesses and our industry, both in the UK and throughout the world.

Our President is HRH The Princess Royal.

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