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Lojas Renner handled more e-commerce requests during Black Friday 2019 using Azion’s Edge Application

Challenge

An excellent Black Friday performance made a big contribution to Lojas Renner’s results in the fourth quarter of 2019, where they recorded a net profit of BRL 513 million[1]. The largest fashion retailer in the country achieved this by ensuring it could meet the performance, security and resilience requirements necessary for its applications and by pushing ahead with the company’s digital transformation.

Since then, Renner has continued to achieve notable results with its e-commerce platform:

  • The rate of sales across Lojas Renner’s online platforms increased during the Covid-19 pandemic and, even after physical stores reopened, has continued to see triple-digit growth.
  • The Renner App has been outstanding. In the second quarter of this year, for example, the number of downloads increased by 259%.
  • The app’s share of revenue has also grown and already constitutes about half of all online sales.

There were two important objectives in this development: to exceed the expectations of the millions of individual monthly visitors and to support large spikes in access. These objectives ensure the system will be ready to meet future demand, given that:

  • by 2023, there will be 520 million people using mobile devices in Latin America: 38 million more than in 2018 (an increase of about 8%)[2];
  • by 2023, approximately 2.1 billion devices will be connected to the Internet[3] (700 million more than in 2018); and
  • 83% of consumers consider the shopping experience as important as products and services[4].

Latency and loading times are common issues for applications, especially at times like Black Friday, when eight out of ten consumers take part[5] and hundreds of thousands of people try out online shopping.

However, one of the biggest obstacles for Lojas Renner to overcome, in order to achieve further growth in sales, was improving the performance of its systems in each part of Brazil and Uruguay, where Renner operates.

Solution

Renner, like 44% of companies who have already adopted edge computing[6], used Azion’s edge-native products and services to deliver serverless applications at a faster speed than other monolithic applications that are hosted in the cloud[7]. Thanks to Azion’s Edge Functions and Edge Application, including its Application Acceleration, Edge Caching and Image Processor modules, Renner was able to:

  • carry out A / B tests using functions built into the edge of the network;
  • provide customized delivery of static and dynamic content; and
  • use visual computing algorithms to optimize images.

After a rapid implementation process, Renner continued using Azion’s Solutions Lab to help build and run edge applications with advanced functionality.

Results and Impact

On Black Friday 2020, Renner’s edge applications on Azion’s platform handled requests that peaked at 17,000 per second, and only a small percentage of these needed to access the applications hosted on their infrastructure.

In 2020, Renner used the Azion’s Image Processor, to optimize the volume of images that needed to be transferred to customers’ devices without reducing their features and quality, which helped to:

  • reduce the loading time of online applications;
  • enable customers with limited bandwidth to get access, mobile users in particular;
  • improve its SEO (Search Engine Optimization) performance;
  • reduce online advertising costs by increasing organic traffic; and
  • drive up the sales conversion rate.

Renner has relied on Azion’s assistance, since the beginning of this partnership, to support their own projects at the edge, such as converting the site so that both desktop and mobile devices can access responsive pages and using advanced features from Edge Application to support the load generated by large events without impacting the source infrastructure.

Lojas Renner S.A. was founded in 1965. It was the first Brazilian corporation to have all its shares listed on the stock exchange and is listed on the Novo Mercado, B3’s highest grade of corporate governance. Its fashion and lifestyle portfolio is based on the following brands:

  • Renner, featuring clothes and accessories in a variety of styles;
  • Camicado, a home accessories company;
  • Youcom, which specializes in youth fashion; and
  • ASHUA Curve & Plus Size, which features clothing in sizes 46 to 54.

There are currently over 600 stores, taking all of its business into account. The company also has Realize CFI, which provides and manages financial products to support its retail arm.

As well as operating all these brands in Brazil, Lojas Renner S.A. has also expanded internationally by opening branches of Renner in Uruguay in 2017 and Argentina in 2019.