Boost Your Retail: The Surprising Impact of OMS on Service Levels (in 3 Key Figures)

By Charlotte Journo-Baur, Founder of WISHIBAM

Understanding the Importance of Service Levels in Modern Retail

Service Level: A Key Performance Indicator

Let’s be frank: service level isn’t just another KPI. It’s THE barometer that determines your ability to keep promises to your customers. According to the Retail Pulse 2023 study, each percentage point gained on your service level translates to an average 3% increase in revenue. Impressive, isn’t it?

I recently spoke with the director of a national retail chain who confided: “We used to think 92% was an excellent service level. Today, we know that each unfulfilled order represents not only a lost sale but potentially a customer who will never return.”

And he’s right! The numbers don’t lie:

• 73% of consumers will switch brands after just two negative experiences related to product availability (McKinsey, 2023)
• Customer acquisition costs continue to rise (up to 25% in 2 years)

Can you really afford to lose loyal customers over inventory issues?

Service level directly influences:

• Customer satisfaction (NPS)
• Repurchase rate
• Customer lifetime value (LTV)
• Your reputation on social networks and review platforms

A striking example: one of our clients in the premium fashion sector improved their service level from 89% to 97% and saw a 31% increase in purchase frequency among existing customers. Loyalty isn’t decreed—it’s built, order after order.

Current Retail Challenges in the Face of Digitalization

Retail digitalization is no longer optional—it’s a condition for survival. But the path is fraught with obstacles. Let’s examine the major challenges facing retailers today:

• Channel fragmentation: On average, a retailer manages 7 different sales channels (physical and digital), each with its own systems, processes, and teams. This complexity creates information silos, making a unified inventory view nearly impossible.

I visited a major Parisian department store where an angry customer was leaving after being denied an item that was actually available… just one floor below! This anecdote perfectly illustrates the absurdity of the current situation.

• Evolved customer expectations: According to the Unified Commerce Observatory, 76% of consumers expect to check product availability online before visiting a store. 68% consider it “unacceptable” that an in-store item cannot be delivered to their home.
• Competitive pressure: Amazon and other pure players achieve service levels of 98% or higher. Traditional retailers must keep up—or risk being left behind.

The brutal reality: without effective digital transformation, traditional retail is doomed. But beware—not all transformations are equal. Too many retailers invest millions in digital projects that fail to improve service levels because they miss the real lever: the OMS.

The Strategic Role of OMS in Improving Service Levels

Inventory Optimization and Stockout Reduction

The Order Management System (OMS) is the invisible but essential backbone of high-performing retail. Why? Because it solves the fundamental equation: the right product, at the right place, at the right time.

An OMS like WISHIBAM’s provides real-time, unified visibility across all your inventory—warehouses, stores, even in transit. This global view is a game changer.

Take the example of a client in the home appliance sector: before implementing our OMS, stockouts represented 12.3% of references. Six months later, that figure fell to 4.1%.

How?

• The OMS aggregates inventory data from multiple sources (ERP, POS, WMS…) to create a “single virtual inventory.”
• This eliminates blind spots that previously caused up to 40% of stockouts.
• Advanced algorithms anticipate replenishment needs based on:
  • Sales history
  • Seasonality
  • Marketing events
  • Real-time trend detection

A supply chain director recently told me: “Before, we discovered stockouts when customers reached the checkout. Now, we anticipate and prevent them before they occur.”

The impact is considerable: our clients see a 35% average reduction in stockouts after 6 months. Every percentage point gained represents additional sales and satisfied customers.

Enhancing Customer Experience Through Operational Efficiency

OMS goes far beyond just product availability—it revolutionizes the entire customer journey by orchestrating every step of the order process.

Imagine: a customer orders online, the product isn’t in your central warehouse. Without OMS: lost sale or delay. With OMS: the system automatically finds the best fulfillment point (store, warehouse, supplier) and ships quickly.

• 37% reduction in average delivery time (WISHIBAM clients)
• 24% increase in orders delivered on time
• 18% reduction in logistics costs

In-store, associates with tablets instantly check availability across the network. Looking for an unavailable size? In seconds, the associate locates, reserves, and arranges delivery.

A customer recently commented: “This is the first time someone has offered me a solution rather than an excuse.”

This responsiveness is now the standard consumers demand. 80% of customers consider experience as important as the product itself (Salesforce). OMS is the tool that enables operational excellence, at scale.

Wishibam: Your Partner for Sovereign Omnichannel Digitalization

Why Choose Wishibam for Your Digital Transformation?

Measurable Benefits of Collaborating with Wishibam

• +27% service level
• -35% stockouts
• +18% conversion rate
• -12% logistics costs

These results are real, measured and documented for every client.

Our global approach combines:

• Cutting-edge technology (AI, intelligent orchestration)
• Proven digital transformation methodology
• Personalized human support

“What makes the difference is their ability to turn a technical project into a company-wide project that mobilizes everyone toward one goal: customer service excellence.”

Typical ROI: less than 8 months—unprecedented for a project of this scope.

Conclusion: OMS—The Cornerstone of High-Performing Retail

Improving your service level isn’t just a technical issue—it’s a strategic one, impacting your performance and survival.

In an era of ever-greater consumer expectations, OMS becomes the essential tool for living up to your promises and standing out.

WISHIBAM was founded on a conviction: physical retail has a bright future if it embraces digital at its core. Our OMS is the bridge between your historical strengths and the needs of modern retail.

Ask yourself: can you afford to remain passive while your competitors reinvent their inventory and order management?

FAQ: Everything You Need to Know About OMS and Service Levels