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Case Studies
Amorepacific Hong Kong Co. Ltd.
Industry
Cosmetics and Skincare (Retail)
Service
AWS Cloud Enablement Services
Challenges
Amorepacific Hong Kong Co. Ltd. owns extensive online systems to operate their own intranet and e-commerce platforms. To enhance business efficiency for both purposes, it is imperative to adopt cloud transformation to migrate all systems to the AWS platform smoothly and seamlessly while maintaining zero impact in its business operation.
Solutions
Adopting WTT’s cloud solution riding on the AWS cloud platform to establish a cloud-based intranet enhancing operational efficiency and e-commerce platforms has expanded the scope of online services. Moreover, the implementation of this cloud solution can help reduce fixed costs on subscribing additional data traffic in peak periods as a result of the AWS pay-as-you-go model.
Scalability for Ultimate e-Commerce Efficiency – Amorepacific Enhances Staff and Customer Experiences through Migration to AWS Cloud Platform

As women are keen on cosmetology, they study it their whole lifelong. Once they become veterans in their pursuit of beauty, they tend to buy more from home than in stores. E-shops of beauty brands are every bit as important as the physical ones. To provide online systems with the elasticity to meet large influxes of orders during festive seasons, the superb scalability of the AWS cloud platform proves to serve the purpose well.

Founded in 1945, Amorepacific is a major cosmetic manufacturer in Korea and has been selling four of its brands in Hong Kong since 2002 – Laneige, Sulwhasoo, Amorepacific and Etude House managed under Amorepacific Hong Kong Co. Ltd (and brand Innisfree managed by its sister company). Its Hong Kong company has hired over 700 employees to maintain a well-established retail network of over 60 outlets all over Hong Kong and Macau. As a company particularly famed for product innovation and development, its IT department ceaselessly engages both staff and customers by applying new technologies. We are delighted to invite Mr. Andy Foo, IT Manager of Amorepacific Hong Kong Co. Ltd., to tell us about their latest strategic business move of migrating their online systems to the vast AWS cloud platform.

Amorepacific is no stranger to WTT’s professional services, “We have been working with WTT for four years (as introduced in the Customer Highlight of 2015 Vol.1) and trust their reliability and professionalism,” said Andy. Keeping the good partnership going, Amorepacific knew exactly what WTT was offering and gladly became the first customer of WTT’s AWS Cloud Enablement Services launched in 2017.

Amorepacific has adopted the AWS cloud solutions to meet two key objectives:

  • A cloud-based intranet is needed to improve collaboration among its staff to enhance the efficiency of daily internal operations that requires approval processes; and
  • Having reliable hosting and strengthening its e-commerce platforms to pave the way for future expansion of a wide scope of online services.

Scalability is Critical in the Cloud Tech Era

Both purposes see scalability as a key to service provision as both platforms are occasionally challenged by astatic online traffic volume. “The peaks of our online system traffic fall on our quarterly staff appraisal and discount purchase periods, where web traffic could triple all of a sudden but soon drops back to normal in an hour or so,” said Andy.

Subscription-based fixed monthly billing and on-premises physical servers design may not be the best solution for dynamic business options nowadays as administrators may spend time forecasting the volume of paid add-ons, which in turn may be left underused. “Our businesses grow fast. Maybe we need a particular volume this month, but in the next month the volume doubles,” Andy recalled the hassles his teams would face in the pre-AWS days, “We had to stop the systems and install extra resources prior to the expected peaks of traffic, which was costly maintenance.”

But AWS takes all these problems in its stride easily.

Charging Only Actual Usage for a Wise Spend of Money

We know AWS is a huge trend especially for e-commerce so we chose to migrate to the AWS platform for its reliability, scalability, and high-speed performance,” continued Andy. After a massive but seamless migration process fully managed and assisted by WTT’s cloud expert team, Amorepacific is now enjoying the ease of using AWS with their whole intranet and e-commerce platforms running on AWS cloud. He is particularly impressed by AWS’s ability to automatically scale and expand capacity when experiencing usage surges, and the pay-as-you-go approach makes sure every dollar is spent wisely on useful traffic. “The AWS service only charges the traffic volume we consume; our fixed costs are effectively controlled.

Ceaseless and “Invisible” Migration Ensures Smooth Retail Business

Amorepacific took the biggest step of moving into AWS cloud on a normal night before business hours resumed. It was a massive migration that required completion within an extremely short window. “Our shops are open daily including weekends until 11pm at the latest, the migration could only be done during our off hours.” recalled Andy.

WTT has a strategy of securing timely and accurate migration. “First of all, they suggested using a cost-effective tool which helped save a lot of time in the migration. A drill test was then set up by WTT to make sure the whole migration would not overrun and to identify possible problems or faults. This is a relatively safe but considerable measure that might not be proactively provided by other service providers.” How did the migration go? “None of the users noticed the migration – I think it was very successful!” Andy grinned.

Professional Managed Service for Cost Optimisation

Following successful implementation of the AWS infrastructure, Amorepacific moved on to experience WTT’s AWS managed service for the one simple but worthy reason of cost optimisation. Working closely with Amorepacific to review their entire AWS infrastructure planning, WTT’s solution architects then walked through the results of a detailed report with the customer and proposed that the customer purchased AWS Reserved Instances to further reduce running cost. Now Amorepacific is expected to enjoy a yearly saving of 40% on AWS spending after accepting WTT’s review and recommendations.

Amorepacific is now also working towards optimisation of its existing intranet systems on AWS cloud, and planning to launch more e-commerce platforms for the other brands in addition to the Laneige and Etude House shops now online. Andy described WTT’s service provision as “professional”. “They always put themselves in the customers’ shoes. Our company’s philosophy is to focus on our core competence and let the professional and technically skillful partners do the rest. WTT is our trusted partner in cloud technology. We would recommend WTT AWS Cloud Enablement Services to any peers looking to adopt AWS cloud.”