Transforming a Traditional Beauty E-commerce Business with AI-ERP

Discover how a beauty e-commerce startup achieved 9x revenue growth and 75% workforce reduction by implementing CartaNova’s AI-ERP.

[ TIMELINE ]

12 months

[ CLIENT ]

Confidential

[ INDUSTRY ]

Startup

Retail

[ CHALLENGE ]

Challenge: Traditional Culture, Limited Scalability

In 2023, a Korean startup specializing in perfume and beauty product sales via e-commerce approached us with a critical challenge. Despite having a growing catalog and ambitions to scale, their operations were deeply rooted in manual workflows and outdated business processes.

The client was using WISA, a widely adopted e-commerce platform, but their internal operations—ranging from product sourcing and registration to marketing, inventory, and accounting—relied heavily on spreadsheets and fragmented tools.

They faced several obstacles:

  • Limited scalability: SKU expansion was slow and error-prone.

  • Operational inefficiencies: Over 25 full-time staff were required to manage routine tasks.

  • Inflexible decision-making: Lack of real-time insights made product and pricing strategies reactive, not proactive.

  • Cultural resistance: As a company with traditional roots, there was significant hesitation toward adopting AI or automation.

[ SOLUTION ]

Solution: Deploying AI-Driven ERP

To address these challenges, we deployed a custom-built AI-ERP solution, purposefully designed for retail and e-commerce operations.

Rather than integrating with WISA, we developed a fully independent, AI-native ERP system that replaced the existing WISA platform entirely. This new system supported the client’s entire operational workflow—from product sourcing to order fulfillment—while enabling intelligent automation across departments.

The AI-ERP was designed to automate 80% of the client's workflow, leveraging AI agents, ontology-based data structuring, and real-time analytics. Key capabilities included:

  • Automated product sourcing and registration, using AI to identify and onboard high-performing SKUs.

  • Real-time pricing and inventory optimization, based on live sales and supply data.

  • Customer segmentation and targeted marketing automation.

  • AI-assisted demand forecasting and procurement planning.

Our approach not only transformed the client's operations but also reshaped its traditional culture. By delivering early, tangible results, we built trust and enabled the organization to embrace full-scale digital transformation.

Result: 9x Revenue, 80% Automation, 75% Workforce Reduction

Within just one year of implementation (2023–2024), the transformation was dramatic:


Business Performance


Metric

Before

After

Brands Sold

48

97

SKUs Listed

1,426

6,218

Inventory Value

~₩600M

~₩100M

Average Sales Cycle

~4 months

2 weeks

Dead Stock Value

~₩100M

~₩5M

Annual Revenue

₩2B

₩18B


Operational Efficiency


Team

FTEs Before

FTEs After

Sourcing

4

1

Merchandising & CX

10

1

Data Management

2

0

Development

4

2

Marketing

6

1

Accounting

2

1

By automating the majority of tasks, the company was able to operate with just 6 people, down from 26—achieving the same, if not better, productivity.

Moreover, previously unattainable functions such as:

  • bulk product onboarding,

  • real-time repricing,

  • continuous brand info updates, and

  • deep customer segmentation
    became routine and scalable.

Conclusion

This project demonstrates the transformative potential of AI when it’s tailored to the realities of retail operations. Laplace for Retail not only streamlined workflows but helped a traditional company reinvent itself as a data-driven, AI-native business—while preserving its core identity.

At CartaNova, we believe that AI-ERP is not just about technology—it’s about rewriting what’s operationally possible.

If you're facing similar challenges in your retail or e-commerce business, let’s talk.

[ RESULTS ]

+800%

Annual Revenue

-87.5%

Product Sales Cycle

-76.9%

Employees