Flexport Case Studies Cloud Paper's Agile Response to Pandemic-Driven Demand Surge

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	Cloud Paper's Agile Response to Pandemic-Driven Demand Surge Flexport

Cloud Paper's Agile Response to Pandemic-Driven Demand Surge

Flexport

Technology Category	Platform as a Service (PaaS) - Application Development Platforms
Applicable Industries	Paper & Pulp Transportation
Applicable Functions	Logistics & Transportation Sales & Marketing
Use Cases	Demand Planning & Forecasting Intelligent Packaging
Services	Cloud Planning, Design & Implementation Services
Challenge	Cloud Paper, a bamboo toilet paper company, had a successful business launch in 2019, supplying to corporate clients including office parks, fitness franchises, and restaurant chains. However, the COVID-19 pandemic in 2020 drastically changed the demand landscape. As stay-at-home orders were implemented, the demand for toilet paper shifted from offices and public spaces to homes. Traditional toilet paper manufacturers were struggling with container shortages and the urgency of quick shipping. Amid this chaos, Cloud Paper saw a surge in demand for its tree-free toilet paper, delivered in bulk on a regular schedule. The company had to transform its entire supply chain and business model in a matter of days to cater to this new consumer base. The challenge was to maintain supply chain agility, logistical transparency, and commitment to carbon neutrality while dealing with a 600% increase in sales in just two weeks. Read More
About Customer	Cloud Paper is a mission-driven start-up that produces bamboo toilet paper. The company was founded by Ryan Fritsch and Austin Watkins with the aim of preventing deforestation. Cloud Paper replaces traditional paper products with bamboo paper, a natural alternative that can grow up to three feet per day and can be harvested for paper in as little as three years, compared to 50-plus years for most trees. The company initially catered to corporate clients, including office parks, fitness franchises, and restaurant chains. However, the COVID-19 pandemic led to a shift in demand from offices and public spaces to homes, prompting Cloud Paper to transform its supply chain and business model to cater to this new consumer base. Read More
Solution	Cloud Paper, in partnership with Flexport, was able to respond swiftly to the sudden surge in demand. Flexport's strategic expertise helped Cloud Paper manage a series of orders that were larger than all previous orders in the company's history. The company also worked out an internal plan to remain transparent with their customers, a core value that was easy to uphold with data from Flexport’s platform. As delivery fees increased by 160% due to COVID-related delays in container pick-ups and returns, Flexport advised on optimizing internal operations and coordinated with the trucking company to expedite container movement. As a result, Cloud Paper was able to reduce delivery-related fees by 13% compared to before the spike. Flexport’s digital platform, customer service, and partnership with Carbonfund.org provided Cloud Paper with the necessary tools to navigate the challenges and pivot their business model swiftly. Read More Log in to view content
Contents

Technology Category

Platform as a Service (PaaS) - Application Development Platforms

Applicable Industries

Paper & Pulp

Transportation

Applicable Functions

Logistics & Transportation

Sales & Marketing

Use Cases

Demand Planning & Forecasting

Intelligent Packaging

Services

Cloud Planning, Design & Implementation Services

Challenge

Cloud Paper, a bamboo toilet paper company, had a successful business launch in 2019, supplying to corporate clients including office parks, fitness franchises, and restaurant chains. However, the COVID-19 pandemic in 2020 drastically changed the demand landscape. As stay-at-home orders were implemented, the demand for toilet paper shifted from offices and public spaces to homes. Traditional toilet paper manufacturers were struggling with container shortages and the urgency of quick shipping. Amid this chaos, Cloud Paper saw a surge in demand for its tree-free toilet paper, delivered in bulk on a regular schedule. The company had to transform its entire supply chain and business model in a matter of days to cater to this new consumer base. The challenge was to maintain supply chain agility, logistical transparency, and commitment to carbon neutrality while dealing with a 600% increase in sales in just two weeks.

About Customer

Cloud Paper is a mission-driven start-up that produces bamboo toilet paper. The company was founded by Ryan Fritsch and Austin Watkins with the aim of preventing deforestation. Cloud Paper replaces traditional paper products with bamboo paper, a natural alternative that can grow up to three feet per day and can be harvested for paper in as little as three years, compared to 50-plus years for most trees. The company initially catered to corporate clients, including office parks, fitness franchises, and restaurant chains. However, the COVID-19 pandemic led to a shift in demand from offices and public spaces to homes, prompting Cloud Paper to transform its supply chain and business model to cater to this new consumer base.

Solution

Cloud Paper, in partnership with Flexport, was able to respond swiftly to the sudden surge in demand. Flexport's strategic expertise helped Cloud Paper manage a series of orders that were larger than all previous orders in the company's history. The company also worked out an internal plan to remain transparent with their customers, a core value that was easy to uphold with data from Flexport’s platform. As delivery fees increased by 160% due to COVID-related delays in container pick-ups and returns, Flexport advised on optimizing internal operations and coordinated with the trucking company to expedite container movement. As a result, Cloud Paper was able to reduce delivery-related fees by 13% compared to before the spike. Flexport’s digital platform, customer service, and partnership with Carbonfund.org provided Cloud Paper with the necessary tools to navigate the challenges and pivot their business model swiftly.

Impact #1	Despite the explosive spike in demand and a new customer base, Cloud Paper managed to stay true to its mission of preventing deforestation. The company's agility and Flexport’s customer service allowed Cloud Paper to obtain toilet paper more reliably and meet the urgency of a new market, just in time. The company was also able to maintain transparency with their customers, a core value that was upheld with data from Flexport’s platform. Furthermore, Cloud Paper's commitment to sustainability was reinforced by its partnership with Flexport and Carbonfund.org, enabling the company to invest in large-scale reforestation efforts that offset emissions from the transportation of their product. This strategic approach allowed Cloud Paper to meet the needs of the moment and generate lift right after launch.

Impact #1

Despite the explosive spike in demand and a new customer base, Cloud Paper managed to stay true to its mission of preventing deforestation. The company's agility and Flexport’s customer service allowed Cloud Paper to obtain toilet paper more reliably and meet the urgency of a new market, just in time. The company was also able to maintain transparency with their customers, a core value that was upheld with data from Flexport’s platform. Furthermore, Cloud Paper's commitment to sustainability was reinforced by its partnership with Flexport and Carbonfund.org, enabling the company to invest in large-scale reforestation efforts that offset emissions from the transportation of their product. This strategic approach allowed Cloud Paper to meet the needs of the moment and generate lift right after launch.

Benefit #1	600% increase in sales in 2 weeks
Benefit #2	13% decrease in container fees
Benefit #3	1M lbs in carbon saved in 1 year

Benefit #1

600% increase in sales in 2 weeks

Benefit #2

13% decrease in container fees

Benefit #3

1M lbs in carbon saved in 1 year

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Overview

Cloud Paper's Agile Response to Pandemic-Driven Demand Surge

Operational Impact

Quantitative Benefit