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Customer Story

Global Cosmetics Retailer Achieves Significant Savings with Cloud Cost Optimization

A leading global cosmetics retailer partnered with Xebia to achieve over $700K in cloud cost savings through strategic optimization and sustainable best practices.
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Related Services
Data Technology

Industry
Retail

Company
Xebia

The client, a globally recognized cosmetics retailer, operates in numerous countries with a vast network of retail stores and a strong online presence. To support its extensive digital infrastructure, the client relies heavily on cloud services. However, rising cloud costs were becoming a significant concern, impacting their overall operational efficiency and profitability. Seeking to reduce expenses and optimize their cloud usage, the retailer engaged Xebia for a comprehensive cost optimization project as part of a wider engagement and long-term partnership.

Why
Rising cloud costs were putting pressure on profit margins.
What
Uncover immediate cost-saving measures and strategy for sustainable savings.
How
Analyze the cloud environment, identify inefficiencies, and implement recommendations.

Inefficient Cloud Systems Leading to a Surge in Costs

The global cosmetics retailer was facing escalating cloud costs that threatened to erode its profit margins. They aimed to identify $500K in potential savings over a 5-week period. Despite previous efforts, their cloud environment had several inefficiencies, including underutilized resources, lack of monitoring and cost controls, and suboptimal usage of compute and storage services. The challenge was to quickly identify cost-saving opportunities while implementing long-term strategies to prevent costs from spiraling. 

Recognizing Quick Wins and Sustainable Savings

Xebia adopted a two-pronged approach: quick wins for immediate cost reduction and strategic changes for sustainable savings. Initially, the team focused on identifying short-term opportunities such as optimizing storage and compute resources, fine-tuning policies, and enhancing monitoring capabilities. Key actions included automated cleaning of tables to reduce storage costs, tuning or decommissioning expensive clusters, and implementing a proactive cost monitoring dashboard. Additionally, Xebia introduced best practices through training sessions given to the retailer’s team, as well as 1:1 sessions to optimize their queries and workloads.  

Streamlining Cloud Operations in Just 5 Weeks

The project was executed over 5 weeks, with Xebia collaborating closely with the retailer’s team. The process involved conducting a thorough analysis of the client's cloud environment, identifying inefficiencies, and implementing recommended actions. Xebia also facilitated office hours to educate close to 100 employees on cost optimization techniques and worked directly with colleagues to drive changes.  

 

"The commitment, expertise, and collaborative spirit you all demonstrated have been truly commendable. The impact of your efforts is deeply appreciated, and I am confident that we will continue to see great success as we work together in the future.”
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Lead Engineer Support and Delivery

Realizing Significant Cloud Cost Savings and Efficiency Gains

The collaboration resulted in identifying $706K in potential cloud cost savings, with $306K already materialized by the end of the 5-week engagement. The savings included a 23% reduction in expensive storage accounts and significant compute cost optimizations. Additionally, Xebia’s training sessions led to an increase in operational efficiency. Moving forward, Xebia continues to support the retailer in materializing the remaining savings and implementing further cost controls, ensuring the retailer maintains its optimized cost structure. 

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