Records are one of the oldest formats in the music industry, but are enjoying increasing popularity again today. In 2025, sales of vinyl records reached over a billion US dollars: clear evidence that consumer demand for physical recordings and interest in a first-class listening experience are increasing again.

The audio brand Victrola is an example of this development. Since its founding in 1906 Victrola has developed into a global company whose record players enjoy cult status and which is known for its modern audio products. Victrola's stated goal is to provide everyone with unforgettable musical memories.

As the company expanded its sales channels, the existing ERP system reached its limits. While the SAP ECC (SAP ERP Central Component) system remained stable and had served the company well over the years, to achieve its ambitious goals, Victrola needed better scalability and more flexibility. According to Adam Schneider, SVP of Digital Strategy at Victrola, the focus was not only on maintaining operations, but also on creating a foundation to support innovation. “We needed something to inspire our creativity at Victrola,” he explains. And SAP Cloud ERP was ideal for this.

Victrola's credo: Let's get it done!

By switching to the public cloud, Victrola not only had access to the latest technologies, but also had the opportunity to adapt its processes. The team therefore used the transformation project to implement a cloud-first approach and redesign the system from the ground up.

“In our meetings, our credo is always: Let's get it done! You see the fist bump a lot at Victrola, we just like it. That really helps us to fully concentrate on the change,” explains Adam Schneider.

The project team focused on change management and openly communicated the reasons for moving to the cloud and the benefits the company hoped to achieve. The justification was very important, explains Adam Schneider, and everyone was “excited about the innovations”.

It was also crucial that the team involved management in the process and secured their support, as senior management was concerned about possible business interruptions in Victrola's strongest quarter. To address these concerns, the team ensured that the transformation project was functionally led and had approximately 75% of Victrola's leadership participation.

In order to avoid operational disruptions and build confidence in the stability of the new system, a partner was also brought in who brought extensive knowledge of SAP Cloud ERP to the project. This partner should also fit as well as possible with Victrola's special corporate culture, which is characterized by openness and interest in music, says Adam Schneider. With Reply the right partner was found.

“We wanted someone who could bring in business management knowledge in the area of ​​public cloud,” he explains. “In terms of time, we couldn't afford for our partner to familiarize themselves with the details during the project itself. The know-how in public cloud matters therefore played a crucial role.”

Thanks to a carefully assembled team, Victrola's transition to the public cloud was optimally accompanied and supported by stakeholders throughout the company, SAP and Reply.

Adaptation of the basis to Victrola's requirements

The Migration from Victrola to SAP Cloud ERP included the order processing and financial processes as well as the operations in large warehouses. Strategic planning of the actual implementation should avoid overloading the team in the high-sales fourth quarter. In total, the implementation project took around six months. Adam Schneider reports that the departments gradually got used to the new system: Confidence grew in the first month and normal operation with continuous optimization was possible four months after the introduction.

Due to changes in the organizational structure related to data management and the greenfield nature of the cloud system, Victrola decided against migrating its historical data. This enabled the company to avoid technical legacy issues and complexity in the new environment. In addition, outdated customizations were largely eliminated through fit-to-standard workshops.

“We wanted a system that could adapt with us and be as simple or as complex as we need it to be,” explains Adam Schneider.

With the new cloud system, Victrola benefits from greater confidence in data accuracy and flexible reporting. The financial processes have been significantly improved: the profit and loss statement only takes 10 to 15 minutes instead of four hours. With faster closes and easier margin analysis, Victrola can act with more agility, make informed decisions and achieve better results.

“We have greater confidence in our data because we have carefully planned the conversion of our landscape and our data basis,” says Adam Schneider with satisfaction. By transforming data management and transactions, Victrola has reduced the time spent on finance tasks by over 250 hours.

Plans for the future

With Victrola's switch to the public cloud, there are no longer any limits to the company's growth and innovative strength. “When planning our AI strategy, our system no longer worries me,” explains Adam Schneider. “We can now apply an AI strategy to a state-of-the-art system that is fully supported by SAP.”

When asked what advice he would give to companies thinking about moving to the cloud, Adam Schneider says there is never a perfect time to start. However, one should not be afraid of a transformation, but rather see it as an opportunity.

“In my opinion, there will never be a perfect time to undertake such a transformation,” he sums up. “Once the first steps have been taken, you start to really use the possibilities that come with it and have a good feeling about it. Then you can say: ‘It's happening, let's tackle it.'”

Would you like to learn more about how SAP supports the transition from SAP ECC to SAP Cloud ERP? Further information can be found here.

Photo courtesy of Victrola.