Regional Utilization Smart Merchandising Warehouse Management

Riding the E-commerce Wave: Prepping for Peak Season Sales

The holiday season is the busiest time of the year for e-commerce brands. With the rise of online shopping, it’s more important than ever for brands to prepare for the peak season sale. In this article, we’ll discuss the steps you can take to ensure your e-commerce brand is ready for the holiday rush

Why Is peak season preparation important for e-commerce brands?

The holiday season is a crucial time for e-commerce brands to drive sales and revenue. In fact, according to Adobe Analytics, online sales during the 2020 holiday season reached $188.2 billion, a 32.2% increase from the previous year, and during the 2021 holiday season, online retail sales grew by 14.1% compared with the previous year.

With the increase in online shopping, it’s important for e-commerce brands to be prepared for the peak season to capitalize on the surge in sales. E-commerce brands must prepare for the peak season due to increased online competition and the need to meet high customer expectations to drive sales and revenue. This entails optimizing websites, offering attractive deals, and ensuring a seamless shopping experience, including timely shipping and easy returns, ultimately empowering brands to capitalize on the online shopping surge.

How to prepare your e-commerce brand for peak season sales?

Now that we understand the importance of peak season preparation let’s discuss the steps you can take to ensure your e-commerce brand is ready for the holiday rush.

1) Stock up on inventory

The last thing you want during the peak season is to run out of stock for your popular products. Make sure to stock up on inventory in advance to meet the increase in demand. Accurate inventory planning hinges on various factors, such as lead time, safety stock, planogram limitations, dynamic trends, and reorder thresholds.

Analyze your sales data from previous peak seasons to determine which products are most popular and make sure to have enough stock to meet the demand. You can also consider offering pre-orders for popular products to ensure that customers can still purchase them even if they are out of stock.

2) Ensure inventory accuracy across platforms

To ensure precise inventory and enhance customer satisfaction, deploy diverse inventory management methods. Begin by choosing a primary inventory management system, then seamlessly integrate it with various platforms. 

Many popular e-commerce systems provide APIs and apps for real-time cross-channel synchronization, a critical factor for multi-location sales. For further insights on streamlining warehouse operations during peak season sales.

3) Plan your pricing, promotions, and deals

Dynamic pricing during peak sales season is a savvy strategy to boost profits. It involves monitoring competitors’ pricing for similar products and adjusting yours to stay competitive. While this may entail occasional price reductions, it can also mean increases when warranted. 

Shoppers seek deals and promotions during the peak season, so plan and promote discounts, free shipping, and bundles in advance. Create urgency with limited-time offers and utilize effective merchandising solutions for pricing strategies and dynamic markdowns.

4) Prepare for shipping and fulfillment

During the peak season, shipping and fulfillment can become a bottleneck for e-commerce brands. Make sure to have a plan in place to handle the increase in orders and ensure timely delivery to your customers.

Consider a solution to help you optimize inventory distribution in a multi-warehouse network. Enhance proximity to customers, minimizing delivery time and logistics expenses effectively

Consider partnering with multiple shipping carriers to have backup options in case one carrier experiences delays. You can also offer expedited shipping options for customers who are willing to pay for faster delivery.

5) Streamline return management

Effectively managing returns is essential in the e-commerce business, especially as customers demand swift refunds and hassle-free return processes. This challenge intensifies during peak seasons, necessitating practical solutions. Utilizing software that allows sellers to record videos and streamline the SPF (Seller Protection Fund) claims process can significantly increase revenue and recoup losses from failed claims. Automate return procedures and offer convenience with curbside returns, ensuring a seamless experience for customers and retailers alike.

Other things to keep in mind

  1. Optimize your website– Your website serves as your brand’s digital storefront, making peak season optimization essential. Prioritize mobile-friendliness, quick loading, and intuitive navigation. Please do so during high-traffic periods to avoid slow loading, frustrating users, and losing sales. Test and enhance website performance in advance to guarantee a seamless shopping experience during peak season.
  2. Train your customer service team– In the high-demand peak season, a skilled customer service team is paramount. Training on products, policies, and procedures equips them to handle inquiries. Temporary staff can alleviate the workload, ensuring efficient customer support.
  3. Enable seamless cross-channel shopping behavior- Customers often navigate between online and offline channels. Only 10% start product discovery on a brand’s website. Retailers must ensure a seamless cross-channel experience, optimizing mobile apps and offering features like wishlists for in-store shopping assistance. Read more about implementing BORIS, BOPIS, and BOSS in the sales season
  4. Leverage technology– Technology is a game-changer for e-commerce in peak season. Personalize the shopping experience with targeted emails, product suggestions, and custom landing pages. Leverage automation tools for predicting inventory & sales, facilitating omnichannel, tracking progress, and return management.

Real-world examples of peak season preparation

Let’s look at how some successful e-commerce brands have prepared for the peak season in the past.


Amazon’s Prime Day, established in 2015, serves as a paradigm for peak season sales strategy. Held twice a year, this massive online shopping event features exclusive deals for Prime members, driving substantial sales. Amazon, a global e-commerce giant, excels in peak season readiness, commencing preparations as early as a year back. They stockpile inventory and employ temporary staff to manage surging orders. Moreover, Amazon entices customers and enhances sales through special peak season deals, such as the yearly Prime Day sale.

Another example is BFL (Brands for Less) Group, UAE’s leading off-price retailer for fashion and homeware. The brand was finding it challenging to manage busy warehouses and distribution centers efficiently. To discover how BFL overcame peak season challenges with Increff’s cloud-based warehouse management system.

Who is responsible for peak season preparation?

Peak season preparation is a team effort and involves multiple departments within an e-commerce brand, like planning and merchandising, warehouse management, website team, etc. However, the responsibility ultimately falls on the e-commerce manager or director, who oversees the entire process and ensures that all departments are working together to prepare for the peak season.


The holiday season is a crucial time for e-commerce brands to drive sales and revenue. By optimizing your website, planning your promotions, stocking up on inventory, and leveraging technology, you can ensure that your brand is ready for the peak season sale.

Make sure to involve all departments in the preparation process and have a plan in place to handle the increase in orders and customer inquiries. By following these steps, you can set your e-commerce brand up for success during the busiest time of the year.

Remember, the right technology partner can help you achieve your peak season goals and pave the way for long-term success. Book a demo today!

Smart Merchandising

Mastering Demand Forecasting: A Comprehensive 7-Step Roadmap to Maximize Sales

Amazon, the massive online retailer, rakes in significant profits in North America because numerous local stores struggle to accurately predict how much of a product people want to buy. So, when eager customers head to their nearby stores to purchase something they truly desire, they are often met with disappointment as the item is out of stock. Frustrated and impatient, these shoppers turn to the ever-reliable Amazon, which appears to possess a remarkable knack for promptly meeting their demands.

This anecdote underscores a fundamental truth in the retail world: accurate demand forecasting is not just about predicting how many units of a product you’ll sell. It’s a strategic imperative that can determine the fate of businesses. Beyond bolstering sales, effective demand forecasting is a linchpin for managing cash flow and maintaining streamlined operations. If you’re caught with excess inventory or can’t keep up with customer demand, you’re essentially bleeding money.

In this blog, we embark on a journey through a seven-step action plan tailored for retail merchandisers to revolutionize demand forecast accuracy. By implementing these steps, retailers can drive significant sales growth while ensuring financial prudence and operational efficiency. Let’s explore how these strategies can transform your retail business into a well-oiled, demand-forecasting machine.

Step 1: Understanding Your Customers

A solid demand forecasting strategy hinges on a thorough grasp of your customer base. This entails the meticulous collection and analysis of data related to customer preferences, purchasing behaviors, and historical buying trends. To delve deeper into your customer base, it is advisable to establish direct communication channels with them. In the context of B2B operations, supplier portals and data exchanges can prove to be invaluable resources for forecasting customer demand accurately. 

Conversely, in the realm of B2C enterprises, harnessing real-time localized consumer data serves as the cornerstone for crafting a comprehensive demand forecast that can form the basis for a unified demand forecast shared with stakeholders. This multifaceted process involves the implementation of surveys, careful scrutiny of customer feedback, and segmentation of customers based on various factors such as demographics and buying habits, all of which yield invaluable insights.

To gain a comprehensive understanding of your customers, it is advisable to explore questions such as:

  1. Do my customers exhibit seasonal shopping patterns, or do they maintain a consistent buying pattern throughout the year?
  2. What are the preferred sizes and colors among my customers?
  3. Are there particular brands that hold a special appeal to my customer base?
  4. What are the unique preferences of shoppers in my local area?
  5. How swiftly do consumer trends catch on with shoppers in the vicinity of my store?

This in-depth comprehension of your customer base forms the foundation upon which you can tailor your forecasts to precisely match the unique needs and preferences of your customers.

Step 2: Leverage Technology and Automation to Increase Accuracy

In the realm of retail, a notable portion of industry participants continues to rely on antiquated planning systems and labor-intensive methodologies for gauging customer preferences. In times past, these conventional approaches sufficed due to a relatively stable market landscape. However, in today’s dynamic and ever-evolving market environment, the imperative for change is unmistakable.

A noteworthy issue lies in the fact that approximately 15% of inventory inaccuracies can be attributed to software systems that lack interoperability, thereby fostering communication impediments. Moreover, when we disregard the integration of technology, we expose ourselves to data inconsistencies that arise from human errors.

Embracing advanced technologies and automation tools can significantly enhance demand forecast accuracy. Algorithms, artificial intelligence, and predictive analytics can process vast amounts of data quickly and provide more accurate predictions.

For retailers looking to secure a competitive edge, investment in cutting-edge forecasting and adaptable tools, capable of learning from evolving market patterns, is imperative. By doing so, these businesses can not only rectify inventory inaccuracies but also empower their teams to concentrate on more strategic, high-value tasks, thereby ensuring the continued prosperity of their operations.

Step 3: Centralize Your Data for Real-Time Visibility

To improve forecast accuracy, retailers should centralize their data sources and create a single source of truth. A centralized data repository enables real-time visibility into inventory levels, sales data, and other relevant information. This centralized approach allows for quick decision-making and ensures that all stakeholders are working with the same data.

Step 4: Don’t Let Go of Past Data

Historical data represents an invaluable asset in the quest for more accurate demand forecasting. Retailers should maintain a comprehensive historical dataset that includes records of sales, revenue, discount strategies, promotional activities, size-related variations, stockouts, and exposure metrics. This historical data provides a solid foundation for forecasting, as it sheds light on past patterns and trends, which are essential for shaping future forecasts.

Furthermore, a thorough analysis of historical data can uncover valuable insights for optimizing the assortment mix and depth. By examining this data, retailers gain a holistic perspective that helps in fine-tuning inventory strategies. This comprehensive approach also simplifies the identification and rectification of issues, such as size cuts and highly discounted sales within the sales history. All of these factors contribute to a more refined and accurate forecasting process.

Step 5: Bring in In-Depth Algorithm Analysis

In-depth algorithm analysis is crucial for retailers to enhance demand forecasting. This involves ongoing assessment to understand model strengths and weaknesses, ensuring adaptability to shifting market dynamics. Steps include identifying persistent top sellers, conducting granular-level computations with multiple product attributes, and analyzing past data to determine the ideal assortment mix and depth. By focusing on these aspects, retailers can fine-tune their forecasting algorithms, leading to more accurate predictions and improved inventory management.

Step 6: Incorporate Granularity Models

One-size-fits-all forecasting models may not provide the level of accuracy needed in today’s retail landscape. To improve accuracy, consider incorporating granularity into your forecasting models. Granularity here entails crafting distinct forecasts for various product categories, individual store locations, and even delving into the realm of SKU-level forecasts. This meticulous level of detail empowers retailers to make more pinpoint predictions and execute inventory optimization strategies with greater finesse.

This approach is not just about accuracy; it’s also about understanding the intricate nuances of your inventory. It enables retailers to predict true size ratios more effectively, ensuring that stock levels align with customer demands. Additionally, incorporating planned trends and promotions through a granular override system further refines forecasting accuracy. By dissecting and addressing each component of your retail operations with granularity, you’re better equipped to navigate the complexities of the modern retail environment, ultimately driving growth and profitability.

Step 7: Remember External Factors Do Matter

Recognizing that demand forecasting extends beyond historical data, it’s crucial to understand the significant influence of external factors. Economic conditions, weather patterns, seasonality, and market trends all play pivotal roles in shaping consumer behavior. As we touched upon when discussing causal relationships in forecasting demand, the integration of these external factors is paramount.

Let’s emphasize this point for its critical importance: always consider external factors. While you may have a solid grasp of your marketing strategies, promotional schedules, and the predictable holiday selling seasons, the realm of unpredictable and uncontrollable variables remains. These external factors can introduce unforeseen changes and disruptions that must be accounted for within your forecasting models to ensure accuracy.

Over to you

Have you started basic forecasting for your retail business? Implementing these strategies can put retailers’ guesswork to rest and make them better at understanding what their customers will buy, all based on data analysis. It’s like having a predictive tool that helps them stock the right items at the right times. When they do this, it makes everything in their supply chain work more smoothly, like a well-oiled machine.

What’s even more critical is that it ensures customers are more likely to find what they want when they come to the store, which makes them really happy. And as we know, happy customers are more likely to return and buy more, creating a win-win situation for everyone involved!

If this is something you are interested in, we can help you with it. Just get in touch with our experts today. 

Smart Merchandising

Top 5 Merchandising Solutions: Global Leaders in Enabling Accurate and Seamless Inventory Optimization

Have you ever considered the intricacies of managing a fashion brand across both retail and online realms? Juggling numerous stores across cities, gauging distinct identities, predicting demand, and maximizing sales require strategic finesse. Navigating markdowns, stock transfers, and style discontinuations is paramount. The complexity of nationwide operations, warehouses, and logistics renders manual Excel management overwhelming. Here, merchandising software steps in, boosting efficiency and accuracy.

Effective retail merchandising drives sales, enhances experiences, optimizes inventory, and fuels revenue growth. This blog will compare the top five global merchandising solutions (alphabetically): Impact Analysis, Increff, Nextail, O9, and Onebeat. Through this assessment, you’ll gain insights to select the optimal software for your business, streamlining processes and boosting profitability.

Key Capabilities of an Ideal Merchandising Solution 

A smart merchandising solution has several vital features contributing to its effectiveness and efficiency. Some essential features make it ideal:

  • Demand Forecasting: Accurate demand forecasting is crucial for maintaining optimal inventory levels. A robust solution should leverage historical data, market trends, and analytics to generate precise demand forecasts.
  • Inventory Optimization: The solution should enable retailers to manage inventory efficiently by recommending reorder quantities, safety stock levels, and markdown strategies. This prevents overstocking or stockouts and minimizes carrying costs.
  • Assortment Planning: Effective assortment planning involves selecting the right mix of products for each store or channel. The software should help retailers analyze customer preferences, buying patterns, and local market trends to curate the ideal product mix.
  • Pricing Strategy: Implementing dynamic pricing can boost competitiveness and maximize revenue. An effective solution optimizes real-time pricing by considering competitor rates, demand elasticity, and market positioning. It should also align financial goals with annual merchandise and sales plans.
  • In-season Management: Monitoring sales performance during the season allows for timely adjustments. The solution should provide insights into product performance, enabling retailers to make data-driven decisions regarding replenishments, markdowns, or promotions.
  • Collaborative Tools: Merchandising involves multiple stakeholders across the supply chain. A good solution should facilitate collaboration between teams, from buyers and planners to suppliers and distributors.
  • Data Visualization: Clear and intuitive visualizations help merchandisers grasp insights quickly. An ideal software should offer customizable dashboards and reports that present data in an understandable manner.
  • Integration Capabilities: Seamless integration with other retail systems, such as POS and ERP software, ensures smooth data flow and cohesive decision-making

Top 5 Global Merchandising Solutions

1. Impact Analytics

Impact Analytics is a leading retail merchandising solution provider. Its solution focuses on

enhancing the customer experience, helping retailers optimize and tailor product assortments to local market preferences with the help of AI. By leveraging data-driven insights, retailers can make informed decisions about product selection, pricing, and promotions. This leads to increased customer engagement, loyalty, and overall revenue growth.

Key Modules:

Demand Forecasting– Enable precise demand forecasts, covering SKUs across all hierarchy levels throughout their lifecycle.

Assortment Planning– Craft smart retail financial plans and efficient Open-to-Buy budgets with forecast integration. Boost margins and inventory turns. Enhance product attribution for optimal accuracy and ROI.

Pricing and Promotions– Eradicate errors with top-tier retail price optimization software. Utilize AI and ML-driven insights for precise pricing strategies.  

Allocation– Enhance customer-centric assortments by optimizing allocation decisions and space-aware planograms. Elevate execution with AI-driven shelf monitoring.

Business Intelligence– Achieve data-driven insights with intelligent reporting.

Enhance decision-making and improve business performance. 


  • AI-driven assortment optimization for improved sales
  • Dynamic pricing strategies to enhance competitiveness
  • Personalized offerings based on customer behavior analysis
  • Increase customer engagement and loyalty
  • Maximize revenue through strategic pricing and promotions
  • Quick deployments that reap immediate visible results

2. Increff

Increff merchandising software empowers planners, buyers, and merchandisers to make well-informed decisions across inventory management, from purchases to markdowns in both pre-season and in-season periods. With over 100 customizable, patent-pending algorithms tailored to the fashion and lifestyle industry, Increff enables sustainable and profitable growth. It also provides solutions for both omnichannel and smart merchandise planning. 

Increff’s solution covers the entire merchandising spectrum, from planning and buying to allocations. The software analyzes real demand and automates decisions, enhancing sales, profitability, and inventory efficiency while reducing costs and boosting customer satisfaction.

Key Modules:

  • Planning, Buying, Future Inventory Projection & Reordering: Bring in granular data analysis in merchandise planning and buying using advanced algorithms operating multiple levels and planes of calculation. Increff empowers planners to optimize store-level inventory mix, extending to granular design-level attributes of styles
  • Allocation, Replenishment, Interstore Transfer: Optimize assortment mix and distribution based on the store-style ranking algorithm for maximum sales. Ensure accurate inventory placement at the correct time in the correct location and depth, adapting to sales trends.
  • Regional Utilization: Optimize inventory distribution across a multi-warehouse network to increase proximity to customers, reduce delivery time and logistics costs.
  • Markdown Optimization: Improve the sales and margins by automating discounting decisions based on a first principle discounting engine, which can provide suggestions for each style at each store, specifically making it more granular, accurate and scientific.  
  • Merchandise Financial Planning: Enable pre-season and in-season budget planning, aligning with KPIs like Margins, Revenue, and COGS. Achieve data-driven financial goals, optimize inventory, and enhance profitability.
  • Business Intelligence: Empower every role from store manager to CEO with essential Business Intelligence dashboards. Quickly grasp business performance insights and drive better decisions all across brands and retailers.


  • Streamline assortment planning with data-driven recommendations and smart inputs from the software
  • Calculate the True Rate of Sale by automatically correcting for loss of sale due to unavailability and artificial spikes because of discounting
  • Intelligent Store Style ranking to set priority for style allocation. Enhance customer satisfaction by offering the right products at the right time
  • Reduce anomalies like overstocking and understocking
  • Buying/ Allocation for new stores without any historical data available
  • Additional recommendations, including Planogram, Price Bucket, and Style Depth, contribute to streamlined allocation processes
  • Recommends store-level pullbacks using style performance and availability data for inventory optimization, correcting depth and brokenness
  • Fast deployment and easy integration
  • Highly customizable data model created on your data
  • Real-time insights into demand patterns and trends
  • Flexibility for taking Strategic/ Subjective calls for multiple modules
  • Improves inventory turnover and profitability

3. Nextail

Nextail transforms retail merchandising with the help of AI. Predictive analytics offer precise customer demand forecasts, while real-time insights empower retailers to make informed choices regarding allocation, replenishment, and markdowns. This optimization reduces waste, maximizes profits, and enhances overall retail efficiency, showcasing Nextail’s prowess in elevating merchandising to new heights through agile, data-driven approaches.

Key Modules:

  • Assortment Planning: Optimize sales and profit by determining ideal product assortments using AI recommendations, flexible parameters, simulations, and continuous monitoring.
  • Buying and Reordering: Forecast local demand for optimal new product purchases, empowering buyers with data-driven decisions and intuitive expertise.
  • First Allocation and Replenishment: Distribute precise initial SKU units to all points of sale, replenishing sold stock efficiently. Anticipate demand for optimal allocation.
  • Rebalancing or Inter-Store Transfers: Move stock between stores to reduce overstocking and consolidate broken size sets
  • Events and Promotions: Measure elasticities to improve and prepare promotions and recalculate demand baselines after events
  • Business Intelligence: Instead of just reports, Nextail integrates actionable insights into systems for seamless execution.


  • Hyper-local demand anticipation
  • Real-time insights into demand fluctuations
  • Reduce inventory holding costs and waste
  • Improve stock availability and sales performance
  • Enhance profitability through optimal markdown strategies
  • Efficiently manage replenishments/reorders to align with customer demand
  • Responsive to trends
  • Advanced AI-driven insights

4. O9

O9 Solutions offers a comprehensive platform that seamlessly integrates supply chain and merchandising planning. This all-inclusive solution empowers retailers with complete operational visibility, facilitating well-informed decision-making. With the help of AI-driven analytics, O9 forecasts demand, optimizes inventory, and aligns processes, resulting in heightened efficiency and greater customer satisfaction.

Key Modules:

  • Integrated Business Planning: Align decision-making across functions for streamlined operations
  • Demand Forecasting: Demand forecasting and inventory optimization supported by AI. Enhance customer service levels while reducing carrying costs.
  • Assortment Planning: Enhance store efficiency and sales by data-driven assortment planning, inventory allocation, and trend-based strategy implementation.
  • Allocation and Replenishment Planning: Enhance profitability with efficient allocations, distributing merchandise to stores for optimal sales across product lifecycles. Adaptable, multi-tier replenishments.
  • Merchandise Financial Planning: Build and manage customer-centric Merchandise Financial Plans across a global network.
  • Markdown Management: Unified platform for pricing management. Swiftly adapt strategies for market changes, ensuring resilience to evolving demands.


  • End-to-end visibility and collaboration across supply chain processes
  • Accurate demand forecasts for effective inventory management
  • Optimize assortment planning and allocation for improved sales
  • Reduce costs through efficient supply chain decision-making
  • Improve customer satisfaction through better stock availability
  • O9 serves expanding businesses, adapting to evolving needs and scalability

5. Onebeat

Onebeat specializes in merchandising solutions designed to enhance retail performance through AI. Their platform offers demand forecasting, inventory optimization, and replenishment recommendations. Analyzing historical data and real-time market trends, Onebeat’s solution empowers retailers to align their inventory levels with customer demand, thereby reducing excess stock and improving turnover rates.

Key Modules:

  • Demand Forecasting: AI-driven demand prediction ensures precision. Balanced Bottom-Up and Top-Down methods for consumer-centric and strategic planning
  • Assortment Management: Master dynamic category management and raft store-specific assortments from real-time demand.
  • Smart Replenishment and Allocation: Optimize replenishment, prevent overstock, and ensure stock availability by tracking SKU demand. Maintain real-time inventory targets and enhance inventory distribution for peak sales and ROI. 
  • Inter-Store Transfers: Streamline goods movement, accounting for broken sizes, sets, seasonality, and SKU sales variations.
  • Special Events: Monitor product performance per store, aiding seasonal and promotional event preparation. Algorithms optimize slow-mover liquidation and guide future planning.


  • Accurate demand forecasting for improved inventory management
  • Optimize inventory levels for better turnover rates
  • Efficient replenishment strategies to meet customer demand
  • Minimize excess inventory and carrying costs
  • Enhance overall profitability through data-driven decisions
  • Streamline retail processes through AI-driven insights

Final Thoughts

As the industry evolves, merchandising tools prove indispensable, ensuring optimized operations and heightened profitability. Embracing advanced technology empowers retailers to navigate complexity and deliver unparalleled shopping experiences, solidifying success in a dynamic market.

In modern retail, the choice of merchandising software shapes your business journey. Tailor your selection to your unique needs, scale, and goals. As retail’s dynamic landscape demands precision, the featured top five systems offer robust solutions, enhancing merchandise strategies and profitability. Remember, this investment secures your business’s future success.

Smart Merchandising Warehouse Management

How to sell effectively on online marketplaces?

Success in the fast-paced world of diverse marketplaces hinges on selling efficiently. As an e-commerce seller, you face a daunting challenge: standing out in a crowded digital marketplace while streamlining your operations to meet customer demands swiftly. To navigate this intricate landscape, you need the right tools and strategies to optimize your selling process and stay one step ahead of the competition.

Recent statistics demonstrate the undeniable impact of marketplaces in the retail industry. An eMarketer’s Worldwide eCommerce Forecast report indicates that 2023 e-commerce sales will contribute 20.8% of the total retail sales at $6.31 trillion. With millions of potential customers just a click away, it’s clear that embracing marketplaces is essential for businesses seeking exponential growth.

In the words of retail magnate Jeff Bezos, “Obsess over customers: when given a choice  between obsessing over competitors or customers, always obsess over customers.” These words underline the central pillar of successful marketplace selling – prioritizing the needs and expectations of your target audience. 

However, achieving this customer-centricity requires a robust infrastructure seamlessly integrating inventory management, order processing, and fulfillment. By harnessing the power of technology, businesses can supercharge their selling capabilities, enhance operational efficiency, and elevate customer satisfaction to new heights.

This blog will delve into the fundamental strategies and best practices that will empower you to sell efficiently in marketplaces. 

Understanding the online marketplace landscape

E-commerce has transformed the way businesses and customers interact. While earlier, you would go to your favorite shop and restaurant if you wanted to buy some clothes or have food, things have changed now. 

With internet access and countless online platforms, it has become easier to compare multiple options and choose the best. This poses a very fundamental challenge to businesses in offering customer service, product availability, pricing, and more.

But the online landscape also gives businesses a serious advantage. It is the access to a vast customer base, allowing them to tap into a global audience that would otherwise be challenging to reach. 

Moreover, marketplaces provide a tremendous advantage in terms of built-in traffic. With millions of potential buyers browsing marketplace platforms daily, sellers can capitalize on the high visibility and exposure, significantly reducing the need for extensive marketing efforts and customer acquisition strategies. The changing dynamics between customers and businesses mean companies must adapt and change their strategies to sell efficiently on these online platforms.

Strategies for efficient selling in Marketplaces

How to sell effectively on online marketplaces?

The online marketplace landscape is a dynamic and ever-evolving ecosystem that presents many challenges and immense opportunities for sellers. To stay relevant in the market, businesses need to rethink their strategies and stay updated with the latest trends in the e-commerce landscape.

1) Branding

Building a strong brand presence instills trust and credibility among online shoppers. A well-defined and consistent brand image sets you apart from the competition in a marketplace environment where multiple sellers offer similar products. Customers are more likely to choose a brand they recognize and trust, which can lead to increased sales and customer loyalty.

A survey conducted by Salsify in the United States suggests that 43% of consumers are willing to pay extra for the brand they trust. This highlights how important branding is to sell in online marketplaces. As a brand, you must also revamp stories about your classic core products, which you end up reordering from time to time.

Effective branding helps you create a unique identity that resonates with your target audience. A strong brand can also evoke emotions, forge deep connections with customers, and shape their perceptions of your products. 

All in all, branding is a really powerful tool for selling effectively in online marketplaces. By establishing trust, creating a differentiated identity, building emotional connections, and leveraging brand advocacy, you can increase your visibility, attract loyal customers, and drive sales in the competitive marketplace.

2) Inventory optimization 

Optimizing your inventory is crucial for ensuring efficiency in managing online sales in marketplaces. Now there are a lot of aspects to this. Firstly, brands must expose 100% of their inventory on all marketplaces instead of segregating stocks for different sales channels. It will ensure that no matter which platform a customer finds you on, they can access all your stock. This can increase sales by 2 to 3 times.

Brands must also strive to understand style performance. As an online brand always searching to satiate newness in your customers, you might end up buying huge depths in quantities for new styles, which will later end up in landfills. The correct way here will be to launch new designs in small Minimum order quantities/MOQs and check the style performance day to day over a short time. Assessing the Rate of sale (ROS) then and the inventory left in the warehouse, the brand can then take a call on whether to order the style in a large quantity. 

However, the most important aspect of inventory management would be real-time visibility of all your stock, preventing overstocking and stock-outs. It helps track product movement and will allow you to make informed decisions regarding the replenishment or discontinuation of products. A study by Zepra shows that reducing stock-outs and overstocks can lower inventory costs by 10%. 

Real-time inventory visibility also prevents discrepancies, improves operational efficiency, and ensures high order fulfillment . This improves customer satisfaction and loyalty which will benefit your online marketplace ranking in the long run. 

3) Work with data

Data plays a vital role in selling over online marketplaces by providing valuable insights and enabling data-driven decision-making. By analyzing customer data, including demographics, purchase history, preferences, and browsing behavior, sellers can identify trends, patterns, and buyer personas. It can also provide valuable insights into market trends, competitor performance, and customer demand. 

However, with the increase in sales comes the problem of making the in-season decisions of what to put a style on an offer, discontinue it, market aggressively, or re-order it. These decisions are crucial since they directly impact each sales partner’s revenue uplifts and margins.

For this, Increff has built the MS Analytics module to help brands take intelligent actions for each style for every sales partner by recommending data-backed actions at a very granular level. It analyzes the sales KPIs (quantity sold) and the online metrics (page views) data for a particular period and recommends actions like Re-ordering, Marketing, Liquidating & Killing against each style code for every sales partner.

According to Mckinsey Global Institute, data-driven organizations are 23 times more likely to acquire customers, 6 times as likely to retain customers, and 19 times more likely to be profitable! This approach helps businesses make data-backed decisions, optimize product listings, refine marketing strategies, and allocate resources effectively.

4) Store fulfillment 

Store fulfillment can enhance online selling by leveraging physical retail locations to fulfill online orders efficiently. It enables faster delivery to customers because online orders can be fulfilled from stores instead of warehouses which are generally located much farther away. This increases customer satisfaction and improves the overall shopping experience, giving sellers a competitive advantage in the online marketplace.

Fulfilling orders from stores also allows sellers to leverage the inventory available in their retail shops to fulfill online orders. This ensures that customers can access a wider range of products, including those that may be out of stock in centralized warehouses. By tapping into local store inventory, sellers can provide a seamless shopping experience, reducing the risk of lost sales due to stockouts and increasing customer loyalty.

With store fulfillment, businesses can also implement the BOPIS (Buy-online pick in-store) model, which combines the convenience of online shopping with the immediacy of brick-and-mortar stores. Data from FitSmallBusiness suggests that the BOPIS industry is going to grow at 19.7% annually, reaching $703.2 billion by 2027.

It allows customers to browse, buy online, and then pick up their purchases in-store. It is a great way to sell for businesses as it increases the footfall in the stores, leading to more impulse buying.


Marketplaces have revolutionized the retail landscape by providing a platform that connects buyers and sellers on an unprecedented scale. So, it is clear that if businesses want to unlock their full potential, they need to do so by growing online sales. The easiest way to do so is by managing inventory efficiently and fulfilling orders quickly and reliably. 

Brands must also stay on top of offering exceptional customer experience as they can be easily replaced in the e-commerce landscape if they don’t. Customer service expert Shep Hyken says in her Forbes article that 58% of customers are even willing to pay extra for better service.

And ultimately, staying in touch with the latest market trends and incorporating them into the business’s marketplace strategy is paramount for selling online.

Smart Merchandising

How to Increase Retail Sales During Peak Season: 3 Ways a Retail Tech Partner Can Help

The peak season sales is a make-or-break time for every retailer, offering a significant opportunity to boost revenue and increase profits. In fact, over the past decade, the average annual retail sales growth was 3.6%, but since 2019, there has been an incredible 30% growth in retail sales. However, managing the surge in demand and traffic during peak season sales can pose significant challenges. To optimize operations during this critical period, relying on gut feeling alone can be risky for businesses, as it is subjective. This is where technology comes in.

Without the right technology in place during peak season sales, businesses risk encountering significant obstacles such as stock shortages, slow checkout lines, and suboptimal customer experiences. These challenges can lead to lost sales and revenue, as customers may choose competitors who can handle the increased demand better. Additionally, retailers may be forced to offer heavy discounts to move excess inventory post-season, reducing their profits.

By investing in the right technology solutions, retailers can equip themselves to handle the surge in demand during peak season and avoid costly mistakes. Furthermore, technology partners can provide valuable insights into customer behavior and preferences, enabling retailers to tailor their offerings for maximum impact and increase retail sales.

In this article, we will explore how the right peak-season technology partner helps you optimize your operations during peak-season sales, from inventory management to order fulfillment and more.

How to maximize sales in retail with help of a retail tech partner

Here are a few reasons why the time to shop for a peak-season partner is now.

Get Ahead of the Game

NRF forecasts that retail sales during 2023 will grow between 4% and 6% over 2022. The sales holiday shopping season is always busy, and this year is expected to be no different. In fact, with more people used to the concept of online shopping due to the pandemic, it’s likely to be even busier than usual. By starting your search for a retail solution partner now, you can get ahead of the game and avoid the rush. This will give you time to evaluate different options and find the partner that best meets your needs. Retailers are expecting inflation which will have an immense effect on both retailers and consumers. People will not buy as they usually do, and retailers will see a dip in profits. A retail solution partner will help you navigate through the tough time by reducing manpower, optimizing storage, inventory transparency, and more. 

Read more about peak seasons here.

Meeting Needs is Made Easy

The global e-commerce market is expected to total $6.3 trillion in 2023. Ensuring that the right products are in stock at the right time is crucial to meeting customer demand and maximizing sales revenue. Allocate your products wisely. Plan which products should go to which store based on consumer data like affinity, men-to-women shopper ratio, etc. The life of merchandisers will get easier if they know which stores require what items. By choosing a partner now, you can analyze historical sales data, forecast future demand, and establish appropriate inventory policies and procedures – which are important to meet the needs of the shoppers.

Ensure Smooth Operations

You do not want to deliver late orders and lose customers. Inventory management, processing orders, ensuring on-time delivery – a good partner can help ensure that everything runs smoothly. Optimize warehouse operations to handle huge order surges during the peak season and avoid hiring an extra workforce to handle such surges by means of a peak season partner. Order routing and splitting can ease the burden on your warehouses, leading to faster order fulfillment. You can also get stores into the picture for faster fulfillment of orders via the store fulfillment model. By choosing a retail solution partner now, you’ll have time to integrate their services into your operations and ensure everything works properly before the busy season starts.

To learn more about it, read here.

In conclusion, maximizing peak season sales is critical for retailers to achieve sustainable growth and profits. With the rapid increase in retail sales, it’s more important than ever to leverage technology to optimize operations during this critical period. Based on the mistakes made in the last season, dilute the inventory by sales like End of Season Sale. Use the Dynamic Markdown technology to find the right percentage of discount to be given on each product.  By partnering with the right technology solution provider, retailers can equip themselves with the necessary tools and insights to meet customer demand, manage inventory effectively, and provide a seamless customer experience. As the sales holiday shopping season approaches, it’s essential to act fast and secure a reliable technology partner to avoid costly mistakes and lost sales. 

The time to act is now, so don’t hesitate to start your search and get ahead of the game. 

Remember, the right technology partner can help you achieve your peak season goals and pave the way for long-term success. Book a demo today!

Smart Merchandising

How to transform your Fashion Merchandising Strategy for maximum Customer Satisfaction?

Keeping up with changes in customer behavior is vital for retailers seeking to thrive in a competitive market. A pivotal factor in achieving success lies in transforming your fashion merchandising approach to prioritize customer satisfaction. 

Did you know that an impressive 86% of consumers are willing to pay more for an enhanced shopping experience? Furthermore, customers are willing to pay a premium of up to 13% (and even as high as 18%) for luxury and indulgence services, solely driven by exceptional customer experiences. Additionally, hyper-customization significantly impacts spontaneous purchases, as 49% of buyers have made impulse buys after receiving a more personalized experience. 

Join us as we unveil actionable strategies to elevate your merchandising game and surpass customer expectations.

The Experience Evolution – Shifting the Narrative Post-Covid

“The future of retail will be built on one-to-one commerce, where retailers build relationships with individual customers and treat them as individuals, not just as numbers.”- The Return of One-to-One Commerce”, The Economist

Over the last two decades, there has been a significant shift towards personalized customer experiences. This trend has only intensified in the post-COVID era as retailers recognize the growing importance of catering to individual preferences and needs.

Leveraging technology and data analytics, retailers can now provide tailored offerings based on individual preferences, including customized product recommendations, personalized pricing, and tailored promotions. Considering this, the importance of building one-to-one relationships with customers and delivering personalized experiences to drive loyalty and business growth is emphasized. 

While the rise of e-commerce initially shifted focus away from personalized interactions, the pandemic has prompted a re-evaluation, with retailers realizing its value. By embracing data-driven personalization and meeting customer demands for individualized experiences, retailers can position themselves for success in the ever-evolving retail merchandising landscape.

Evolution of Fashion Merchandising

In 1883, the introduction of the Cash Register revolutionized business operations, enabling automated recording of transactions and inventory. Prior to this, businesses relied on manual record-keeping. In the 50s, shopping malls emerged, offering convenience and a variety of activities. 

In the next decade, big box stores like Walmart provided larger, self-service versions of department stores. In 2010, Warby Parker transformed online shopping by offering customers the option to try on products virtually. E-commerce then became the preferred method of buying, offering research opportunities and dependence on social media influencers in today’s world. The relatively nascent metaverse, a virtual-reality space, allows users to work, play, shop, and socialize. 

It is evident that transitioning towards customer-centric merchandising is becoming more and more necessary – but what does this entail in practical terms? To understand this, we must first define merchandising and its multifaceted tasks that vary across companies. Merchants serve as strategic drivers and collaborators throughout the product life cycle, from design and planning to assortment management, encompassing decisions related to product, store, and sales decisions. 

The methods for making these decisions have evolved, with limited data and tools. Today, technology enables the connection of multiple data sources and automates previously manual processes, facilitating a shift from a product-centric to a customer-centric merchandising approach. Merchandising involves planning, selecting, distributing, and measuring the success of products delivered to consumers. 

It entails category strategy, providing value, and maximizing performance through cross-functional collaboration. Successful navigation of this workflow and addressing industry shifts leading to more consumer-centric assortments and improved financial outcomes. 

End-to-end merchandising process

Essential Factors for Achieving Customer-Centricity

Embarking on the most significant merchandising transformation in decades can feel overwhelming. With numerous avenues to explore, knowing where to begin becomes crucial. To help you navigate this transformative journey, we have distilled the process into five essential steps. These steps will serve as a solid foundation for your merchandising revamp, ensuring a successful start to your journey toward customer-centric excellence.

Gain Insights into Your Most Profitable Customer Segments

To effectively consider your customers during the fashion merchandising process, shifting from a product-centric mindset to a customer-centric approach is essential. Avoid relying on the “average” customer concept and recognize that not all customers are created equal. 

Analyzing customer purchase history, calculating customer lifetime value (CLV), segmenting customers based on profitability, conducting surveys or interviews, utilizing data analytics and CRM tools, and monitoring profitability metrics can help identify and prioritize your most profitable customers. Tailoring your strategies to cater to these valuable customers will maximize your business’s success.

Nike doesn’t just sell products. It tells customers what they want. Nike serves as an exemplary fashion brand that successfully shifted to a customer-centric approach. They gained insights into customer preferences and needs through data analytics and market research. By leveraging digital technologies like the NikePlus loyalty program and the Nike Training Club app, they personalized experiences, providing tailored recommendations, exclusive content, and customized products. Placing the customer at the core of its strategy allowed Nike to build stronger relationships, leading to increased loyalty, higher sales, and substantial market growth. 

Develop an Insight-driven Product Range to Attract and Retain High-Value Customers

Once you have a clear understanding of your value-based segments, you can create assortments that not only attract them but also foster customer loyalty. You can uncover patterns and preferences that resonate with high-value customers by analyzing customer data, including purchase history and feedback. 

Collaborating with merchandisers and designers is essential to translating these customer insights into actionable product concepts. You can refine and improve your product range to meet their expectations through iterative testing and gathering feedback from high-value customers.

Read more about the enduring merchandising strategies for the fashion-forward that will withstand the test of time here.

Optimize Buy Quantities with a Data-driven Approach

Informed buying decisions are crucial for retailers, encompassing product selection and quantity. Leveraging data analytics, retailers can analyze customer buying behavior and preferences to identify potential bestsellers and address underperforming products, optimizing their assortment mix and reducing excess stock. 

Comprehensive computations considering key attributes enable optimal decision-making. Data also helps identify top-sellers and Never-out-of-stock items (NOOS), facilitating effective assortment adjustments and capitalizing on emerging trends. Quantifying purchase quantities should be guided by customer-level repeat purchasing behavior, ensuring the right products are available for the right customers to maximize full-price sell-through.

Hirawats, a fashion retailer, achieved a 36% revenue growth and addressed challenges by leveraging our Merchandising Software. Increff software improved forecasting accuracy, identified slow-moving products, and enabled efficient core category reordering, leading to benefits like increased sales accuracy, improved inventory turn, and reduced sales opportunity loss.

Read more about Hirawats success story here.

Tailor Promotions to Customer Preferences and Buying Behaviour

Understanding the customer-driven profitability of your business provides a fresh perspective on your promotion strategy. By leveraging digital data, you can analyze if low sales stem from low product views or poor conversion rates. This information helps optimize promotion spending and determine when to use broad promotions (e.g., 50% off all shirts) or tailored customer-focused promotions (e.g., 50% off size XL and S shirts in store A based on the DNA of that Store). 

It’s also essential to consider competitor promotions. However, connecting and analyzing the available data can be challenging. Utilizing a merchandising experience platform simplifies data analysis, freeing up time to focus on decision-making. Implement dynamic pricing strategies, offer targeted discounts based on buying behavior, maintain promotion consistency across channels, and deliver personalized offers through relevant channels for each customer segment.

Discover how our merchandising software helped a luxury designer retailer overcome the challenge of dynamic discounting here.

Align Product Exposure Logic with Customer and Profit Considerations

Physical retailers have long-established practices for managing in-store inventory and layout changes due to the cost of change. In the digital realm, algorithms drive product exposure through marketing channels and on-site merchandising platforms. However, these algorithms often have separate objectives and are controlled by different teams. 

To optimize merchandising decisions, it’s crucial for merchants to have control over boosting or burying products dynamically based on inventory and personalized customer attributes. Many existing merchandising systems focus on click-through rates, while product feed engines prioritize advertising returns. 

Online shopping continues to grow, and brands need data-driven insights to make informed decisions on inventory distribution, marketing, liquidation, and style rankings based on revenue per page view and conversion rates. Read more on how to embrace an omnichannel approach to product exposure and delve into the era of phygital operations here.

Applying a customer lens to merchandising decisions

Transitioning to customer-centricity is a gradual process, but acting promptly is crucial. Assess your organization’s position, apply a customer-focused perspective, and prioritize profitability. Start moving in the right direction to cultivate a customer-centric culture supported by effective tools and systems. Here are the essential elements for bringing everything together.

  • Conduct regular market analysis to compare your assortment and pricing structure with key competitors in the customer’s shopping landscape.
  • Gain visibility into competitors’ assortments and pricing strategies globally while also understanding regional nuances in each market you operate in.
  • Customize your assortment and pricing strategies to cater to the customers’ preferences in different regions and channels.
  • Identify your most profitable customers and prioritize their preferences when planning your assortment.
  • Determine purchase quantities based on customer-level repeat purchasing patterns.
  • Personalize promotions based on customer profitability rather than focusing solely on the product.
  • Evaluate the effectiveness of product exposure based on profitability, inventory status, and customer attributes.
  • Analyze inventory levels, page views, and final conversions to assess performance.
  • Shift the focus from analyzing return rates at a product level to a customer-level analysis.
  • Regularly evaluate and optimize the inventory, considering the profitability, customer engagement, and conversion rates.

We acknowledge your competence as a merchandiser, and it’s evident that your current merchandising process is well on its way to becoming customer-centric. We commend your progress so far but remember that you don’t have to navigate this journey alone. The next step for you is to infuse customer-centric thinking throughout the entire product journey.

At Increff, we specialize in assisting retailers and brands like yours in making data-informed decisions. Schedule a call with our experts today to discover how we can support you in achieving true dynamic merchandising.

Smart Merchandising

What are the new-age eyewear merchandising challenges and how to overcome them

Just as a pair of glasses can help you see more clearly, the proper lens on the merchandising landscape can bring clarity to the retail industry’s merchandising challenges. One significant game-changer in the eyewear sector is Warby Parker, which has revolutionized the way people buy glasses. 

By offering the convenience of ordering from home and trying up to five lenses at home, they have provided customers with the freedom to explore different options. Additionally, their innovative approach allows shoppers to seek a second opinion on their eyewear choices, addressing a common need. 

On the same scale of innovation, Lenskart has a 3D trial option to make shopping more convenient. They are the experts in providing seamless omnichannel, pioneers in the online retail world, and aceing manufacturing their own products. Indian eyewear market revenue is predicted to reach $5.58 billion by 2023. The market is expected to grow by 8.19% annually between 2023 and 2027, representing a compounded annual growth rate (CAGR). However, the optical industry still faces hurdles in effectively managing inventory and distribution processes.

What are the common merchandising challenges faced by the eyewear industry?

The retail eyewear industry, a hub of innovation and style, currently finds itself squinting at a daunting array of challenges. In the branded optical industry, the primary roadblock is grabbing the market share in India since the majority of the market is owned by unorganized eyewear vendors. There is extreme lead time due to the lack of manufacturers in India. Some of the other eyewear merchandising challenges are:

  1. Replenishing JIT styles: Replenishing Just In Time (JIT) styles in the retail optical industry is problematic mainly because of inventory management challenges and a lack of diverse geographic distribution networks. These factors make it difficult to align production and demand accurately. Hence, brands struggle to merchandise i.e., maintain a wide variety of styles and ensure timely replenishment, making it challenging to implement the JIT model in the eyewear industry.
  2. Replenishment of pack sizes: Ordering the wrong pack sizes can lead to excess inventory of certain styles and inadequate stock of others. Additionally, eyewear retailers often have limited shelf space and need to optimize their inventory levels to maximize display options. 
    Ordering pack sizes that are too large can result in overcrowded displays and hinder customer browsing. On the other hand, ordering pack sizes that are too small may lead to frequent stockouts and missed sales opportunities. Balancing replenishment with demand, available shelf space, and customer preferences is crucial for effective inventory management in the retail eyewear industry.
  1. Replenishment with dynamic minimum base quantity (MBQ): MBQ represents the minimum amount of inventory that needs to be maintained to ensure availability for customers. Setting the MBQ too high leads to excess inventory of specific styles, tying up capital and storage space. On the other hand, if the minimum base quantity is set too low, it can result in frequent stockouts, disappointing customers, and potentially losing sales. 
    Striking the right balance requires accurate demand forecasting, understanding customer preferences, and closely monitoring inventory levels. MBQ is also vital to ensure the correct mix of products is available on the shop floor.
  1. Challenges of style depth: With a mix of Over the counter and Just In Time models at the same stores, the precision of depth of a style at store becomes important; this often demands a close look at the demand each day and a proven forecasting model individual to each brand. Without automating the size sets and maximum stock coverage to be set for each store style, sales opportunity loss is inevitable.
  2. Ensuring 100% core product availability in stores: Maintaining a comprehensive inventory of core products is an essential part of merchandising. It typically includes popular frame styles and essential lens options and requires significant space and financial investment. Limited shelf space may restrict the ability to stock all core products simultaneously, leading to potential stockouts and disappointed customers.
  3. Identifying the most suitable replacement: Identifying and filling store gaps, as well as stockouts of specific styles at both stores and warehouses, is crucial. This involves selecting the most appropriate and unique styles that complement the existing assortment and meet customer demand. To achieve this effectively, a data-driven approach is necessary for determining the optimal size sets and maximum stock coverage. Considering the dynamic nature of the minimum base quantity (MBQ) and the inconsistent demand patterns at stores becomes essential.
  4. Improper identification of NOOS, top sellers, and bottom sellers: Failure to accurately identify these items can result in frequent stockouts, leading to dissatisfied customers, lost sales opportunities, and imbalanced inventory management. Inaccurate reordering decisions led by wrong identification of NOOS, leading to overstocking or understocking certain styles, can result in increased carrying costs, tied-up capital, and missed sales. 
    Additionally, inaccurate reporting and data analysis hinders the ability to make informed business decisions, impacting forecasting accuracy, inventory optimization, and overall operational efficiency. Proper identification, precise reordering, and reliable reporting are critical for maintaining optimal inventory levels, meeting customer demands, and maximizing profitability in the retail eyewear industry.
  1. Pullbacks: During stock pullbacks, it is crucial to maintain a minimum percentage (e.g., 80%) of the minimum base quantity (MBQ) to ensure the store remains operational and functional. By retaining this minimum threshold of the store capacity, sufficient inventory is available to meet customer demands and provide a satisfactory shopping experience. Striking a balance between clearing out slow-moving stock and preserving a core level of inventory ensures both efficiency and customer satisfaction in the retail environment.
  2. Warehouse reservations: Maintaining a reserve of stock at the warehouse for new and fast-moving styles is crucial for brands to meet the continuous demand. Not planning a warehouse reservation can lead to a large presence of the product at all stores, followed by a sudden depletion. This might cause customers to encounter out-of-stock items, undermining their trust in the brand’s ability to meet their needs consistently. 
    Additionally, the absence of reservation systems can lead to inventory imbalances for their online sales and certain channels or customers consistently facing limited availability of fast-moving products. This can create a negative perception of the brand, indicating a lack of organizational efficiency and customer-centricity.
  1. Reordering: Reordering in the retail optical industry takes into account several factors, including larger lead times, expansion, and online inventory. With a larger lead time, retailers need to anticipate future demand and adjust their reordering strategies accordingly to ensure a continuous supply. 
    Expanding businesses require careful assessment of inventory needs and potential adjustments in reordering quantities to support the growing business. Moreover, the rise of online sales necessitates maintaining an adequate online inventory to fulfill customer orders promptly.
Let us now take a look at some of our clients and how they won over their problems.

When you’re a company as expansive as Lenskart, handling a huge number of stores isn’t just a walk in the park. Not only are their stores vast in number, but their replenishment needs are daily and dynamic, adjusting for new style upgrades, customer demand, and even unique JIT styles. They face challenges in automating their processes, handling MBQ, ensuring the presence of core products in all stores, and efficiently managing stock.

By introducing algorithm-based solutions from Increff, Lenskart has managed to make sure their stores always have the right stock, at the right time, in the right place. Additionally, the Merchandising Software has ensured a minimum of 80% fill rate during pullbacks and allowed efficient international warehouse replenishment. As a cherry on top, we even delivered ready-to-present dashboards for internal presentations!

And what was the impact? A whopping 12% increment in Like-to-Like revenue in 2021-2022, lesser stock at the warehouse through faster reordering processes, smarter data analysis, and Lenskart becoming the most frequent user of Merchandising Software Business Intelligence.

Similarly, CFS Vision grappled with reordering and distribution challenges. Manual errors, time-consuming processes, and improper identification of top and bottom sellers were among the main issues, but with Merchandising Software, the solution was as clear as a 20/20 vision.

Specsmakers, too, were facing distribution challenges: analyzing demand, allocating products correctly, and avoiding manual errors were significant headaches. But, with the Merchandising Software magic wand, these challenges were obliterated. Our smart merchandising offered fast and accurate allocation as per demand, ensuring that the inventory was in the right place, quantity, and depth.

The future of the eyewear industry

Algorithm-based data-driven solutions, end-to-end advanced automation, and granular data analytics are just a few of the cutting-edge technologies shaping innovation in the optical industry. As technology evolves, eyewear businesses that adapt and innovate will stay ahead of the game.

No crystal ball is needed to see that the future of the eyewear industry is bright. With Merchandising Software, companies like Lenskart, CFS Vision, and Specsmakers are overcoming their present challenges and preparing themselves for future obstacles. 

In essence, these solutions are a bit like a new pair of smart lenses for the optical industry – offering a clearer view, correcting errors, and, most importantly, helping them see the road ahead. With such advancements, it’s evident that the eyewear industry is not just looking but moving forward into the future.

Smart Merchandising

5 things you need to know before setting up a phygital store

In today’s world, customers are increasingly looking for a seamless shopping experience across physical and digital channels. More flexibility leads to a better customer experience, higher sales, and increased brand loyalty; hence merging is essential. The touch and feel of physical shopping are amalgamated with the ease and habit of online shopping to provide instant gratification to shoppers. 

Brands like Amazon, 6th Street, and Rebecca Minkoff are proving to be trendsetters in this domain and have launched their phygital store across the world. Retailers who are not able to provide this experience may find themselves struggling to keep up with the competition. Retailers need valuable data insights on customer behavior, sales trends, inventory levels, and more. This will help them make better business decisions and optimize their operations for maximum efficiency and profitability. 

For example, by analyzing sales data, retailers can identify which products are selling well and which are not, allowing them to adjust their inventory levels and marketing strategies accordingly.

Let us first take a look at how phygital works.

Jane wanted to buy a leather jacket and went to a phygital store. She ordered the products she wanted to try using the touch screens in the store or the company app on her mobile device. She can touch and feel the jacket on the racks. Next, she sees if a fitting room is available and when to try the products. If Jane does not like the fit, she can order a different size of the same product. If not available in store, she can try out the size in a similar leather jacket and place an online order for her desired jacket in the correct size. There are micro fulfillment centers behind each store, with inventory selected based on that region’s style preference and size curve. This micro fulfillment center acts as a back store for not only the retail customers but also the online orders from that region. This is one of the many ways phygital will transform the shopping experience. 

Prerequisites for a phygital store

Plan your assortment effectively

The assortment is the biggest asset for any e-commerce retailer. They must plan their assortment effectively. By taking into account factors such as customer demographics, seasonal trends, market trends, and regional preferences, retailers can ensure that the right products are available in the right locations. Thus, reducing the risk of excess inventory and improving customer satisfaction. 

Group products into categories based on factors such as price, style, color, and size. This will make it easier for customers to navigate your store or website and find what they are looking for. Increff Merchandising Software helps you unify your assortment that will help you build a phygital store.

Understand the regional demand

Many brands that were operational in the Covid times as online sellers are now planning to open their physical stores since it gives them product clarity as they can touch and see the product. They have the advantage of customer pincode level demand patterns in their past years of operations.

Merchandising solutions like Increff Merchandising Software can help brands to analyze this data and mirror this online regional demand to plan inventory for the physical store. Merchandising Software can also help understand which is the best region to open a store based on data. This store can again work as a micro fulfillment center and serve both offline and online orders for which the inventory can be planned on Merchandising Software.

Avoid stockouts and overstocking

Phygital is a new concept. In order to increase sales, you may end up overstocking, but that should not be the case. By understanding data across retail sales channels brands should plan their inventory. This solves overbuying and underbuying. 

This is resolved by Merchandising software solution of Increff. You need a solution that provides real-time inventory management across all physical and online stores. This means that retailers can avoid stockouts and overstocking, which can lead to lost sales and wasted inventory. With a real-time view of inventory levels, retailers can fulfill orders faster and more accurately, improving customer satisfaction and increasing sales. These features are covered by Increff’s WMS solution.

Fulfill orders faster

Conventionally, stores were just transactional avenues, by turning stores into fulfillment centers and enabling buy-online-ship-from-store capabilities, orders can be fulfilled faster. The OMS solution can be incredibly valuable when it comes to order fulfillment. Stores will be able to manage returns effectively by means of Increff Store Fulfillment System. Increff SFS helps fulfill orders and manage returns. Just like buy online pickup in store, stores can fulfill orders placed online. This will fulfill the order in a shorter time frame.

Provide an omnichannel experience

Experiences matter to customers irrespective of the mode of shopping – online or offline. Instant gratification, convenience, and flexibility are the determining factors. By understanding the customer needs and offering what is needed through the customer’s preferred sales channel, you will be able to deliver omnichannel experiences better. Increff’s Omni solution can help retailers create a seamless shopping experience across all channels, including in-store, online, and mobile.

Retailers can leverage Increff’s solutions to create a unified shopping experience that suits the needs of modern consumers. By providing real-time inventory management, dynamic discounting, valuable data insights, and optimizing order fulfillment. Increff’s solutions can help retailers improve efficiency, increase sales, and build customer loyalty. As the retail industry continues to evolve, retailers who embrace phygital retail and implement solutions like Increff’s will be best positioned for success in the future.

Embracing the phygital revolution is no longer a choice but a necessity. Customers crave a seamless blend of physical and digital experiences, and retailers must rise to the challenge. From effective assortment planning to understanding regional demand, avoiding stockouts and overstocking, fulfilling orders faster, and providing an omnichannel experience, retailers can unlock the potential of phygital stores. 

With Increff’s innovative solutions by their side, retailers can optimize inventory management, streamline order fulfillment, and gain valuable insights to stay ahead in the ever-evolving retail landscape. So, hop on the phygital bandwagon, and get ready to revolutionize the way customers shop while enjoying the sweet taste of success.

Request demo for MS and Omni now!

Smart Merchandising

Erasing Merchandising Errors: The Power of Data-Driven Decisions

In the world of retail, a single merchandising decision can influence the trajectory of a season, the success of a product, and even the overall growth of a business. However, these crucial decisions can be fraught with inaccuracies and bias if not properly informed. This is where the power of data comes into play, acting as the lantern in the dark maze of merchandise decision-making.

The Old vs. The New: The Shift to Data-Driven Merchandising

Traditionally, merchandising decisions have often relied heavily on human intuition and experience. While these elements certainly have their place, they can also lead to inconsistencies and inaccuracies, which can impact overall business performance. The data-driven approach, on the other hand, eliminates much of the guesswork and subjectivity involved, enabling retailers to make more accurate, effective, and efficient decisions. Let’s explore how the mighty force of data can be harnessed to dispel errors and inefficiencies across the spectrum of merchandising operations. 

Planning: The Blueprint of Success

Merchandise planning sets the stage for a successful retail operation. It’s about accurately predicting what products will sell, when, and in what quantities. With a data-driven approach, businesses can delve into historical sales data, current market trends, and customer behavior to create precise, effective merchandise plans. Data-driven approach can further fine-tune these plans, minimizing the risk of over or under-stocking. It also enables merchandisers and planners to optimize inventory mix at stores level, with the computational power to go up to a granularity of design-level attributes of styles.

Buying: The Art of Selection

Making informed choices in buying is essential, involving not only what to buy but also how much. Retailers can utilize data analytics to examine customer buying patterns, preferences, and trends. This data-driven approach identifies potential bestsellers and underperforming products, enhancing assortment mix and reducing excess stock. 

To ensure optimal decision-making, retailers should perform comprehensive computations considering key attributes. Additionally, data helps identify both top-selling products and Never-out-of-stock items (NOOS) to adjust assortment mix effectively and capitalize on emerging trends.

Allocation: Every Store’s Perfect Match

Allocating merchandise across various stores is a complex task, especially for retailers with a vast network. Each store serves a different demographic, and understanding these nuances is critical. Data analytics can provide insights into regional sales patterns, individual store performance, and customer preferences, helping retailers to distribute the right products to the right stores, eliminating wastage and maximizing sales.

Replenishment: Never Missing a Beat

In the retail world, an empty shelf is a missed opportunity. Predictive analytics and real-time data can ensure that these opportunities are never missed. By monitoring sales data and inventory levels, a data-driven system can trigger timely replenishments, ensuring that key sizes are not missing and keeping customers satisfied. Further, data helps identify slow-moving inventory, allowing for pullbacks to the warehouse and replacement with more promising items. 

Additionally, allows retailers to curate collections of styles that are best displayed together and dispatch them to the appropriate stores. By maintaining different replenishment quantities based on style performance, retailers ensure efficient inventory management.

Inter-Store Transfers: A Balancing Act

At the end of season, Inter-store transfers are often necessary to balance inventory and meet local demand. Here, too, data plays a vital role. It can help identify which stores have excess stock of non-performers and which ones are running low on top sellers and key sizes, facilitating smart, efficient transfers that optimize inventory across the network.

Markdowns and Discounting: The Science of Sale

Markdowns and discounting are necessary evils in retail. However, they need to be strategic to protect profit margins. Data analytics can help identify the optimal timing and degree of markdowns based on product performance, inventory levels, and sales velocity. Moreover, personalized discounting strategies can be developed using customer data, ensuring that promotions resonate with shoppers and drive sales without significantly eroding profits.

Concluding Thoughts: Embrace the Power of Data

In an era of increasing competition and ever-changing consumer preferences, accurate merchandising decisions are more critical than ever. A data-driven approach provides the accuracy, agility, and insight required to navigate the complex landscape of modern retail.

By leveraging data, retailers can eliminate inaccuracies, bias, and guesswork from their merchandising decisions, resulting in optimized inventories, improved customer satisfaction, and healthier bottom lines. The future of retail is here, and it’s powered by data. Embrace the change and let data light your path to retail success.

How Increff helps?

Increff’s algorithmic-driven merchandising software redefines the paradigm of end-to-end merchandising processes. It equips planners, buyers, and merchandisers with insights to make informed decisions regarding inventory purchase, timing, quantity, placement, and markdowns during both pre-season and in-season periods. Uniquely tailored for fashion and lifestyle businesses, it features 100+ customizable, patent-pending algorithms which empower businesses to grow sustainably and profitably.

The software’s accuracy and efficiency lead to substantial improvements in various operational metrics. 

  • Drastically cuts down 70% of man-hours spent in number crunching
  • Allows decisions to be made 4X faster. 
  • Strategic inventory management results in a 1.5X increase in inventory turns and a 20% reduction in inventory holding. 
  • Helps businesses increase their full-price sell-through by 15%, enhancing the bottom line and margins by 4-5%.
  • Optimizes supply chain processes, saving up to 10% in logistics cost. 

Increff’s Merchandising Software is, therefore, a game-changer for the industry, driving both operational efficiency and profitability. Click here to learn more about Increff Merchandising Software.

Smart Merchandising

Timeless best merchandising practices for the fashion-forward

Good merchandising is like a classic wardrobe staple: always in fashion.

Picture this: You walk into a store and immediately feel captivated by the displays, the colors, and the overall aesthetic. You find yourself instinctively drawn towards certain products, feeling as though they were made just for you. This is the magic of merchandising – a carefully crafted experience that delights customers and leaves them coming back for more.

In a world where fashion trends change faster than the seasons, one thing remains constant – the power of great fashion merchandising. It’s the backbone of successful retailers and the secret weapon that keeps them ahead of the curve. But it’s not just about creating a visually stunning display; it’s about anticipating customer needs and delivering an experience that resonates with them on a personal level.

According to a recent study by San Diego State University, failing to get merchandising right could result in a 50% brand switch rate. That’s why a meticulous and thoughtful approach to merchandising is essential. From the placement of products to the use of lighting and colors, every element plays a crucial role in creating a memorable experience for customers.

As mentioned, merchandising is more than just displaying products on a shelf or rack. It’s a complex and nuanced process that requires a deep understanding of consumer behavior, market trends, and retail best practices. It’s about creating an immersive shopping experience that delights and inspires customers while also driving sales and building brand loyalty.

But exactly what is merchandising? At its core, merchandising is both an art and a science. It requires a keen eye for aesthetics, an understanding of product placement, and a flair for creative presentation. But it also demands a data-driven approach, with retailers analyzing sales data, monitoring inventory levels, and adjusting pricing and promotion strategies to optimize revenue. Merchandising also encompasses strategies for managing inventory levels and stock rotation to ensure that products are always available and fresh.

To stay ahead of the curve and stand out from the competition, it’s crucial to keep up with the latest shifts in the retail industry and implement the best merchandising strategies and practices. In this guide, we’ll explore the world of merchandising, from the fundamentals to the latest trends and techniques. We’ll dive into topics such as assortment planning, buying, and allocating, as well as inventory management and more. By the end of this journey, you’ll gain valuable insights that will help you create a memorable shopping experience for your customers and drive revenue for your business. Let’s dive in!

The winds of change in merchandising are picking up speed

Current Scenario

  • With inflation rates skyrocketing to levels not seen in decades and consumer confidence taking a hit, managing the fashion industry has become increasingly pricey. The industry is feeling the pinch, and brands are under more pressure than ever to maintain margins and stay profitable in the face of these challenges.
  • The accessibility and sharing of product information and trends have caused a significant shift in consumer preferences and behaviors. Consequently, consumers are frequently exposed to fresh ideas and products. As a result, a trend has emerged in which the lifespan of fashion products has notably decreased, causing brands to prioritize newness and innovation.
  • Data and insights have become a necessity for brands. They rely on data to comprehend their customers’ preferences, behaviors, and purchasing patterns. Historical data analysis of sales, inventory, and customer feedback data allows brands to develop a more accurate demand forecast, identify emerging trends, and optimize product assortments. Moreover, data-driven insights enable brands to optimize pricing, promotions, and markdowns, ultimately leading to improved margins and profitability. 
  • Consumers are increasingly conscious of how brands impact the environment and society. Across the globe, 60% of consumers consider sustainability an essential factor when making purchases. Over the past five years, 85% of individuals have modified their buying behavior to be more sustainable, indicating a willingness to change consumption habits and reduce environmental impact. 

As a result, brands are under pressure to adopt eco-friendly and sustainable practices, including waste reduction and building a sustainable and responsible supply chain. One in three consumers is willing to pay extra for sustainable products. So, companies must prepare for sustainability to become the norm rather than the exception, making sustainability a ‘climbing agenda.’  (Source: The Global Sustainability Study 2021 survey)

Taking action with the best merchandising practices

Let the data do the talking…

The era where brands relied on intuition and spreadsheets to plan, purchase, and distribute their products is a thing of the past. In today’s data-rich world, retailers can access vast amounts of data to help them make more informed decisions. 

By analyzing data, brands make more informed decisions and meet the 5 R’s (… the five rights) of retail product merchandising defined by Paul Mazur:

Let’s take a closer look at how a data-driven approach helps in each step of merchandising process.

Granular data analysis in merchandise planning and buying

What is Merchandise Planning and Buying?
Merchandise planning involves analyzing sales data, market trends, and customer insights to develop a plan that identifies product categories, assortments, and price points. It helps retailers optimize inventory levels, reduce stockouts and overstock, and increase turnover rates. 

Merchandise buying executes the plan by selecting and purchasing the right products from suppliers, negotiating pricing and delivery terms, and managing inventory levels to minimize costs and maximize sales. 

Retailers incur significant expenses in buying merchandise, including shipping, transportation, delivery, and storage costs. Making incorrect purchasing decisions can result in doubling the merchandise purchasing costs. This is where a data-driven approach helps in merchandise planning.

Recognizing “Never Out of Stock” (NOOS) products is a crucial element of a data-oriented approach to merchandise planning. These are the top sellers and core styles that have persistent sales for a more extended period. By identifying NOOS products, retailers can ensure that these items are always in stock, reducing the risk of stockouts and lost sales.

To achieve ideal decision-making, retailers must perform computations at the granular level, incorporating multiple product attributes such as color, size, style, and seasonality. This level of analysis enables retailers to determine the ideal assortment mix and depth, ensuring that the right products are available in the right quantities at the right time.

Another crucial aspect of data-driven merchandise planning is analyzing past sales, revenue, discounts, size cuts, stock-outs, and exposure.

Benefits of data-driven merchandise plan:

  • Decreased warehousing costs: By reducing unwanted inventory in the warehouse, inventory carrying, labor, and maintenance costs are minimized.
  • Increased customer loyalty and lifetime value: Having products in stock that meet customer demand makes them less likely to leave empty-handed and will keep returning for more.
  • Less discounting: By reducing unsold inventory, there is no need to rely on heavy discounts to clear stock.
  • Lower chances of missed sales opportunities: With few out-of-stock situations and stocked best-selling products, retailers can minimize missed sales opportunities that their competitors may capitalize on.
  • Smart inventory investment: By analyzing past sales and trends, retailers can make informed decisions about inventory investment and allocate their money to stocks that generate revenue.

Precision stocking: Smart allocation and replenishment

What is Merchandise Allocation and Replenishment?
Merchandise allocation decides the quantity of each product for each store based on sales data, store size, and customer demographics. The goal is to optimize sales and meet customer demand.

Replenishment restocks products in stores that are sold out or running low on inventory to maintain on-shelf availability. It involves analyzing sales data and inventory levels to determine when and how much to restock for each store and product.

Using manual methods and general thumb rules to allocate inventory leads to issues like overstocking, stockouts, and suboptimal inventory health. On the other hand, with a data-driven approach, brands can ensure that inventory is allocated at the right depth, location, and time to maximize sales and improve inventory health.

The benefits include:

  • True ROS (Retail On-Shelf Availability) based store style ranking ensures the best store style combinations are fulfilled, increasing sales.
  • Optimized inventory distribution by identifying pivotal and non-pivotal sizes for each store and attribute group combination.
  • Inter-store transfers and stock consolidation can be performed to correct for the loss of sale, inventory health, and assortment issues.
  • Optimum depth for SKUs can be maintained at each store based on True ROS and required days of cover without any minimum or maximum inputs from the user. This approach improves store inventory health and helps avoid stock-outs or overstock situations.
  • Suggestions for pullbacks of dead or slow-moving inventory pullbacks from stores to warehouses and replacements with better potential articles. This frees up space for faster-moving items and ensures that the store is always stocked with the latest trends and styles.
  • Dispatch collections or stories of styles together to a store, which needs to be displayed together. This creates a cohesive shopping experience and increases the likelihood of multiple purchases.
  • Different pools of replenishment quantity can be maintained at the warehouse based on the grade of the style, allowing for the allocation of more inventory to high-performing styles, resulting in increased sales and profits.

Other best merchandising tips and tactics 

Effective discounting/markdown optimization

Markdowns are essentially price reductions that retailers offer on their products to clear out old inventory, make room for new products, and maximize profits. However, managing markdowns efficiently is easier said than done. It requires a keen understanding of customer behavior, product performance, and market trends. This is where the data-driven approach comes in.

By analyzing sales data, inventory levels, and customer behavior in real-time, the tool recommends if the discount should be increased, decreased, or kept the same to improve its sales and maximize margin value. 

Here are some key benefits of markdown optimization

Maximizing ROI: Markdown optimization tools can help you identify the right set of styles to apply discounts to and the optimal discount percentage for each style for achieving the best possible sales and margin value.

Dynamic adjustments: Markdown optimization tools allow you to make dynamic adjustments to your markdowns based on real-time data. It means you can increase or decrease discounts for specific products and store locations based on their performance and stock status, allowing you to maximize sales and profitability.

Elasticity: Markdown optimization tools also enable rapid rollback on discounting if the rate of sale (ROS) doesn’t increase as expected. This elasticity ensures you can quickly adjust your markdown strategy if you do not see the desired results.

Flexible capping: Markdown optimization tools facilitate the flexible capping of the discount within different decision matrix combinations. This means you can set up different discount caps for different products and store locations based on their performance and inventory levels.

Style-level manual overrides: Finally, markdown optimization tools allow for style-level manual overrides for reordering and discounting decisions. This enables merchandisers to use their expertise and judgment to adjust markdowns for specific products and store locations as needed.

Localization of assortment

The traditional approach to inventory distribution involved having a few large warehouses that served a wide geographic area. However, this model has several drawbacks, including longer shipping distances and transit times, which can result in delayed deliveries and dissatisfied customers. To address this issue, retailers are adopting a new approach that involves building smaller fulfillment centers closer to their customers.

By using a pin code level inventory distribution system, retailers can ensure they have the right products in the right quantities at the right locations. This approach enables them to achieve faster delivery times, reduce shipping costs, and improve customer satisfaction. In addition, retailers can leverage data analytics to identify regional demand patterns and adjust their inventory levels accordingly.

Building a resilient supply chain is another key benefit of bringing fulfillment centers closer to the customer. By having multiple smaller fulfillment centers spread across multiple regions, retailers can mitigate the risk of disruptions caused by natural disasters, labor strikes, or other unforeseen events. This approach also allows them to be more agile in responding to changes in demand and market conditions.

By bringing fulfillment centers closer to the customer, retailers can not only improve delivery times and build a resilient supply chain but also create the phygital experience that customers are seeking right now. This is because it can reduce the distance that products need to travel and minimize inter-warehouse redistributions, resulting in significant savings in logistics costs and reducing the retailer’s carbon footprint.

Bridging the gap with Omnichannel

The traditional methods of allocating merchandise — having separate inventories for each sales channel, can no longer keep up with the fast-paced demands of the industry and can result in obsolete inventory, heavy discounts, or, worse, landfill dumping of unsold products. These challenges not only harm the environment but also hurt the bottom line of businesses. 

The concept of Omnichannel seeks to deliver this experience by unifying the entire retail ecosystem, breaking down silos between online and offline channels, and creating a cohesive and integrated customer journey. At the heart of this transformation lies inventory management. By integrating online and offline inventory, retailers can create a unified view of their stock levels, which allows them to offer customers the convenience of shopping across multiple channels and access an endless aisle of products, even if they are not physically available in-store. This feature enhances the customer experience by providing more options and reducing the likelihood of customers leaving the store empty-handed.

Another advantage of an omnichannel inventory system is the ability to offer omnichannel capabilities such as BOSS (Buy Online Ship to Store), BOPIS (Buy Online Pickup in Store), and BORIS (Buy Online Return In-Store). These options provide customers with the flexibility to choose the most convenient way to shop and return items while enabling retailers to leverage their physical stores as fulfillment centers.

By leveraging inventory as a strategic asset and integrating online and offline channels, retailers can provide a seamless shopping experience, increase sales, reduce waste, and improve their bottom line.

Newer Possibilities with AI-powered Merchandising

The possibilities of artificial intelligence (AI) technology are limitless, and it has found a new ally in merchandising. AI has become an indispensable tool for retailers, offering a plethora of benefits ranging from personalized recommendations to fraud detection. Its vast and varied applications make it an essential asset for any brand seeking to stay ahead of the curve in today’s competitive retail landscape.

A few use cases of AI in merchandising include

  • Personalization: AI analyzes customer data to provide personalized product recommendations and promotions, leading to increased customer engagement, loyalty, and sales.
  • Forecasting: AI predicts future demand based on historical sales data and market trends, aiding in inventory management and allocation decisions.
  • Pricing optimization: AI determines optimal product pricing by analyzing competitor pricing, consumer demand, and other market factors, increasing sales and profitability while remaining competitive.
  • Fraud detection: AI analyzes transaction data to identify fraudulent activity patterns, helping retailers prevent losses from fraudulent transactions.

The ball is in your court…

Brands that can tailor their strategic priorities to their specific situation will have the best chance of adjusting their business models to deal with current challenges. They will also be able to use these strategies to create a more flexible and adaptable merchandising capability that not only helps them weather the downturn but also positions them well for growth when it returns. But how does Increff help?

Bringing Science to Retail – Increff Merchandising Software

Reimagine merchandise planning, buying, and allocation with Increff’s intelligent algorithm-driven end-to-end merchandising software

Assortment Planning: Consider factors like seasonality, local demographic, product attributes, discounting, ,etc. to identify top sellers and slow movers. Personalize assortment at every store based on true demand for options, depth, and size ratios.

Allocation and Replenishment: Allocate inventory, as per demand, and improve the frequency of replenishments through our ARS solution. Experience consistent revenue uplifts by reducing size cuts, replenishing fast-selling styles, and optimizing overstocking and understocking within stores through inter-store transfers.  

Extract actionable insights with business intelligence and online analytics. 

What can you expect:

  • 1.5x increase in inventory turns
  • 4-5% improvements in the bottom line and margins
  • 15% growth in full-price sell-through
  • 10% savings in logistics 
  • 20% cutback in inventory holding