Integrating Space & Assortment to Increase Sales
Retailers are challenged to compete and grow in today’s high pressure omnichannel, shopper empowered environment. To meet the demands of shopper-centric localization, retailers are responding by “right-sizing” stores, refining assortments in-store and on-line, increasing inventory productivity/in-stock levels and laying out stores for customer convenience.
Revionics® Assortment & Space Optimization is the only solution available today that simultaneously optimizes and balances the demands driving assortment and space adjustments. Using this proven solution, retailers can:
- Maximize return on every product carried & every inch of space
- Align space & assortment tactics to category objectives & strategies
- Localize decisions for loyal shopper preferences & market opportunities
How Space & Assortment Optimization Works
Optimization blends science and strategy with operational rules and constraints to measure effectiveness and ensure performance goals are achieved. It augments and integrates with current planning tools by applying predictive analytics and adding optimization intelligence to space and assortment planning systems.
Utilizes demand-based science and predictive analytics to allocate the appropriate amount of space to category and subcategory assortments by applying insight into local shopper demand, space elasticity, incremental contribution, loyalty data, market basket analytics and market data.
Drives to category roles, strategies and financial objectives leveraging real time 'What-if' simulation to compare the outcomes of different strategies and select the most effective one prior to implementation.
Rules & Constraints
Integrates fixture capacity, mixed fixture configurations, case pack out rules, visual display rules, min/max category sizes, planogram increments, and restock frequency/days of supply to ensure that assortments fit in the allocated space.
Key Solution Features
Revionics Assortment & Space Optimization solution includes a comprehensive set of user friendly features that enable users to become more strategic when making assortment and space adjustment decisions.
Revionics best-in-class features include:
- Recommends “right-sized” reformats, remodels & resets
- Optimizes space, assortment & inventory across the entire store
- Determines fair share of market & identifies category growth opportunities
- Pre-defined & configurable strategies
- Adjustable optimization scope: store, aisle, category, etc.
- Simulates ‘what-if’ strategy scenarios
- Evaluates seasonal, promotional & random demand volatility
- Incorporates 3rd party Market Data to identify competitive gaps
- Leverages loyalty & segmentation data to ensure shopper retention
- User-friendly interface with color-coded recommendations
- Recommendation transparency into rules & strategies applied
- Augments & integrates with current assortment & space planning tools
Our Software-as-a-Service (SaaS) delivery model reduces IT costs and complexity and eliminates potential capacity or performance constraints as opportunities to increasingly leverage Big Data are identified.
Assortment & Space Optimization Benefits
Retailers who use Revionics® Assortment and Space Optimization typically realize a Return on Investment in Months, 2-7% Sales Increases, 2-5% Gross Margin Gains and 10-20% Inventory Reduction.
- Delivers shopper-centric, right-sized space & assortment recommendations
- Maximizes return on most significant assets: inventory & space
- Provides guidance to store reinvention
- Increases share of wallet, basket size & traffic
- Exploits market gaps & opportunities
- Predictive optimization identifies “size of the prize” before making changes
- Executes category portfolio strategies
- Reduces out-of-stock & overstock situations
- Ensures proper capacity, facings & SKU presence
- Breaks down siloes between assortment & space planning
Explore More On Assortment & Space Optimization
Review this selection of thought provoking insights, customer experiences & articles to learn more.
For more information please visit our Retailer Resource Library for a complete selection of thought leadership papers, data sheets and on-demand webinars. Additional case studies can be found on our Customer Case Study page.