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Study: Only 33% of retailers optimize their inventory with advanced analytics

Refrigerated & Frozen Foods Magazine – Most retailers (67%) are not leveraging advanced analytics to improve their planning decisions and optimize inventory, according to the 2018 Integrated Planning and Inventory Management Survey released by BRP, retail consulting firm, and only 39% of retailers identified improved analytics as a top priority.

“Analytics serve as an important tool in assisting retailers to find and interpret meaningful patterns in customer and inventory data to support decision-making,” says Robert Cuthbertson, vice president. “Insight into customer demand, product adjacencies, price sensitivity, reaction to promotions, demographics and more are key to drive merchandise plans and actions that maximize profitability. This is especially critical in an omni-channel environment, as understanding the preferences of disparate customer groups across different channels becomes more complicated.”

“The technology for AI tools has advanced dramatically in the past five years. Innovative new technologies can even predict where customers will be in the next hour or next day based on historical patterns,” says Ken Morris, principal. “AI is also helping retailers make better decisions on which store should fulfill an online order. While traditional logic would select the product from the closest store to the consumer, with machine learning techniques, retailers can assess the value of inventory in each store to make smarter fulfillment decisions. For example, if they can identify/predict that the item in inventory at the closest store will likely sell at full price, but the same item at a different store location will likely result in overstock and markdowns, the retailer can ship from the further store and maximize total profits.”

Read Full Article: Study: Only 33% of retailers optimize their inventory with advanced analytics

Report: Retailers gearing up to meet customer needs

Retail Customer Experience – Many retailers, about 50 percent, aim to improve systems and processes over the next three years to better meet consumer needs and expectations, as well as streamline processes.

Today’s increasingly disparate solutions are driving the strategy, according to BRP’s 2018 Integrated Planning and Inventory Management Survey, according to a press release.

“Today’s customer journey requires retailers to use an integrated set of solutions, processes and organization to create and deliver the shopping experience consumers expect,” said Gene Bornac, senior vice president and practice lead, BRP, retail consulting firm. “Retailers are also focused on improving the integration of actionable customer data into their planning activities, as customer demand is a critical variable in today’s customer-led demand planning.”

Read full article: Report: Retailers gearing up to meet customer needs

Consumer-centric retail environment calls for data-driven planning

Luxury Daily – Despite the potential of leveraging consumer insights to guide merchandising decisions, many retailers are failing to effectively incorporate shopper data into their planning stages.

According to a new report from BRP, retail consulting firm, 54 percent of retailers are looking to better integrate consumer data into their planning process, making it the top priority for the next year. As retailers look to deliver the assortments and seamless shopping experiences that consumers crave, being able to mine real-time data from a wider set of sources can help stores drive sales and loyalty in a competitive environment.

“Many retailers aren’t using customer data in their planning because is difficult from many perspectives,” said Gene Bornac, senior vice president and practice lead at BRP. “Gathering customer data from multiple sources and systems and integrating it into planning systems and process is a lot of work and many retailers don’t have the time, or think they don’t, to solve this challenge.

“The retailers that use customer data in their planning process enjoy the benefits of more accurate forecasts, assortments and allocations, which results in optimized inventory and sales,” he said.

BRP’s 2018 Integrated Planning & Inventory Management Survey is based on an online survey of retailers.

Read Full Article: Consumer-centric retail environment calls for data-driven planning

Elevated Customer Expectations Require Integrated Planning Processes and Systems, According to BRP Report

54% of Retailers are Focused on Better Integration of Customer Data into Planning Activities

Boston, MA – December 13, 2018 – As customer shopping journeys continue to span across channels, it is imperative for retail planning processes, systems and organizations to be streamlined and integrated to meet increased customer expectations. Current disparate solutions must be transformed into one cohesive environment with the ability to offer customers a seamless shopping environment and the capability to deliver the right merchandise immediately – wherever it is needed. BRP published the 2018 Integrated Planning and Inventory Management Survey to offer insights on the key challenges and benefits of integrating planning processes and systems and identify where retailers are on this path to providing a holistic shopping experience.

“Today’s customer journey requires retailers to use an integrated set of solutions, processes and organization to create and deliver the shopping experience consumers expect,” said Gene Bornac, senior vice president and practice lead, BRP. “The good news is that many retailers realize their systems and processes need improvement and are planning to replace more than 50% of their planning systems within the next three years. Retailers are also focused on improving the integration of actionable customer data into their planning activities, as customer demand is a critical variable in today’s customer-led demand planning.”

To achieve an integrated retail planning model, retailers need to:

Align the organization

  • 40% of retailer currently have an integrated planning organization across channels and 73% of those indicate it needs improvement
  • Within three years, 87% of retailers plan to have an integrated planning organization across channels

Integrate planning processes

  • 43% of retailer currently have an integrated planning business processes across channels and 84% of those indicate it needs improvement
  • Within three years, 93% of retailers plan to have integrated planning business processes across channels

Implement technology

  • 39% of retailer currently have an integrated planning systems across channels and 82% of those indicate it needs improvement
  • Within three years, 89% of retailers will have integrated planning systems across channels

Prioritize customer data

  • 54% of retailers are focused on better integration of actionable customer data into their planning activities
  • 44% of retailers utilize customer feedback in real-time to impact in-season planning

To download the 2018 Integrated Planning and Inventory Management Survey, visit:

https://brpconsulting.com/download/2018-integrated-planning-survey

About BRP

BRP is an innovative retail management consulting firm dedicated to providing superior service and enduring value to our clients. BRP combines its consultants’ deep retail business knowledge and cross-functional capabilities to deliver superior design and implementation of strategy, technology, and process solutions. The firm’s unique combination of industry focus, knowledge-based approach, and rapid, end-to-end solution deployment helps clients to achieve their business potential. BRP’s consulting services include:

Strategy | Business Intelligence | Business Process Optimization | Point of Sale (POS)

Mobile POS | Payment Security | E-Commerce | Store Systems and Operations | CRM

Unified Commerce | Customer Experience | Order Management | Networks

Merchandise Management | Supply Chain | Private Equity

For more information on BRP, visit http://www.brpconsulting.com.

Integrated Planning Solutions are Imperative to Retail Success, According to BRP Report

The BRP SPECIAL REPORT: Integrated Planning – Getting it Right, Identifies Key Challenges and Benefits of Integrated Planning Processes

Boston, MA – December 6, 2018– Streamlined and integrated planning processes are foundational to developing sound strategies and plans that align with consumers’ expectation of a seamless, cross-channel shopping journey. BRP published the SPECIAL REPORT: Integrated Planning – Getting it Right, based on the 2017 Merchandise Planning Survey, to offer insights into the key challenges and benefits of integrating planning processes and systems.

“While some retailers have been able to work with legacy tools and disjointed processes, their results have been hindered by siloed data. In order to keep up, retailers must evaluate their processes and technology, automate tactical activities, and focus on how they can position their organization for success,” said Gene Bornac, senior vice president and practice lead, BRP. “With the knowledge that they have the right data integrated across the process, it will improve retailers’ ability to focus on finding the right products and distributing them to the right places. Integrated planning processes and technology are key to this effort by providing a single source of truth, collaborative approach, and organizational alignment.”

Retailers are gathering more data, across multiple channels and customer touchpoints, that is being leveraged by financial plans, demand plans, assortment plans, and store plans. The importance of a fully integrated planning solution to analyze and utilize this data is key to ensuring retailers remain competitive in this rapidly changing landscape. An integrated planning solution eliminates silos, leverages the same data, streamlines decisions, and builds consensus.

Integrating planning process is important, but also challenging.  This special report acknowledges the obstacles involved to eliminate silos and integrate people, processes and technology: resource constraints, disparate systems, organizational/process challenges, and budget constraints.

To download the BRP SPECIAL REPORT: Integrated Planning – Getting it Right visit:

https://brpconsulting.com/download/2018-special-report-planning

The BRP SPECIAL REPORT: Getting it Right: The Science of Planningplatinum sponsor is Aptosand the gold sponsors are enVista, Mi9, Logility, NCR, and Retalon.

About BRP

BRP is an innovative retail consulting firm dedicated to providing superior service and enduring value to our clients. BRP combines its consultants’ deep retail business knowledge and cross-functional capabilities to deliver superior design and implementation of strategy, technology, and process solutions. The firm’s unique combination of industry focus, knowledge-based approach, and rapid, end-to-end solution deployment helps clients to achieve their business potential. BRP’s consulting services include:

Strategy | Business Intelligence | Business Process Optimization | Point of Sale (POS)
Mobile POS | Payment Security | E-Commerce | Store Systems and Operations | CRM
Unified Commerce | Customer Experience | Order Management | Networks
Merchandise Management | Supply Chain | Private Equity

For more information on BRP, visit http://www.brpconsulting.com.