Merchandising Analytics Engagement Platform Optimizes Price, Promotion, Assortment, and Markdown for Retailers

May 21, 2017

Quantzig’s recent study on merchandising analytics engagement for a leading retailer in the US helped to increase their overall profitability by at least 5% and reduce merchandise markdown and return rates.

Increasing Brand Visibility through Merchandising Analytics Engagement

Merchandising is just not increasing the aesthetic appeal of a product or service; these are manoeuvres to increase customer loyalty and improve sales. Many retail companies are adopting strategic merchandising plans that utilize all the advertising techniques to display the products to drive more end-users to the store. The growing demand for personalized products and services is encouraging vendors to focus on revamping their merchandise plans and assortment optimization strategies to improve the store layout and designs. It is perceived that customers buy with their eye first. As a result, retailers are focusing on targeting audiences through exuberant and innovating layout designs to improve sales revenue. Furthermore, merchandising analytics solutions helps companies in recognizing the latest trends in the market and increase the lifespan of the products.

Assortment, innovations, and frequent product updates will engage a consumer’s attention and help to boost brand loyalty. Various retail giants are investing in hiring best resources to formulate plans and strategies that will help them stay ahead in the competition. Quantzig’s merchandising analytics solutions help businesses to make informed decisions while optimizing assortment and storefront layout. Also, these analytics helps improve customer footfall, increase overall profitability, enable accurate inventory stock decisions, offer demand forecasts to improve tracking of sell-through rates, and achieve accurate replenishment plans.

To learn how Quantzig’s merchandising analytics can help transform your business, speak with our analytics experts.

Inventory Management and Distribution Channels

Maintaining proper distribution channels and inventory management is key in optimizing merchandising plans for any retail company. A customer-centric merchandising analytics helps in presenting a holistic view of consumer preferences, inventory, and demand across multiple channels, categories, and products. Understanding the demand and market trends will help vendors in making the right decisions regarding product assortment, inventory management, and store layouts. Moreover, this analytics platform is designed to enable coordinated action to get the right product to the best-fit store in the right quantity at the right time.

Integration of Social Media Marketing and Merchandising Analytics Engagement

Technology, IoT, and mobile devices are propelling the growth of social media marketing and advertising. The instant connect, and wider reach of social media is encouraging various companies to invest in social media marketing. Companies are collecting information from POS data, weblogs data, loyalty data, and social media data to develop effective merchandising plans and assortment optimization solutions. This method of marketing and analyzing data will help vendors improve online sales and reduce merchandise markdown and return rates.

Outcomes and Solutions

Some of the solutions offered by the merchandising analytics engagement team at Quantzig to a leading retailer in the US are as follows:

  • Design effective merchandising plans and gain customer insights by analyzing sales and merchandising data spread across multiple disparate databases
  • Develop a solution and anticipate the changing demands, channel preferences, and price sensitivity to stock optimal merchandise and plan assortments thereby, improving customer footfall by a minimum 15%
  • Offer insights on how to promote the right products through the right channels for improved sales, profitability, and customer satisfaction
  • Improve cross-selling and up-selling based on optimized pricing and promotions by 11% margin
  • Develop storefront optimization and assortment planning based on product sales and consumer data analysis
  • Provide an overview of the customer interactions by analyzing demographics and interests based on style, size, color, and product category to meet local customer demand

The complete case study on merchandising analytics engagement for a leading retailer in the US is now available.

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