Assortment Optimization & Margin Improvement
The Client: A National Retailer
Back to Case Studies »Situation
Establish a direct customer-product connection through optimized, targeted, and more profitable store-level assortments at the brand level.
Approach
Design a customer, product, market based solution consisting of store/market segmentation, brand clustering, customer modeling, and customer valuation analyses at the brand level, to produce a category/brand level decision matrix.
Solution
Designed a customer, product, market based solution consisting of store/market segmentation, brand clustering, customer modeling, and customer valuation analyses at the brand level, to produce a category/brand level decision matrix.
Results
An assortment decision matrix allowed the client to provide merchants a tool that consolidated historical brand performance at the store-level with predicted brand potential at a store location to recommend brand assortments. Realized over $14 million in incremental sales within a $100mm business.