Retail

While the industry knowledge and experience is useful for making business decisions reliance on instinct is no longer enough to face the rapid digital transformation occurring in the retail industry. Setting the goals at a company level rather than distribution region, store and product level leaves a space for great efficiency increase. Retailers often lack capabilities to use market data effectively focusing on internal sales data and estimates resulting in lack of forecasting accuracy. Another example of unexploited data encompass customers segmentation – this reveals trends in detail enabling to understand demand better. Taking all the variables into account the forecasts go down to SKU in a single store level and encompass all internal and external data source from economy impact up to local price elasticity. KMF improves demand / supply forecasting leveraging predictive engine delivering clear and actionable insights built for all the business users.

We define the success criteria as increasing the precision of demand forecasting shifting the effectiveness of operations management and hereby:

• Liquidate surplus inventory – minimizing the cost of storing, workforce, insurance and in case of some products – a cost of disposal
• Eliminate the cost of internal products redistribution between storage centers and stores
• Make use of emerging consumer trends and adjust supply to satisfy market pace