Zuru, a toy manufacturer with the majority of its manufacturing in China, has faced the same tariff-related challenges as many companies in the retail industry. But by using solutions that provide the company with daily sales, inventory and store-level availability across Walmart and Target stores, Zuru was able to get the insights it needs to support a successful holiday season.
In fact, Zuru is now expanding its existing categories and distribution, including Gumi-Yums candies, which recently expanded from Target to other retailers. Zuru also is bringing its Bonkers line of pet products to full distribution, and is planning to enter the laundry and baby products categories.
“Real-time data is the driver of these expansions,” said Franz Oliveira, Global Director of Sales Operations and Analytics for Zuru in a statement. “Having access to clean, reliable retail data from the start of each launch informs our next order cycles — whether we need more or less than expected — and the proven sales metrics help drive cross-pollination between accounts. When it comes to new store launches, we have the store-level data to target promotions, measure them effectively and maintain our sales momentum.”
For Zuru, managing the holiday season starts early, in the late July/early August time frame. “We need to see how the products are performing above or below expectations,” said Oliveira in an interview with Retail TouchPoints. “We partner with Crisp, available through the Databricks Marketplace, to get the daily sales, inventory and store levels of each item.”
Advertisement
The Zuru holiday season starts in October with Halloween, when Zuru already is running programs with its key retail partners. Things ramp up in November for its Black Friday campaigns, which can account for 10% to 15% of the company’s Q4 revenue. Zuru stays busy through December, obviously, but also uses this holiday window to “test new toy innovations in select markets ahead of January launches,” Oliveira said in a statement. “The data we gather during this period is highly revealing and helps shape our longer-term strategies.”
Data Supports Marketing and Influencer Campaigns
Zuru, which runs holiday marketing programs across 7,000 store locations, needs to make sure there’s inventory on the store shelf that matches what’s being advertised and promoted. This is particularly true for the influencer activations it sponsors. “Our retail data helps us avoid advertising around an empty shelf,” said Oliveira in a statement. “Store data helps us measure localized sales lift from influencer activations; this season, several influencers will be engaging in key retail markets, and we’ll be able to monitor results with same-day precision,” he added.
“These influencer campaigns, when they work well by aligning with our best toy products, can give a 30% to 40% sales life,” Oliveira told RTP.
AI Adoption Streamlined by Data Cleanliness
Oliveira is enthusiastic about Zuru’s adoption of AI, which includes its recent launch of ChatGPT. “AI is as good as the data you expose it to, and thanks to the partnership with Crisp, 90% of our data is in a clean state,” said Oliveira.
Marketing analysis will be a “top priority for us from an AI standpoint,” he added. “CPG by nature is marketing-heavy, so we want to know which [marketing] content is most adaptive to the audiences we’re targeting and fine-tuning that content. The moment we get the content right, we can see a 20% to 40% lift in sales.”
