Retailers have a finite amount of shelf space in their stores, so they need to ensure they have an optimal mix of brands and products. In doing so, retailers can ensure that every product in their assortment is driving sales results and customer loyalty.
The Precima Assortment Management and Optimization solution by LoyaltyOne is designed to enable retailers to enhance their assortment strategy by identifying priority customers and the categories and products that are most important to them.
The solution also helps retailers quantify the true value of each item in stores by zeroing in on four metrics:
An item’s overall contribution to performance;
The uniqueness of the item within the category;
The importance of each item to complementary items, leading to halo sales and profits; and
The importance of each item to a retailer’s most valuable customers.
The solution is positioned to identify low-productivity items that provide the least amount of risk if they’re removed from a retailer’s assortment plan. Users can review assortment insights developed by the Precima Assortment Management and Optimization solution to determine the that have the most value; are the most valuable to customers; and have the least transferrable demand.