CasestudysRetail

Boosting 8% revenues by aligning customer needs and assortment via >330 new floorplans

By December 3, 2018 No Comments

What the customer wanted

Matching customer needs to the products offered in the store:

  • The current store formats were not in line with the needs of the typical customer of this non-food chain
  • There were limited smart data insights on shelve performance

What we did

  • Built a data system to measure shelve performance on various metrics (revenue, margin, quantity sold per m3).
  • Developed a smart grid to create logical “assortment building blocks” to design a store.
  • Used a sorting algorithm (based on shelve performance) to define >330 store specific floorplans, including:
    • Formula strategic guidelines on specific ‘core’ assortment groups
    • Geographical aspects of store (proximity of competitors)

What we achieved

  • Enabled the non-food retailer to transform >300 stores to a store where the customer can find its products again – with expected benefits:
    • 7% more customers
    • 8% revenue increase
    • 11,5% margin improvement

What the customer said

“IG&H really understood our Retail business and what was needed to transform our stores to the right set up for our customers. Using both smart analytics and understanding of our retail systems and tools they really delivered great output. Without IG&H, we would not have been able to transform our stores in the right layout format on time” – Bas Verheijen, Director Marketing & Formula

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