Merchandising and Inventory Profitability

Retailers are facing more complexity due to increased competition from both domestic and international chains, while direct to consumer channels become a more powerful force. At the same time, there is more pressure from consumers who want better and faster service and greater value.

Offering what customers want while avoiding what they don’t, while ensuring that they have just the right amount to satisfy demand is critical to a retail chain protecting and growing market share, while profitably growing the top line.

SD Retail brings value to retailers in their efforts to develop and execute compelling, profitable customer and localized assortments.  Our consultants have extensive experience working with retailers across the key retail sectors (Specialty and Big-Box Hard lines, Apparel, General Merchandise and Grocery).  Most of our team, prior to consulting, led retail merchant or planning & allocation functions and bring a practical, results-focused perspective to our retail clients.

We assist retailers to develop cost-effective organizational design to effectively deliver the planned assortment to their target customers, while developing and implementing the business processes required to support strategic objectives. Finally, we evaluate existing tools and systems to make sure that they are able to enable the desired processes to deliver the required results.  If changes are required, we assist the Company to select and implement new tools to produce the needed results.  

While SD Retail is committed to being software and vendor agnostic, we have deep knowledge of the functional capabilities of the major commercial software applications as well as experience in how spreadsheet and database tools can be more effectively utilized to drive more value quickly.   We look at all possibilities for the right solution to fit the unique needs of each  client whether that includes new commercial software, increased utilization of existing systems, and/or leveraging spreadsheet or database tools. 

SD Retail’s Merchandising Practice provides the following services:

• Merchandising and Planning & Allocation Organization design– ensure effective organization and role design and alignment with strategic goals,  supported by the appropriate skills and competencies.
• Category Management/Assortment Planning – create channel, category and location assortment strategies and processes, to support the development and rationalization of compelling localized assortments and pricing strategies to increase margin and inventory profitability.
• Merchandise Planning – establish an appropriate financial framework to achieve the intended financial goals, identify opportunities and provide buyers and planners  with the right guidelines pre-season and identify and address in-season trends through effective open-to-buy management.
• Inventory Management – meet planned inventory investment objectives while balancing service and profitability needs across  channels through effective forecasting, allocation and replenishment practices , more effective purchasing techniques, vendor performance management and collaboration.

SD Retail's Merchandising & Strategy team has assisted numerous retailers for the past 15 years to develop Merchandising ROI roadmaps to realize near and medium term ROI and longer term foundational value through a disciplined process of enhancing strategy, process, organization and tools. Our experience spans grocery, convenience, apparel, department store and hard goods big box sectors.
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