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A global specialty retailer set out to create and scale a customer-centric operating model for range and space to deliver growth objectives.
Working with Scalene, the business transformed how range and space change is planned and in 12 months grew reviewed categories three times faster than those that had not been reviewed through the new process.
We started with a diagnostic across five capability dimensions, people, policy, process, systems and data, to identify opportunities to reshape the Range Review process, ensuring reviews were delivered on time and assortments were optimised to meet customer needs and business objectives.
Decision tools combined customer and commercial data, and included Customer Decision Trees, a Range Decision Framework, scenario-based ranging, a reporting suite and post-implementation reviews. A data-led clearance approach was also built into every Range Review to cut slow-moving stock and free up working capital.
Space Advisor was then used to produce store-specific macro space recommendations and identified $30M p.a. sales uplift from reallocating category space. Growth came in at double the business case and the model is now scaling across the region.
8x the investment was returned in gross margin within the first 12 months
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