The client – a leading Australasian beauty retailer – needed help transitioning to a more flexible brand ranging model, to ensure the best performing brands were assigned to each store to fill the available space in each department.
Prior to working with us the client’s operating model had relied on ranging all brands to all stores regardless of available space.
Working with the client’s buying team, we developed a brand offer construction methodology that ensures full coverage of all key customer needs across each store and department.
All brands within were then ranked with each customer need grouping, based on a combination of customer importance and commercial performance metrics.
We then developed tools to assign brands to available department space in ranked order, and to balance across customer needs to assist the client team in planning brands to fit each store.
Through ensuring each store selected the best-ranked brands a 4-5% sales and margin growth opportunity was identified. Inventory savings are also enabled by not ranging all brands in all stores.
We identified profit opportunity totalling more than AU$50m for a leading Australian department store chain.
With Covid-19 upending shopping patterns, we helped a UK food retailer adapt its macro space to adapt to increased online sales
We identified short term opportunities worth AU$3m, or 1% of the client’s current margin, and longer-term potential to deliver up to +25% sales growth.
We identified financial opportunities totaling HK$190m for a health and beauty retailer based in Hong Kong and Macau.
We helped a leading UK news, stationery and book retailer implement aggressive pricing to gain market share in heavily competed departments.
We developed store clusters for a leading Australian beauty retailer to optimise store space based on demand drivers and performance.