What is Retalon Field Inventory Balancing Service?

At the beginning of each season merchandise gets allocated based on initial assortment decisions. The experience shows that sale velocities for the same SKU is different in different stores.

After a few weeks of sales, some retail stores are completely sold out on one SKU position, while the same SKU is in abundance in other stores. Additionally, due to the geo-demographic disparity the end-of-season does not arrive at the same time in all stores. While some stores continue to sell the "end-of-season" merchandise well, others need to transfer the same merchandise out to make room for a new season line up.

Retalon Field Inventory Service tracks demand for all SKUs in all stores, and generates intra-stores transfer schedules for merchandise that can be sold faster at full price elsewhere.

It allows you to feed the consumer demand in certain stores, and at the same time dramatically decrease the costly over-stock at other stores.

Retalon service includes business analysts, who work closely with you, ensuring all the necessary business policies, assortment requirements and store capacity restrictions are followed.

Retalon Field Inventory Balancing Service meets customer demand with all available field inventory according to the most up-to-date trend signals. The feasibility of each merchandise transfer is evaluated against the transportation costs. Thus, the net benefit of each suggested transfer is always known in advance.

Why bother?

• Retalon Field Inventory Balancing Service is the fastest and the most cost-effective way to:
• Ensure product on-shelf availability in stores, where merchandise sells
  
• Increase sales volume and inventory turnover
  
• Achieve higher GMROII (reduce the need for markdowns)
  
• Free-up shelf space for new merchandise
  
• Free-up Open-to-Buy for new purchases

Why Retalon Field Inventory Balancing Service?

Retailers, who attempt to transfer merchandise between stores, find the enormity of the task daunting.

The need to correctly assess the past and future performance of every SKU at the store level is the first hurdle on the way to merchandise reallocation. In addition, the inventory levels of "from" and "to" stores, square footage, assortment, local demographics, and other store attributes must be considered.

Above all, the costs associated with the physical transfers must be taken into account to ensure the feasibility of merchandise reallocation.

Just 100 out-of-stock SKUs in some 100 stores create hundreds of thousand possibilities for merchandise reallocation. To determine the most efficient transfer schedule, which satisfies all business policies and criteria, requires a planner to consider hundreds of million combinations.

Retalon is only organization that has built a proven service offering that converts
all retail stores into one large distribution center.

What's required?

A report of field inventory/sales data is all that's needed.

How do I begin?

Contact us today and we will put you in touch with a Retalon business analyst
to get the process underway.