Retailer: Hard Rock International – Rock Shop
Retalon’s Predictive Analytics and AI engine generates a highly accurate demand forecast that accounts for dozens of critical factors that influence a dynamic fashion retailing business. This includes seasonality, promotions, new product introductions, price elasticity, size distribution, competition, vendor lead-times, and more. Moreover, Retalon intelligently builds a size curve for every Store/SKU to optimize the size distribution of all apparel merchandise to eliminate overstock of fringe sizes, and lost sales on top performing merchandise.
Fashion retailers can’t simply base merchandise & assortment plans on last year’s data alone. Changing trends, new styles/colors and products, varying promotions, and changing prices make past data unreliable. Retalon leverages our highly accurate demand forecast and Predictive Analytics engine to help retailers build plans that are not only executable in real life but also maximize the return on inventory investment. Retalon plans include Financial, Merchandise, Assortment, Store-Level, Pre-Season, In-Season, and Open-to-Buy.
Today’s savvy consumers interact with fashion and apparel brands through multiple channels. They may learn about new styles on social media, try on sizes in-store, order online, and expect timely fulfillment to their home. Retalon’s Smart Fulfillment & Order Routing solution utilizes advanced Predictive Analytics and AI technology to ensure fashion retailers are proactively positioned to fulfill orders in the most optimal way no matter which channel they came from. Moreover, Retalon offers multi-echelon replenishment and smart allocation to support localization & personalization for fashion retailers.
Markdowns happen, yet Retalon significantly reduces these instances, and optimizes required markdowns to intelligently get rid of excess inventory while maximizing ROI. Additionally, Retalon’s unique Inter-Store Inventory & Assortment Balancing tool proactively recommends transferring products that are slow sellers at locations (avoiding needless markdowns) to locations that risks running out-of-stock due to strong demand. This solution module is based on a highly accurate forecast, and accounts for all costs associated with the transfer.
Fashion & Apparel retailers run thousands of promotions every year. However, retailers often find that some of these events are not profitable. Retalon empowers retailers by suggesting the most profitable promotions, media types, and simultaneously adjusting inventory levels to bring the incremental inventory needed to support these promotions proactively. The system also automatically identifies past event and promotions to further adjust the demand forecast for increased accuracy. Moreover Retalon offers “what-if” scenarios so retailers can see projected uplift & ROI before they even run the promotion.
All Retalon solutions are built on one unified predictive analytics platform that can account for all influencing factors in a fashion & apparel business and their interrelations. As a result, our machine learning (AI) engine builds a highly accurate and dynamic forecast and intelligently connects the planning, inventory optimization, and promotions/markdowns. Unlike function-specific solutions, Retalon’s approach provides superior accuracy, flexibility, scalability, consistently and higher ROI. Our clients typically see a significant reduction in inventory, labor and resource costs, a healthy boost in sales and turnovers.