Retalon offers liquor retailers a highly accurate demand forecast as well as a comprehensive suite of solutions to ensure the right products are in the right locations at the right time. Our superior forecast accuracy is built into our one unified end-to-end predictive analytics platform that accounts for all factors that influence the liquor retail business. This forecast is then applied to our comprehensive solutions suite to optimize planning, purchasing, allocation, replenishment, product/store clusters, and inter-store transfers proactively.
In order to protect themselves from out-of-stocks, lost sales, and take advantage of vendor deals, liquor retailers buy in bulk, in some cases enough to cover six months to a year of sales. However, overstocks constrain cashflow, cause carrying costs, and the additional margins from vendor deals don’t always translate to increased profit. Retalon suggests optimal & timely purchase quantities, and analyzes vendor deals to uncover true ROI potential. The system accounts for liquor business-specific factors like vendor lead-times, capacities, and merchandise that comes as pallets, cases, packs, or singles.
Having the optimal assortment at each location is critical for Liquor businesses. Customers need to feel that they have a wide range of selection, yet retailers know that only 20% of products are responsible for 80% of liquor sales & revenue. Retalon builds the optimal assortment by identifying the right balance between assortment diversity and depth for each product group/location. The system automatically accounts for all influencing factors such as product cannibalization groups, upcoming promotions, and more. Retalon’s Assortment Planning & Inventory Optimization solutions ensure that top performing products are always in stock.
Not all products react to promotions the same way. Retalon identifies what drives the sales of a particular product and recommends the optimal promotion strategy to ensure a successful promotion. A product like wine may get a great response though a Facebook ad, while beer may be more responsive to an in-store billboard. Retalon will suggest the right promotion, media type, and account for your on-hand, in-transit, and on-order inventory to make sure that your stores are ready to support the promotional uplift.
Due to the nature of the business, if you’re a liquor retailer in North America there are some legal constraints to account for. Dry/wet zones, pricing zones, different store types, and competition are all factors that need to be considered when purchasing, allocating, and replenishing products. Retalon provides a streamlined approach that offers consistency, automation, and reduced resource costs with flexible business rules that our professional services team helps you set up in our system.
All Retalon solutions are built on one unified predictive analytics platform that can account for all influencing factors in a wine & liquor 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, and a healthy boost in sales and turnovers.