Fashion Retail: Maximize inventory management through effective inventory management
In fashion retail environments, inventory management is a fast-paced and complex game. With short product life cycles, lengthy lead times and specific size curve profiles for each and every location, everything is based upon maximizing availability in the first few weeks to ensure that items sell at full price.
Through intelligent management of the initial allocation coupled with highly responsive replenishment based on local demand patterns, retailers can prevent the residual stock from ending up in the wrong locations. This means you can reduce the costs of sales and avoid costly reallocations. Something which is especially important given the growing number of channels to be managed.
Minimize out-of-stocks while maintaining the maximum level of margin
With Slim4, you will become better positioned to translate your corporate objectives into efficient operational inventory management processes. Through automatically identifying seasonality and trends as well as utilizing Slim4's accurate statistics-based forecasting capability, the inventory management solution makes it possible for fashion retailers to dynamically determine the optimal inventory position for every location and for every item. Furthermore, when items sell more or less than expected, the software responds quickly.
Pre-season: getting the first time right
As a fashion retailer, a “first time right” mentality is essential. However, when it comes to managing the assortment, it can be very difficult to make the optimal decision. With Slim4, you can optimize your initial allocation of all items within your assortments. This can be achieved with either a push or a pull demand model. With help from the solution, size curves can be calculated in order to optimize the distribution of your assortment across all locations and eCommerce sites. Slim4 supports both the management of collection-items as well as Never Out of Stock items within the assortment.
In-season: the right stock at the right location
Slim4 ensures that the right items, right sizes, and right colour combinations are available at the right locations. This, in turn, allows fashion retailers to ensure that the assortment is allocated in a timely manner, promotions are managed more effectively as well as avoiding lost sales through stocks-outs: all while guaranteeing both stores and customers receive a high service level.
End of life: On Sale!
Ensuring stock levels are healthy at the start of a sale is essential in order to minimize mark-down and thus maximize the net margin. However, when an item is running low, how can you determine how much stock should be made available in the physical stores and how much should be reserved for eCommerce sites? Through using our inventory optimization tool, Slim4, fashion retailers can effectively prevent out of stocks from occurring through ensuing that the last remaining items are allocated to the right location. This, in turn, enables you to better manage shortages and thus maximize margins.