Revolutionize Your Category Management Strategy: 5 Ways AI Can Help Optimize Your Retail Business
The consumer packaged goods (CPG) industry is one of the most competitive and fast-paced sectors in the global market. With rapidly changing consumer preferences and the continuous need for innovation, effective category management has become a necessity for businesses to stay ahead of the curve. And that's where HIVERY Curate comes in.
HIVERY Curate is a cutting-edge category management solution that combines artificial intelligence (AI) (machine learning) and applied mathematics to provide retailers and CPG businesses with the necessary insights to optimize their product assortment, space allocation, and merchandising strategies.
Today, we will discuss the reasons why you should use HIVERY Curate for your CPG business and how it can help you achieve better results in terms of sales, profits, and customer satisfaction:
1. Store-level data-driven decision making
One of the key advantages of using HIVERY Curate is its ability to leverage big data and AI to generate actionable store-level insights for your business. This powerful tool collects and analyses data from multiple sources, including point-of-sale (POS) data and product and store attributes allowing you to make informed decisions based on the store level up.
By utilizing data-driven insights, you can identify growth opportunities, pinpoint underperforming categories, and determine the best product mix for your store. Given this is at the store level, this level of precision can help you optimize your assortment space at any cluster count level you like. This means your assortment plans are locally relevant, effectively merchandised, and operationally efficient.
2. Personalised and Localised Assortment Planning
HIVERY Curate's AI-powered algorithms consider local shopper preferences, store-specific merchandise rules, and contraints when generating product assortment recommendations. This means you can tailor your product offerings to your customer's unique needs and preferences, increasing the likelihood of repeat business and fostering customer loyalty. Shoppers vote in stores with their wallets; making this visible is critical for decision-making.
Localized assortment planning can also help you optimize inventory levels and reduce stockouts, ensuring that your customers always find the products they want when they visit your store. But again, HIVERY Curate allows you to dial up or down your store cluster counts and associated planograms to where it makes operational sense.
3. Space Optimisation and Planogram Generation
Effective space management is critical for maximizing sales and profits in the CPG industry. HIVERY Curate's advanced algorithms analyze your store's attributes, such as fixtures and location to Distribution Centre (DC), to generate optimized planograms that improve shelf efficiency and increase overall sales.
By implementing these planograms, you can ensure that your assortments are in the right stores in the right inventory levels accessible by shoppers, resulting in increased basket sizes and higher revenue.
4. Improved Collaboration between Retailers and Suppliers
HIVERY Curate fosters better collaboration between retailers and suppliers by providing a common platform to share data, shopper insights, and recommendations. This transparency enables both parties to work together to optimize product assortment, space allocation, and merchandising strategies. AI tools like Curate allow this collaboration to be rapid and iterative, testing different strategies together. This ensures the supplier is providing strategic category recommendations that are defendable. Equally, it allows the retailer to plan with confidence.
5. Continuous Learning and Improvement
HIVERY Curate's AI-powered algorithms continuously learn from the data they collect, allowing them to adapt and improve over time. As the tool gathers more information about your store, customers, and product performance, its recommendations become increasingly accurate and effective. This means any category strategy and recommendations are dynamic in nature.
This continuous learning and improvement process enables you to stay ahead of the curve in the highly competitive CPG industry and ensure that your category management strategies are always aligned with the latest market trends and shopper preferences and that suppliers are providing that category strategic guidance. In fact, in a recent Category Management Association (CMA) Category Captain Survey, strategic guidance/leadership and shopper insights were two key most important attributes retailers look for regarding suppliers when providing captaincy or advisorship.
Conclusion
Effective category management is essential for success in today's fast-paced CPG industry. Adopting HIVERY Curate for your business can harness the power of AI, machine learning, and data analytics to make data-driven decisions, optimize your product assortment, and improve your overall store performance. So, don't let your business fall behind in the race for market share and customer satisfaction. Start using HIVERY Curate today and revolutionize your category management strategies for a more profitable and customer-centric future!
HIVERY offers next-generation solutions to help those in the CPG industry optimize processes and ensure success. If you are looking for machine learning category management solutions, check out how we can help.
Talk to our expert, learn more, and request a demo of HIVERY Curate.