Enhancing Store-Level Execution for a Major Consumer Goods Company
The Challenge
A major consumer goods company aimed to innovate its store-level execution to boost sales and reduce stock-outs. The company needed to leverage existing POS (store sales) data, improve shelf performance, and optimize marketing spend at Wal-Mart stores. The goal was to enhance the productivity of Retail Sales Representatives (RSRs) and store merchandisers, thereby driving significant business growth.
The Solution
darkelogix™ provided the analytic capabilities essential for the project's success. Leveraging daily Wal-Mart POS data, the initiative focused on several key areas:
- Perfect Shelf Performance: Ensuring high-volume products are always available on shelves and minimizing stock-outs.
- Win @ Retail Efforts: Enabling RSRs to have more productive discussions with store managers using fact-based insights.
- Account Plan Effectiveness: Improving the implementation and effectiveness of account plans.
Business Capabilities
The analytics provided by darkelogix™ included advanced capabilities, such as:
- Actionable Insights for RSRs: Delivering daily actionable lists of high-priority products for RSRs to review, ensuring they have the necessary information for productive store visits.
- Data-Driven Decision Making: Utilizing near real-time POS data to inform merchandising decisions and reduce the occurrence of stock-outs.
- Enhanced Communication Tools: Enabling RSRs to present data-driven insights to store managers, fostering better collaboration and execution of marketing strategies.
The Benefits
The implementation of the project led to substantial benefits for the company:
- Increased Sales: darkelogix™ identified a potential $17 million increase in operating income over five years by improving shelf performance and reducing stock-outs.
- Improved Productivity: RSRs were equipped with timely and actionable information, significantly enhancing their ability to manage store-level execution.
- Optimized Marketing Spend: darkelogix™ proposed solutions to ensure that marketing efforts were data-driven and aligned with on-ground realities, maximizing the return on marketing investments.
Summary
darkelogix™ successfully identified store-level execution opportunities for the consumer goods company, ultimately driving significant financial gains and operational efficiencies. The focus on leveraging existing data and providing actionable insights enabled the company to realize substantial revenue opportunities and set the stage for optimizing marketing spend and improving overall sales execution.