AI-Driven Inventory Optimization: 3 Success Stories
There’s no denying artificial intelligence (AI) is making its mark on multiple industries, and retail is no exception. AI is already driving exciting changes in the retail world, from powering innovative in-store experiences to improving the way operations run behind the scenes. One key area where retailers are already seeing a big impact is inventory optimization.
Here are three great stories from forward-thinking retailers who are using AI to transform the way they make inventory decisions:
Fiba eliminates the guesswork from demand forecasting
AI-powered forecasting was the clear path forward for Fiba Retail, a leading retail group with franchise rights to GAP, Marks & Spencer, and Banana Republic. With a wide network of 175 stores and e-commerce channels, Fiba wanted to modernize its inventory planning processes and improve its omni-channel capabilities. As part of this modernization journey, Fiba worked with Invent Analytics to implement our Demand Forecasting solution. Now, Fiba generates highly accurate forecasts for GAP and Marks & Spencer, then positions inventory smartly across each sales channel.
Read Fiba’s full story here.
FLO reduces lost sales with smarter inventory allocation
FLO, one of Europe’s largest footwear retailers, serves millions of customers every day through its network of 650+ stores and its multi-brand e-commerce channels. Wanting a smarter, more profitable, and automated way to determine the right amount of inventory required in its stores and distribution centers, FLO implemented our AI-driven retail planning solutions, including Allocation Optimization. Thanks to smart allocation and profit-optimized inventory decisions, FLO has increased its availability from 71% to 94%. Moreover, the retailer has reduced lost sales from 15% to 3%, while decreasing inventory overall.
Read FLO’s full story here.
Boyner boosts sales by reimagining inventory transfers
Boyner is a large department store chain serving its customers with large multi-brand department stores in various retailing concepts. Its department stores houses hundreds of brands and various product lines, ranging from cutting-edge fashion, jewelry, accessories, and cosmetics to home decoration. Due to this diversity of products, Boyner has various unique inventory planning constraints, such as long-horizon buy plans, long lead times for repeat orders, and large store capacities.
When Boyner implemented our Transfer Optimization solution, coupled with Store & DC Replenishment Optimization, they were able to transfer the right inventory to the right stores for maximum profitability, and can now make transfers within an hour. Overall, this new AI-driven approach to inventory transfers has contributed to a 4.8% increase in Boyner’s sales.
Read Boyner’s full story here.
Future-ready tech for today’s inventory challenges
These are just a few examples of what innovative retailers are already achieving with AI-driven inventory optimization. And in today’s competitive omni-channel world, retailers like Fiba, FLO, and Boyner are already ahead of the game.
Ready to learn more? Check out more success stories here.