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Success Stories

Fresh assortment, execution and measurement

Client Challenge

A $7.0 billion retailer operating 220 stores needed a better and more consistent product offering for its shoppers in the Meat Department. Stores were routinely out-of-stock on core everyday items. The retailer also wanted to leverage newly developed store clusters to fine tune their assortment and display sections.

Previous efforts were limited by legacy data gaps, i.e., the complexity of fresh meat PLUs / SLUs, and a lack of current space, set size and plan-o-gram information and tools for the Meat Department.

Radian’s Impact

Radian’s industry practitioners developed a ‘merchant-focused’ product hierarchy to overcome internal data limitations and provide sales, out-of-stock and shrink measurement tools for Merchandising and Operations.

We also developed over 400 custom, store-specific plan-o-grams with detailed guidance on item level placement by cluster and set size across all Meat Department categories.

Radian also deployed best-in-class decision support tools for executives, managers and in-store associates to review business performance, isolate opportunities and facilitate corrective action.

Results

In-stock position for core items increased from 73% to over 90% in six (6) months.

Sales for the department increased +1% to +1.5% from more effective and actionable collaboration between Merchandising and Operations on in-store display and execution requirements…customized by store and refreshed by season.

A 120-basis point improvement in department margin from reduced shrink: 6.3% to 5.1%. Significant improvement was seen in ‘optional’ and ‘store-specific’ items as reporting and store communication tools were configured to isolate and track these items.