KSS Retail, a dunnhumby company, announced it has entered into an agreement to extend its price and promotion optimization solution across the retail banners of SpartanNash, a leading wholesale food distributor and grocery chain formed from the merger of Spartan Stores and Nash Finch in 2013.
With headquarters in Grand Rapids, Mich., SpartanNash has total annual sales of approximately $7.5 billion and operates 21 distribution centers servicing more than 1,900 wholesale customers across 37 states and 172 corporate retail stores across nine states. SpartanNash also is the top food distributor to military commissaries and exchanges in the United States. Following the merger, company stakeholders conducted an evaluation of price optimization vendors and chose to standardize on the KSS Retail solution.
According to the companies, over the past year, KSS Retail Advisory Services has helped Spartan Stores refine its pricing strategy and processes, using the advice of the KSS Retail science experts. Spartan Stores today uses PriceStrat to determine optimal prices across 100 locations, more than 100 product categories and 40,000 SKUs.
"PriceStrat is really a strategic tool that helps our merchandising team optimize results at the category level across the company, providing us with a broad view of pricing decisions on the totality of our business," said Larry Pierce, vice president of center store merchandising at SpartanNash.
The organization also hopes to leverage PriceStrat to offer price optimization as a service to its wholesale clients. "It was important to have a technology platform that has the sophistication and enterprise capabilities to keep pace with our growing business,″ Pierce said.
"KSS Retail has empowered us with the reporting tools we need to measure and analyze the impact of our price optimization efforts, so that we can continue to improve our decision making going forward," said Kathy Alles, director of retail pricing and data integrity at Spartan Stores. "In addition, we've gained valuable new insights from working with the KSS Retail consulting and science experts."
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