News

UK retailer One Stop uses behavioral planning tool to optimize store space

June 22, 2010

Galleria Retail Technology Solutions has announced that One Stop, a leading UK convenience retailer, has selected Galleria to help it optimize selling space across the entire chain to enhance its customers' shopping experience. One Stop will leverage Galleria's Behavioural Cluster Planning, Midi Space Analysis and Customer-Centric Merchandising solution, an integrated assortment planning and space optimization application, to generate customer-centric clusters, assortments and store-specific sales-driven planograms for its 500 stores throughout England and Wales.

"We are excited to be working with Galleria to turn our merchandising strategies into reality," said Mervin Nugent, senior range manager, One Stop. "This combination of analytics and execution solutions will enable us to truly know our customers and meet their shopping expectations in every store. Galleria's Customer-Centric Merchandising solution is capable of producing store-specific planograms every few seconds which is essential to execute those strategies and achieve the benefits of store-level planning. Using Galleria, we can ensure that product offering and inventory levels reflect the sales pattern and space available in each store to avoid excess product, wastage or out-of-stock problems."

According to the company, Galleria's Behavioural Cluster Planning solution will enable One Stop to cluster stores naturally based on consumer behavior. This unique clustering methodology utilizes granular product performance data such as historic sales, rest-of-market or manufacturer information, to create optimized cluster recommendations based on each category's unique consumer buying behavior. As a result, One Stop's marketing and merchandising teams will be able to quickly identify clusters of stores with similar demand patterns, enabling them to develop truly customer-centric marketing, merchandising and space strategies.

To take its merchandising strategies to an even more granular level, One Stop will utilize Galleria's Midi Space Analysis solutions to evaluate each of its store's available space to optimize category space allocation and maximize selling opportunities.

Once its cluster and store-level merchandising strategy is established, One Stop will execute those plans with Galleria's Customer-Centric Merchandising solution. Using One Stop's own demand intelligence and store-specific sales data, Galleria's solution synchronizes the product assortment and space planning processes, allowing One Stop's merchandisers to apply supply chain and inventory rules at a granular level to automatically create up to thousands of optimized planograms in seconds.

"If a retailer wants to become truly customer-centric, it can no longer run on generic planograms based on enterprise averages," said Ian Duncan-Lewis, CEO, Galleria. "Performance-based clustering and midi space analysis are components that must be in place in order to execute an efficient customer-centric marketing, merchandising and assortment strategy to boost sales and satisfy customers. Our automated solution makes it possible for retailers to maintain centralized control and supply chain efficiencies, while taking into consideration local influence and demand. Ultimately, Galleria's application will enable One Stop to provide a better in-store experience by efficiently providing the exact products each customer requires."