Clearly, inventory is one of – if not the largest – investments for retailers, whether online or brick-and-mortar. Getting the inventory plan right is essential to success. This requires improved visibility leading to better in-stocks, lower inventory holding and improved sales. More than just calculating quantities to purchase, merchandise planning also has to consider what it takes to support sales that are affected by other factors such as space constraints, as well as open-to-buy targets and location planning.
Merchandise planning systems enable management to set financial targets, review target achievement and create open-to-buy budgets. For planners, these solutions support planning from the top-down to bottoms-up, guide the downstream planning process and support the comparison of high-level targets to plan. An effective, easy-to-use solution will help you manage your business without being exposed to tedious, low-level details. With an interactive view of your product hierarchy, an open-to-buy planning tool and top-down, middle-out and bottoms-up planning, a robust merchandise planning software solution allows you to lock plans at specific levels and adjust plans based on percentage increases and decreases.